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2006-08-21 CC Agenda PacketA�Ibcrtvillc SMCM Town whig. 09 Cky Ufa. ALBERTVILLE CITY COUNCIL AGENDA AUGUST 21, 2006 7:00 PM 1. PLEDGE OF ALLEGIANCE 2. CALL TO ORDER — ROLL CALL — ADOPT AGENDA 3. MINUTES A. August 7, 2006 City Council minutes (pgs. 3-11) 4. CITIZEN FORUM — (10 Minute Limit) 5. CONSENT AGENDA A. Approve payment of claims check numbers 023177 to 023320 (pgs 13-19) • B. Approve Bolton & Menk's recommendation to reduce the Letter of Credit for Towne Lakes 5th Addition from $165,000 to $113,307 (pgs. 21-22) C. Approve Bolton & Menk's recommendation to reduce the Letter of Credit for Hunter's Pass Estates Addition from $427,320 to $223,788 (pgs. 23-24) D. Approve Resolution No. 2006-xx entitled a Resolution Establishing the Annual Retirement Benefit for the Albertville Volunteer Fire Department Effective January 1, 2007 (pg. 25) E. Approve Resolution No. 2006-xx entitled a Resolution Adopting the 2007 Preliminary Budget (pgs. 27-30) F. Approve Resolution No. 2006-xx entitled a Resolution Adopting the 2006 Tax Levy Collectible in 2007 (pg. 31) 6. ACTION ON PULLED CONSENT ITEMS 7. DEPARTMENT BUSINESS A. Building Department 1). Monthly Report Update (pgs. 33-34) B. Public Works Department 1). Wastewater Treatment Plant Request for Council Action for Sludge Removal (pg. 35) 2). S.E.H. Change Order No. 2 — additional information on items 1 and 2 (pg. 37) C. Planning and Zoning • 1). Approve revised Resolution No. 2006-xx entitled a Resolution Approving a Preliminary Plat and Final Plat for Schultz & Schupp, LLC at 5836 Large Avenue NE, which replaces Resolution No. 2006-31 (pgs. 39-41) 2). Approve Resolution No. 2006-xx entitled a Resolution Approving a Contract for Private Redevelopment for Schultz & Schupp, LLC (pg. 43) 3). Draft Contract for Tax Increment Financing (TIF) District No. 12 (attachment) 4). Schultz & Schupp, LLC (Winkleman-Eull Concrete) Developer's Agreement (pgs. 45-59) D. Engineering E. Legal 1). Albertville Plaza Second Addition Developer's Agreement (pgs. 61-75) 2). Albertville Medical Clinic Developer's Agreement a. Agreement Number One (pgs. 77-94) b. Agreement Number Two (pgs. 95-114) 3). Albert Villas Letter of Credit • F. Administration 1). Written Report (pgs. 115-16) 8. ADJOURNMENT • 2 Albertville samm Toum uAbIt. 09 c MR. ALBERTVILLE CITY COUNCIL August 7, 2006 Albertville City Hall 7:00 PM PRESENT: Mayor Don Peterson, Council members John Vetsch, Tom Fay, LeRoy Berning, and Ron Klecker, City Attorney Mike Couri, City Planner Al Brixius, Assistant City Engineer Adam Nafstad, City Administrator Larry Kruse, Finance Director Tina Lannes, Public Works Supervisor Tim Guimont, and City Clerk Bridget Miller Mayor Peterson called the Albertville City Council meeting to order at 7:00 p.m. followed by the Pledge of Allegiance. ADOPT AGENDA MOTION BY Council member Klecker, seconded by Council member Berning to approve the agenda as amended and on file in the office of the City Clerk. Motion carried unanimously. Add to the Agenda: 7.A.3 Draft of a Contract for Tax Increment Financing District No. 12 8.A.3. Change Order No. 2 — Wastewater Treatment Plant Expansion Remove from the Agenda: 7.A.2. Approve revised Resolution No. 2006-xx entitled a Resolution Approving a Preliminary Plat for Schultz & Schupp, LLC at 5836 Large Avenue NE, which replaces Resolution No. 2006-31 to be scheduled on the Monday, August 21, 2006 City Council agenda MINUTES MOTION BY Council member Fay, seconded by Council member Klecker to approve the July 17, 2006 regular City Council minutes as presented on file in the office of the City Clerk. Council members Berning, Fay, Vetsch and Klecker voted aye. Mayor Peterson abstained. CITIZEN FORUM Mayor Peterson asked if there was anyone in the audience that wished to discuss an item that is not already on the agenda. 0 Tim Reiswig of 11673 East Laketowne Drive NE inquired about the possibility of installing a stop sign along West Laketowne Drive NE. The residents in the Towne Lakes Development have • noticed more traffic using it as a pass through to get to County Road 19. Mr. Reiswig suggested placing one at the intersection of West Laketowne Drive NE and Lakeview Drive NE and or West Laketowne Drive NE and Laketowne Circle NE. Mayor Peterson directed Assistant City Engineer Nafstad to research the proposed need for a stop sign along West Laketowne Drive NE and identify an appropriate location for the stop sign. CONSENT AGENDA MOTION BY Council member Berning, seconded by Council member Klecker to approve the consent pulling check number 023170. Motion carried unanimously. A. Approve payment of claims check numbers 023106 to 023174 B. Approve Resolution No. 2006-xx entitled a Resolution Appointing 2006 Election Judges C. Approve S.E.H. Engineer's recommendation for Application for Payment No. 6 for STMA Ice Arena Expansion to KUE Construction in the amount of $36,580 D. Approve S.E.H. Engineer's recommendation for Application for Payment No. 14F for WWTF Expansion to Gridor Construction, Inc. in the amount of $92,499 E. Approve Ordinance No. 2006-11 entitled an Ordinance Modifying 2005 City Code Title 1, Chapter 5, Section 1 — Mayor and Council member's Wages F. Approve Bolton & Menk's recommendation for Application for Payment No. 2 for Albertville's Outdoor Hockey Rink to Dennis Fehn in the amount of $4,674.79 G. Approve application for 3.2 Malt Liquor License for the Albertville Lions for a Lions Zone meeting to be held on Monday, August 21, 2006 at the St. Alberts Parish Center H. Approve Bonestroo's recommendation for Application for Payment No. 6 for City Hall Construction to Breitbach Construction in the amount of $302,005 ACTION ON PULLED CONSENT ITEMS Check Number 023170 Check number 023170 was for yellow rope for the Fire Department. MOTION BY Council member Berning, seconded by Council member Klecker to approve check number 023170 Motion carried unanimously. PUBLIC HEARING NOTICES PROPOSED MODIFICATIONS TO THE DEVELOPMENT PROGRAM FOR MUNICIPAL DEVELOPMENT DISTRICT NO. I AND ESTABLISHMENT OF TAX INCREMENT FINANCING DISTRICT NO.12 AND ADOPTION OF PLANS THEREOF (WINKLEMAN BUILDING COMPLEX — EULL CONCRETE SITE Approve Resolution No. 2006-xx entitled a Resolution Approving a Modified Development Program for Development District No. 1 and a Tax Increment Financing Plan for Tax Increment Financing District No. 12 0 . City Attorney Couri briefly stated that the Modified Development Program for Development District No. 1 and a Tax Increment Financing (TIF) Plan for Tax Increment Financing District (TIF) No. 12 is in the final stages of preparation with the exception of the Proposed Contract for Private Redevelopment between the City of Albertville and Schultz & Schupp LLC. The Redevelopment Plan for Tax Increment Financing (TIF) District No. 12-Eull Concrete is a standard plan, which most Cities and Financing agencies follow. Mayor Peterson opened the public hearing at 7:05 p.m. Mayor Peterson asked if there was anyone in the audience regarding the public hearing for the proposed modifications to the development program for municipal development District No. 1 and establishment of Tax Increment Financing (TIF) District No. 12 and adoption of plans thereof for the Winkleman Building Complex formerly known as the Eull Concrete Site. There was no one present to share comments relating to the current public hearing. Mayor Peterson closed the public hearing at 7:06 p.m. MOTION BY Mayor Peterson, seconded by Council member Berning to approve Resolution No. 2006-xx entitled a Resolution Approving a Modified Development Program for Development District No. 1 and a Tax Increment Financing Plan for Tax Increment Financing District No. 12 with the recommendations from the Planning and Zoning Commission and with staff s recommendations. Motion carried unanimously. Approve revised Resolution No. 2006-xx entitled a Resolution Approving a Preliminary Plat for Schultz & Schupp, LLC at 5836 Large Avenue NE, which replaces Resolution No. 2006-31 City Planner Brixius asked that this item be removed from the agenda to be placed on the Monday, August 21, 2006 City Council agenda to allow staff additional time to work with the applicant in reviewing the preliminary plat. Approve a Proposed Contract for the Tax Increment Finance (TIF) District No. 12 City Administrator Kruse informed the Council that he placed a draft of a Proposed Contract for the Tax Increment Finance (TIF) for District No. 12. It is for the Council's review and will be placed on the August 21, 2006 City Council agenda. Council recommended that staff amend the draft to eliminate the terminology in the Contract pertaining to the sale of medical supplies. City Administrator Kruse stated that the contract would be based on the shell of the building, not so much as to the operation within the building. Staff will share the information with Kennedy and Graven. • ALBERTVILLE PLAZA 2" ADDITION Approve Resolution No. 2006-xx entitled a Resolution Approving; a Site and Building Plan Review, Preliminary and Final Plat, and Conditional Use Permit (CUP)/Planned Unit Development (PUD) 5 Amendment for Albertville Plaza Second Addition located at CSAH 19 and CSAH 37 in the Citv of Albertville • Mayor Peterson opened the public hearing at 7:15 p.m. City Planner Brixius brought to the Council's attention that RJ Marco Construction has submitted an application for site and building plan review, preliminary and final plat, and conditional use permit/planned unit development (CUP/PUD) for the property located along CSAH 19 and CSAH 37 within the Albertville city limits. Upon the review of the staff reports and hearing public testimony at the Planning and Zoning Commission, the Commission has recommended approval subject to conditions outlined in the staff report dated June 29, 2006. The applicant has submitted revised platting, grading, drainage, utility and site plans to respond to the conditions included in the initial report. Staff prepared a revised resolution, which is included within the August 7, 2006 Council packet that relates to the proposed automotive service center and retail development to be constructed in the Albertville Plaza Second Addition. Staff has reviewed the parking requirements on the site, which the automotive uses the credited 1,000 square -feet for storage area in determining parking requirements per the 2005 Albertville Municipal City Code — Zoning Ordinance. The site and building plan review demonstrates two fewer spaces than required by the 2005 Albertville Municipal City Code — Zoning Ordinance, but provides parking on the street in the revised plans. Staff would like to investigate lengthening the on -street parking stalls to accommodate larger vehicles. • Mayor Peterson closed the public hearing at 7:26 p.m. Mayor Peterson inquired about the potential of outdoor storage of vehicles that are in the process of being repaired. Is there a chance to stipulate that the vehicles are parked within the building in the evening hours, when the business is not in operation? City Planner Brixius expressed a concern with the parking around the site also. Council felt there was a challenge regarding the site with the parking and circulation. City Attorney Couri stated that as part of the motion the Council could state that there would be no other storage or obstructive vehicles stored outside the building after business hours. Couri wanted to add that part of the motion pertaining to Lot 2, Block 1 is with the Assistant City Engineer's comments. Council and staff addressed a concern with the noise issue. To be consistent with previous application, the doors on the south -side of the building that abut the residential area remain closed during hours of operation. The exception to opening the doors would be to drive the vehicles in and out of the building. Council reminded staff and the applicant of the signage that would be illuminated to ensure it meets the 2005 Albertville Municipal City Code to follow the hours in which it may be lite. • C Reg Plowman, representing RJ Marco and the applicant, brought to the Council's attention that a 40 revised landscape plan was submitted directly to the City, not the City Planner, that could be why Mr. Brixius has not seen the plans. Mr. Plowman stated that on behalf of Goodyear that they would most likely be able to follow the additional restrictions made this evening pertaining to keeping the south doors closed during and after hours of operation to reduce the noise. Mr. Plowman would notify Goodyear of the codes that pertain to the illumination of the signage. MOTION BY Council member Vetsch, seconded by Council member Klecker to approve Resolution No. 2006-xx entitled a Resolution Approving a Site and Building Plan Review, Preliminary and Final Plat, and Conditional Use Permit (CUP)/Planned Unit Development (PUD) Amendment for Albertville Plaza Second Addition located at CSAH 19 and CSAH 37 in the City of Albertville with the recommendations from the Planning and Zoning Commission and with staff s recommendations. Motion carried unanimously. Approve Resolution No. 2006-xx entitled a Resolution Vacating a Drainage and Utility Easement for Outlot A Albertville Plaza Addition Mayor Peterson opened the public hearing at 7:53 p.m. City Attorney Couri reported that the drainage and utility easement located on Outlot A of Albertville Plaza needs to be vacated since it is no longer needed for public purposes in the Albertville Plaza Second Addition. . Mayor Peterson closed the public hearing at 7:55 p.m. MOTION BY Council member Vetsch, seconded by Council member Klecker to Approve Resolution No. 2006-xx entitled a Resolution Vacating a Drainage and Utility Easement for Outlot A Albertville Plaza Addition with the recommendations from the Planning and Zoning Commission and with staff s recommendations. Motion carried unanimously. City Attorney Couri reported that the Albertville Plaza Second Addition Developer's Agreement would be presented to the Council for approval at the August 21, 2006 City Council agenda. REQUEST TO RE -SCHEDULE PUBLIC HEARING FOR PROPOSED MODIFICATION TO THE DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO.1, THE PROPOSED ESTABLISHMENT OF ECONOMIC DEVELOPMENT TAX INCREMENT FINANCING (TIF) DISTRICT NO.13 AND A TAX INCREMENT FINANCING (TIF) PLAN FOR THE DISTRICT, AND THE CONSIDERATION OF A BUSINESS SUBSIDY AGREEMENT (FRASER STEEL SITE) TO BE HELD ON TUESDAY, SEPTEMBER 5, 2006 AT 7:00 P.M. OR SOON THEREAFTER Mayor Peterson opened the public hearing at 7:59 p.m. City Administrator Kruse reported that the necessary documents for the proposed Tax Increment Financing (TIF) District No. 13 are not ready; therefore recommended that the Council table the public hearing until the September 5, 2006 City Council meeting. • Mayor Peterson continued the public hearing to the Tuesday, September 5, 2006 City Council meeting. 11 DEPARTMENT BUSINESS PUBLIC WORKS AND PARKS MAINTENANCE DEPARTMENT Monthly Report Public Works Supervisor Guimont briefly reviewed his report with the Council informing them that playground equipment has been installed at Four Seasons Park, the gazebo at Villas Park is complete, along with other miscellaneous items for the other parks located within Albertville. Assistant City Engineer Nafstad commented on the marking of the School Zone, stating that a resident called inquiring why Main Avenue NE is not marked as a School Zone. Council directed staff to research the School Zone status and to report at the August 21, 2006 meeting the findings regarding the marking of 50th Street NE and Main Avenue NE for a School Zone. S.E.H. STATUS UPDATE ON WASTEWATER TREATMENT PLANT EXPANSION City Administrator Kruse stated that S.E.H. provided an update on the progress of the Albertville Wastewater treatment Plant Expansion. As noted in the memo, along with Payment Application No. 14F includes a Change Order No. 2 in the amount of $2,499, which requires Council approval. 0 MOTION BY Council member Fay, seconded by Council member Berning to items 3, 4, and 5 of Change Order No. 2. Motion carried unanimously. 0 Staff will obtain additional information pertaining to items 1 and 2 of the Changer Order for approval at the August 21, 2006 City Council meeting. FINANCE DEPARTMENT Accounts Receivable Status Update Finance Director Lannes reported that the total accounts receivable outstanding through August 3, 2006 is $90,014.76. The majority of the over 90-days outstanding is due from gold Key Development, Yearwood Development and the STMA School District. Councildirected staff to contact the STMA School District regarding the status of the outstanding balance. Project Status Update Finance Director Lannes asked if the Council had any questions or concerns pertaining to the August 4, 2006 Project Status Update. Request for Council Action to Award Bid "C" for Prairie Run Wear Course Finance Director Lannes reported that at the July 17, 2006 Council meeting the Council awarded the 2006 Overlay Project with the exception of Bid "C". 0 Staff is looking for Council to award Bid "C" for the Prairie Run Addition wear course in the 40 amount of $78,298 as part of the 2006 Overlay Project. MOTION BY Council member Vetsch, seconded by Council member Klecker to award Bid "C" as part of the 2006 Overlay Project to Buffalo Bituminous in the amount of $78,298. Motion carried unanimously. PLANNING AND ZONING GEM Development — Granite -Tops LLC - Zoning Text Amendment for Industrial Wall Signal Approve Ordinance No. 2006-xx entitled an Ordinance Amending Section 10-7-8 of Chapter 7 Relating to Permitted Business Suns City Planner Brixius informed the Council that Granite -Tops LLC has applied for a Zoning Text Amendment to allow for a greater number of industrial signs on the building face. What is being proposed is to allow four front wall signs displaying their business, a generic list of their products, the location of their commercial showroom, and a sign displaying the product SileStone. According to the 2005 Albertville Municipal City Code —Zoning Ordinance the current industrial sign regulations does not permit the requested signs. City Planner Brixius stated that in order to amend the industrial front wall sign ordinance is a policy decision made by the Planning and Zoning Commission and the City Council. The Planning and Zoning Commission discussed the amendment at the July 11, 2006 meeting and recommends amending the 2005 Albertville Municipal City Code -Zoning Ordinance to allow a greater amount of signage for industrial sites or to reject the request. MOTION BY Council member Vetsch, seconded by Mayor Peterson to approve GEM Development — Granite -Tops, LLC - Zoning Text Amendment for Industrial Wall Signage-Approve Ordinance No. 2006-xx entitled an Ordinance Amending Section 10-7-8 of Chapter 7 Relating to Permitted Business Signs with the recommendations from the Planning and Zoning Commission and with staff s recommendations. Motion carried unanimously. Albertville Medical Clinic -Building LLC - Approve Resolution No. 2006-xx entitled a Resolution Approving a Site and Building Plan Review, Preliminary and Final Plat, and Conditional Use Permit/Planned Unit Development CUP/PUD) Amendment for Albertville St. Michael Clinic Located at County Road 19 and County Road 18 in the City of Albertville City Planner Brixius informed the Council that HDR/Jordan Architects has applied for a Conditional Use Permit/Planned Unit Development (CUP/PUD) Amendment, Preliminary and Final Plat, Site and Building Plan Review for a new medical clinic within the Albertville city limits. The originally approved plan submitted by the applicant was the construction of three (3) buildings on the site and has since reduced the number of buildings done to two (2) on the site. The revised plans show a number of revisions to the site plan, with the primary improvement being • the access and circulation. The access to the property has been shifted west along 51 st Street NE to improve driveway circulation. The applicant added sidewalks in several areas to improve I pedestrian circulation through the parking lots. Also provided by the applicant is a connection to the trail along CSAH 19. • MOTION BY Council member Klecker, seconded by Council member Fay to approve the Albertville Medical Clinic -Building LLC, approving Resolution No. 2006-xx entitled a Resolution Approving a Site and Building Plan Review, Preliminary and Final Plat, and Conditional Use Permit/Planned Unit Development CUP/PUD) Amendment for Albertville St. Michael Clinic Located at County Road 19 and County Road 18 in the City of Albertville with the recommendations from the Planning and Zoning Commission and with staff s recommendations. Motion carried unanimously. ENGINEERING Bolton & Menk. Inc. Status Update Assistant City Engineer Nafstad reported that the 52nd Street NE Project has been awarded, the contract has been signed and notice to proceed has been issued. All improvements, with the exception of fencing and a minor punch list of items valuing at about $1,000 have been completed. As far as Towne Lakes 6th Addition, grading throughout the addition has resumed and construction of Lancaster Way NE has begun. The needed construction easements for 57th Street NE sidewalk have been requested from the • residents adjacent to the project, quotes from contractors are being solicited, and possible pole relocation is being discussed with Xcel Energy. Staff will come back with cost estimates at a future meeting, along with the Council request to research Lambert Avenue NE and 57th Street NE. LEGAL Approve Resolution No. 2006-xx entitled a Resolution Declaring the Official Intent of the City of Albertville to Reimburse Certain Expenditures from the Proceeds of Bonds to be Issued by the City City Attorney Couri stated that the Internal Revenue Service has issued Treasurer Regulations Minnesota State Statute 1.150-2 providing that proceeds of tax-exempt bonds used to reimburse prior expenditures will not be deemed spent unless certain requirements are met. Therefore this resolution is intended to constitute a declaration of official intent for purposes of Treasurer Regulations; Minnesota State Statute 1.150-2 and any successor law, regulation, or ruling. MOTION BY Council member Berning, seconded by Council member Klecker to Approve Resolution No. 2006-xx entitled a Resolution Declaring the Official Intent of the City of Albertville to Reimburse Certain Expenditures from the Proceeds of Bonds to be issued by the City. Motion carried unanimously. ADMINISTRATION Written Report 10 O City Administrator Kruse reported on the progress of City Hall and how things are moving along. Again there were a few minor problems such as the curbing along the front of the existing (current) City Hall, which needed to be addressed and has been resolved. An I-94 Project Implementation Task Force meeting was held at the Country Inn & Suites. The meeting started off a little challenging, but the group seemed to come to an agreement and the understanding of the importance of working together. Request for Council Action to Accept the Contract for Low Bid for the City Hall Phone System to (Cable Services in the amount of $32,841.90) City Administrator Kruse stated that the City has contracted with Elert and Associates to develop specifications, bidding and facilitate selection of a phone system for the new City Hall. It is the recommendation from Elert and Associate and staffs to accept the low quote of Cable Services of Maple Grove in the amount of $32,841.90. MOTION BY Council member Fay, seconded by Council member Klecker to approve Request for Council Action to Accept the Contract for Low Bid for the City Hall Phone System to (Cable Services in the amount of $32,841.90. Motion carried unanimously. ADJOURNMENT MOTION BY Council member Klecker, seconded by Council member Berning to adjourn at 8:35 18 p.m. Motion carried unanimously. is 11 i A�Ibcrtvillca City of Albertville Check Detail Register August 21, 2006 Check Amt Invoice Comment 10100 Premier Bank Paid Chk# 023177 8/21/2006 AFLAC G 101-21710 Other Deducations $16.16 075714 AFLAC Insurance Prem Total AFLAC $16.16 Paid Chk# 023178 8/21/2006 ALBERTVILLE BODY SHOP, INC. E 101-45100-404 Repair/Maint - $100.00 2851 89 chev 4x4 replace pins/bushi Total ALBERTVILLE BODY SHOP, INC. $100.00 Paid Chk# 023179 8/21/2006 BARR ENGINEERING COMPANY E 498-00000-304 Legal Fees $1,017.00 Albertvilla flood Total BARR ENGINEERING COMPANY $1,017.00 Paid Chk# 023180 8/21/2006 BOLTON & MENK, INC E 101-42400-303 Engineering Fees $2,175.00 95569 Lot Surveys/As-Built reviews E 101-41700-303 Engineering Fees $126.00 95847 CSAH 37 Access plan E 492-49000-303 Engineering Fees $4,986.00 96431 52nd St E 101-41700-303 Engineering Fees $168.00 96432 Lachman Ave E 101-41710-303 Engineering Fees $1,806.00 96433 LaBeaux station E 101-41710-303 Engineering Fees $3,493.00 96434 Hunters pass E 101-41710-303 Engineering Fees $665.00 96435 T-Square E 101-41710-303 Engineering Fees $126.00 96435 Albert Villa 7th E 101-41710-303 Engineering Fees $159.00 96435 Advance fitness E 101-41710-303 Engineering Fees $315.00 96435 Koville 2nd E 101-41700-303 Engineering Fees $378.00 96435 STMA school E 468-49000-303 Engineering Fees $546.00 96435 I-94 E 101-41710-303 Engineering Fees $84.00 96435 Welcome furniture E 101-41710-303 Engineering Fees $576.00 96435 Towne Lakes 5th E 101-41710-303 Engineering Fees $756.00 96435 Eull Concrete E 101-41700-303 Engineering Fees $1,218.00 96435 Staff, council meetings, Trans E 101-41710-303 Engineering Fees $1,435.00 96435 Towne lakes 3rd E 604-49660-300 Professional Srvs (GENERAL) $522.00 96435 Drainage review E 101-41710-303 Engineering Fees $5,005.00 96435 Towne Lakes 5th E 101-41710-303 Engineering Fees $560.00 96435 Kollville 3rd E 101-41710-303 Engineering Fees $2,543.00 96436 Towne Lakes 6th E 496-00000-303 Engineering Fees $239.63 96437 Hockey rink E 101-42400-303 Engineering Fees $900.00 96438 Lot Surveys/As-Built reviews E 101-41700-303 Engineering Fees $700.00 96439 Space Aliens E 482-49300-303 Engineering Fees $1,414.00 96440 CH E 101-41710-303 Engineering Fees $2,438.00 96441 Phillip Morris Property E 101-41700-303 Engineering Fees $294.00 96442 CSAH 19 & 50th E 473-49000-303 Engineering Fees $2,619.00 96443 Prairie Run E 101-41710-303 Engineering Fees $84.00 96444 Shoppes of Towne Lakes II E 101-41710-303 Engineering Fees $623.00 96445 State bank of long lake E 101-41700-303 Engineering Fees $330.50 96446 CSH 19 67TH -70TH E 604-49660-300 Professional Srvs (GENERAL) $1,050.00 96447 Wetland mitigation Barthel E 101-41710-303 Engineering Fees $84.00 96448 Albertville clinic E 101-43100-224 Street Overlayment $2,141.00 96449 2006 overlay project E 101-43100-223 Seal Coating $210.00 96450 2006 sealcoat project E 101-41710-303 Engineering Fees $694.50 96451 Outlet mall ped cross E 498-00000-303 Engineering Fees $1,022.00 96452 Flood Mitigation E 101-41700-303 Engineering Fees $1,801.50 96453 STMA School E 101-41710-303 Engineering Fees $465.00 96454 Towne Lakes 7th E 101-41710-303 Engineering Fees $1,244.50 96455 Intex Development Total BOLTON & MENK, INC $45,996.63 13 Check Amt Invoice Comment 10100 Premier Bank Paid Chk# 023181 8/21/2006 BRKW APPRAISALS, INC. E 468-49000-300 Professional Srvs (GENERAL) $400.00 5484.1 Total BRKW APPRAISALS, INC. $400.00 Paid Chk# 023182 8/21/2006 CARBONES PIZZERIA ALBERTVILLE E 101-41400-399 Miscellaneous $12.51 E 101-41400-399 Miscellaneous $13.76 Total CARBONES PIZZERIA ALBERTVILLE $26.27 1-94 appraisal Knechtl Consultant/staff meeting Consultant/staff meeting Paid Chk# 023183 8/21/2006 CARQUEST E 101-45100-404 Repair/Maint - $1.49 finance charge E 601-49450-404 Repair/Maint- $126.74 D10242 12 V next generation E 101-45100-404 Repair/Maint- $25.63 D10721 oil fiters, bulbs E 101-45100-404 Repair/Maint- $13.87 D11019 oil filter E 101-45100-404 Repair/Maint - $22.19 D7417 belt for truck E 101-45100-404 Repair/Maint - $10.55 D8611 belt for truck Total CARQUEST $200.47 Paid Chk# 023184 8/21/2006 CCP INDUSTRIES INC E 101-45100-405 Repair/Maint - Buildings $115.77 21412590 toilet tissue Total CCP INDUSTRIES INC $115.77 Paid Chk# 023185 8/21/2006 CENTER POINT ENERGY E 601-49450-383 Gas Utilities $34.54 54075742070 6440 Maciver E 101-43100-383 Gas Utilities $45.82 54214424070 6461 Maciver E 101-45100-383 Gas Utilities $7.06 80000144255 5801 Lander Ave E 101-42000-383 Gas Utilities $19.78 80000144255 11350 57th St E 101-42400-383 Gas Utilities $21.50 80000144255 5954 Main Ave E 101-41940-383 Gas Utilities $17.25 80000144255 5975 Main Ave Total CENTER POINT ENERGY $145.95 Paid Chk# 023186 8/21/2006 COMMUNITY PARTNERS E 101-41000-300 Professional Srvs (GENERAL) $1,486.75 Fraser/Negaard Tif Total COMMUNITY PARTNERS $1,486.75 Paid Chk# 023187 8/21/2006 COURT & MACARTHUR E 101-41600-304 Legal Fees $227.50 57th St Sidewalkd E 101-41610-304 Legal Fees $36.25 Clinic E 101-41610-304 Legal Fees $36.25 Shoppes at Prairie run E 101-41610-304 Legal Fees $36.25 Space Aliens E 101-41610-304 Legal Fees $72.50 Towne lakes 5 E 101-41610-304 Legal Fees $130.00 Advance fitness E 604-49660-300 Professional Srvs (GENERAL) $97.50 Albert villas drainage E 101-41610-304 Legal Fees $181.25 Intex E 101-41600-304 Legal Fees $520.00 RR property purchase E 101-41610-304 Legal Fees $435.00 Philip Morris E 473-49000-304 Legal Fees $1,007.50 Prairie run litigation E 101-41610-304 Legal Fees $761.25 Shoppes at Towne lakes 2 E 101-41600-304 Legal Fees $1,137.50 rail road, ordinances, staff m E 101-41610-304 Legal Fees $1,268.75 Eull Concrete E 101-41600-304 Legal Fees $162.50 Edina default E 101-41610-304 Legal Fees $1,051.25 Albertville Plaza 2 E 468-49000-304 Legal Fees $130.00 1-94 Total COURT & MACARTHUR $7,291.25 Paid Chk# 023188 8/21/2006 CROW RIVER NEWS NORTH E 101-41100-351 Legal Notices Publishing $183.21 630740LEG 52nd Street Imp E 101-41100-351 Legal Notices Publishing $168.56 630742LEG Overlay impry E 101-41100-351 Legal Notices Publishing $34.48 635798LEG Plaza PUD E 101-41100-351 Legal Notices Publishing $36.94 635800LEG Morris PUD E 101-41100-351 Legal Notices Publishing $33.29 638151LEG Ord 2006-09 E 101-41100-351 Legal Notices Publishing $270.58 638154LEG Ord 2006-10 E 101-41100-351 Legal Notices Publishing $36.94 640387LEG Prairie run PUD E 101-41100-351 Legal Notices Publishing $33.29 642662LEG PH Plaza PUD E 101-41100-351 Legal Notices Publishing $103.72 642670LEG PH TIF 13 E 101-41100-351 Legal Notices Publishing $30.93 642673LEG Plaza Vac easement E 101-41100-351 Legal Notices Publishing $85.89 642674LEG PH TIF 12 E 101-41100-351 Legal Notices Publishing $35.76 642684LEG PH Shoppes Plan review Total CROW RIVER NEWS NORTH $1,053.59 14 Check Amt Invoice Comment 10100 Premier Bank Paid Chk# 023189 8/21/2006 D. ERVASTI SALES CO E 101-45100-210 Operating Supplies $68.16 8489 complete double playfield rake Total D. ERVASTI SALES CO $68.16 Paid Chk# 023190 8/21/2006 DALEIDEN, ARIANA E 101-45000-596 Friendly City Days $1,000.00 Princess 2005-2006 Total DALEIDEN, ARIANA $1,000.00 Paid Chk# 023191 8/21/2006 DENNIS FEHN GRAVEL & EXCAVATIN E 602-49400-407 R/M - Water Mains $276.65 19579 screened sand Total DENNIS FEHN GRAVEL & EXCAVATIN $276.65 Paid Chk# 023192 8/21/2006 DXS TOTAL HOME CARE CENTER E 601-49450-210 Operating Supplies $18.59 13800 Bit tip scrwdrvr, scrw drvr sq E 601-49450-210 Operating Supplies $25.82 13866 roller, wheel 10X 1.75 hub, ca E 601-49450-210 Operating Supplies $8.50 13874 rstp spry safty red E 602-49400-210 Operating Supplies $25.29 13966 rstp vocoilenm sftyel qt, pain E 602-49400-210 Operating Supplies $57.39 14140 pipe galv tub 1.25" x 10' E 601-49450-210 Operating Supplies $105.17 14158 hose, flow hose, cleaner, mend E 601-49450-210 Operating Supplies $39.15 14177 roller, rstp vocoilenm, tray p E 601-49450-210 Operating Supplies $18.90 14288 grease mult-purp mar, tray pai E 601-49450-210 Operating Supplies $21.29 14360 Sprinkl head 1/2" brass E 602-49400-210 Operating Supplies $25.50 14381 rstp spry salty red E 602-49400-210 Operating Supplies $4.25 14492 rstp spry safty red E 601-49450-210 Operating Supplies $28.17 14571 grease marine cart, marking pa Total DXS TOTAL HOME CARE CENTER $378.02 Paid Chk# 023193 8/21/2006 EARL F. ANDERSON, INC. E 101-43100-226 Sign Repair Materials $294.26 0072894-IN 9" street sign plates, bracket E 101-43100-226 Sign Repair Materials $226.42 0073024-IN 9" street sign plates, bracket Total EARL F. ANDERSON, INC. $520.68 Paid Chk# 023194 8/21/2006 EAST SIDE OIL COMPANIES INC E 101-43100-215 • Shop Supplies $26.25 R20886 filters Total EAST SIDE OIL COMPANIES INC $26.25 Paid Chk# 023195 8/21/2006 EGGEN'S DIRECT SERVICE, INC. E 101-45100-212 Motor Fuels $38.01 111061 fuel E 101-45100-212 Motor Fuels $75.00 111065 fuel E 101-43100-212 Motor Fuels $75.22 111069 fuel E 101-45100-212 Motor Fuels $12.25 111072 fuel E 602-49400-212 Motor Fuels $70.01 111074 fuel E 601-49450-212 Motor Fuels $52.50 111083 fuel E 602-49400-212 Motor Fuels $70.00 111091 fuel E 101-45100-212 Motor Fuels $85.44 111096 fuel E 101-45100-212 Motor Fuels $13.00 111097 fuel E 101-45100-212 Motor Fuels $84.02 111098 fuel E 601-49450-212 Motor Fuels $100.01 111100 fuel E 101-42400-212 Motor Fuels $7.00 111104 fuel E 602-49400-212 Motor Fuels $73.02 111105 fuel Total EGGEN'S DIRECT SERVICE, INC. $755.48 Paid Chk# 023196 8/21/2006 ELECTION SYSTEMS & SOFTWARE E 101-41410-300 Professional Srvs (GENERAL) $227.52 602009 election paper, ink, secrecy s Total ELECTION SYSTEMS & SOFTWARE $227.52 Paid Chk# 023197 8/21/2006 ELERT & ASSOCIATES E 482-49300-300 Professional Srvs (GENERAL) $1,277.50 154736 CH phone system Total ELERT & ASSOCIATES $1,277.50 Paid Chk# 023198 8/21/2006 FEDERATED CO-OPS, INC. E 101-45100-530 Improvements $70.56 F21340 choice mix E 101-43100-401 Repair/Maint - Unpaved $41.54 F21419 2, 4-13 amine E 101-45100-210 Operating Supplies $11.80 F21430 barn lime E 601-49450-210 Operating Supplies $92.19 F21490 buccaneer plus E 101-43100-401 Repair/Maint - Unpaved $19.64 F21527 2, 4-D amine E 101-43100-401 Repair/Maint - Unpaved $92.19 F21537 buccaneer plus Total FEDERATED CO-OPS, INC. $327.92 15 Check Amt Invoice Comment 10100 Premier Bank • Paid Chk# 023199 8/21/2006 FLANAGAN SALES, INC E 101-45100-530 Improvements $3,124.07 12614 PVC coated 8' table, modern be Total FLANAGAN SALES, INC $3,124.07 Paid Chk# 023200 8/21/2006 HALLMAN OIL COMPANY -FUEL DIV E 101-45100-404 Repair/Maint- $553.19 195445 ChevronTexaco RPM HDMO 10 W 30 Total HALLMAN OIL COMPANY -FUEL DIV $553.19 Paid Chk# 023201 8/21/2006 HAWKINS, INC E 601-49450-217 Chemicals - Ferric Chloride $100.19 828032 soda ash grade 100 Total HAWKINS, INC $100.19 Paid Chk# 023202 8/21/2006 HEALTH PARTNERS E 101-42400-130 Employer Paid Ins $1,493.25 Emp Health/Dental Ins E 101-41400-131 Employer Paid Health $995.61 Emp Health/Dental Ins E 601-49450-130 Employer Paid Ins $623.80 Emp Health/Dental Ins G 101-21706 Group Insurance Payable $2,036.39 Emp Health/Dental Ins Emp port E 602-49400-130 Employer Paid Ins $686.00 Emp Health/Dental Ins E 101-43100-130 Employer Paid Ins $1,261.86 Emp Health/Dental Ins E 101-41300-131 Employer Paid Health $406.06 Emp Health/Dental Ins E 101-41500-131 Employer Paid Health $533.55 Emp Health/Dental Ins E 101-45100-130 Employer Paid Ins $624.50 Emp Health/Dental Ins Total HEALTH PARTNERS $8,661.02 Paid Chk# 023203 8/21/2006 INSPECTRON INC. E 101-42400-300 Professional Srvs (GENERAL) $5,575.00 7/3-7/28 service E 101-42400-300 Professional Srvs (GENERAL) $4,000.00 6/5-6/30 service Total INSPECTRON INC. $9,575.00 Paid Chk# 023204 8/21/2006 JOINT POWERS BOARD R 602-00000-37105 Water Sales - JPB $45,896.51 JP Dist R 602-00000-37105 Water Sales - JPB $982.15 JP Dist Combo R 602-00000-37130 Safe Water Test Fees $846.85 Fed Wtr Test R 602-00000-37105 Water Sales - JPB $807.30 JP Dist II Low • R 602-00000-37105 Water Sales - JPB $702.45 JP Dist Pen R 206-00000-37171 WAC - JPB $32,847.00 JP WAC R 602-00000-37105 Water Sales - JPB $14.00 JP Access R 602-00000-37166 Safe Water Penalty $18.52 Fed Wtr Test Pen Total JOINT POWERS BOARD $82,114.78 Paid Chk# 023205 8/21/2006 K. HOVNANIAN R 602-00000-99999 UNALLOCATED UTILITY $48.85 refund overpmt on final UB Total K. HOVNANIAN $48.85 Paid Chk# 023206 8/21/2006 KEYLAND HOMES G 101-22800 Landscaping Escrow $3,000.00 refund escrow 10322 Kali Total KEYLAND HOMES $3,000.00 Paid Chk# 023207 8/21/2006 M & P SIGN CO. E 101-43100-404 Repair/Maint - $77.21 6488 Cut vinyl decals Total M & P SIGN CO. $77.21 Paid Chk# 023208 8/21/2006 MTR SERVICES INC E 604-49660-300 Professional Srvs (GENERAL) $776.25 3909 clean out holding pond E 604-49660-300 Professional Srvs (GENERAL) $506.25 3913 dig out ditch by tracks & Bart Total MTR SERVICES INC $1,282.50 16 10100 Premier Bank Paid Chk# 023209 8/21/2006 N. A. C. E 101-41910-306 Planning Fees E 473-49000-306 Planning Fees E 101-41910-306 Planning Fees E 482-49300-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41915-306 Planning Fees E 101-41910-306 Planning Fees • • Check Amt Invoice Comment $121.75 15658 $29.55 15658 $806.14 15658 $41.00 15658 $240.50 15659 $568.73 15659 $23.10 15659 $152.10 15659 $963.41 15659 $843.10 15659 $644.22 15659 $1,603.84 15659 $334.95 15659 $168.78 15659 $136.97 15659 $99.10 15659 $95.75 15659 $23.10 15659 $750.00 15660 Total N. A. C. $7,646.09 sex offender res. Restriction Gold Kay lawsuit swamp (lake, public hearings, CH landscape Burger King Schultz & Schupp Winkelmann Caribou coffee sign Shoppes at towne lakes II fina R J Marco Albertville Plaza 2 Perkins- Shoppes at towne lake Phil Morris Development Albertville Clinic Outlet Mall trash enclosures Intex Site plan Granite tops sign Space Aliens State bank of long lake Fraser Steel Council, staff & plann comm mt Paid Chk# 023210 8/21/2006 NORTHERN SAFETY CO., INC. E 602-49400-582 C/O - Misc. Equipment $333.60 P1513817010 maxirack hvy dty boltless shel Total NORTHERN SAFETY CO., INC. $333.60 Paid Chk# 023211 8/21/2006 NORTHERN WATERWORKS E 602-49400-250 Meters for Resale $3,567.89 S01033233.0 Meters for Re -sale Total NORTHERN WATERWORKS $3,567.89 Paid Chk# 023212 8/21/2006 NORTHLAND CHEMICAL CORP. E 101-41940-399 Miscellaneous $70.61 102933 natures way detergent Total NORTHLAND CHEMICAL CORP. $70.61 Paid Chk# 023213 8/21/2006 OMANN BROTHERS R 201-00000-34705 Park Dedication Fees $6,750.00 19687 parking lot overlay & striping E 101-43100-400 Repair/Maint - Paved Rd $44.44 7179 1/2" # 2341 A.C. Mix E 101-43100-400 Repair/Maint - Paved Rd $222.12 7203 LV4 Mix Total OMANN BROTHERS $7,016.56 Paid Chk# 023214 8/21/2006 OTSEGO, CITY OF E 101-43100-401 Repair/Maint- Unpaved $1,172.50 dustcoating 70th st Total OTSEGO, CITY OF $1,172.50 Paid Chk# 023215 8/21/2006 PAT'S 66 E 101-45100-212 Motor Fuels $58.10 14016 fuel Total PAT'S 66 $58.10 Paid Chk# 023216 8/21/2006 PROFESSIONAL MOSQUITO CONTROL E 101-41000-300 Professional Srvs (GENERAL) $1,395.00 22897 August 4th services Total PROFESSIONAL MOSQUITO CONTROL $1,395.00 Paid Chk# 023217 8/21/2006 PROMOTION GRAPHICS E 101-42400-300 Professional Srvs (GENERAL) $125.00 20060831 magnetic signs for inspection Total PROMOTION GRAPHICS $125.00 Paid Chk# 023218 8/21/2006 RAAB, DEBBIE G 101-22900 Park Rental Deposit Escrow $100.00 refund park damage deposit Total RAAB, DEBBIE $100.00 Paid Chk# 023219 8/21/2006 RC GRADING & EXCAVATING INC E 602-49400-407 R/M - Water Mains $2,479.86 3797 water line repair Total RC GRADING & EXCAVATING INC $2,479.86 Paid Chk# 023220 8/21/2006 RED'S PORTABLE TOILETS E 101-45100-415 Other Equipment Rentals $743.90 10556 Rental -Portable Bathrooms Total RED'S PORTABLE TOILETS $743.90 17 Check Amt Invoice Comment 10100 Premier Bank • Paid Chk# 023221 8/21/2006 ROSE, KAREN E 101-45000-596 Friendly City Days $1,750.00 Miss Albertville 2005-2006 Total ROSE, KAREN $1,750.00 Paid Chk# 023222 8/21/2006 S.E.H. E 101-41700-303 Engineering Fees $680.99 148466 CSAH 19 upgrade E 101-41700-303 Engineering Fees $228.00 148467 staff mtg, project update, pro E 473-49000-303 Engineering Fees $41.00 148467 ariel photos Prairie Run E 470-49000-303 Engineering Fees $3,598.19 148470 CSAH 37 bike path E 473-49000-303 Engineering Fees $2,849.73 148471 Prairie run E 491-49000-303 Engineering Fees $7,831.80 148554 WWTF E 468-49000-303 Engineering Fees $2,231.01 148754 1-94 Total S.E.H. $17,460.72 Paid Chk# 023223 8/21/2006 SENTRY SYSTEMS, INC. E 101-42000-405 Repair/Maint - Buildings $28.38 500307 FD Alarm E 101-42000-405 Repair/Maint - Buildings $4.21 500307 FD Alarm E 101-43100-405 Repair/Maint - Buildings $29.23 500307 PW Alarm E 101-45100-405 Repair/Maint -Buildings $30.96 500307 5801 Lander Alarm Total SENTRY SYSTEMS, INC. $92.78 Paid Chk# 023224 8/21/2006 SHERWIN-WILLIAMS CO E 101-43100-400 Repair/Maint - Paved Rd $252.41 8000-01299 Pro Mar Alkyd White Total SHERWIN-WILLIAMS CO $252.41 Paid Chk# 023225 8/21/2006 TINKLENBERG GROUP E 468-49000-300 Professional Srvs (GENERAL) $3,863.19 1213 1-94 Total TINKLENBERG GROUP $3,863.19 Paid Chk# 023226 8/21/2006 WASTE MANAGEMENT E 101-41940-384 Refuse/Garbage Disposal $162.09 1405312-159 Refuse Waste Hauler Total WASTE MANAGEMENT $162.09 Paid Chk# 023227 8/21/2006 WRIGHT COUNTY IT E 101-43100-335 Education $125.00 06-074 computer class TG Total WRIGHT COUNTY IT $125.00 Paid Chk# 023228 8/21/2006 WRIGHT CTY SHERIFFS PATROL E 101-42110-307 Police Contract Fees $36,500.00 Partole-06-8 Aug 06 service Total WRIGHT CTY SHERIFFS PATROL $36,500.00 Paid Chk# 023229 8/21/2006 WRIGHT RECYCLING E 101-43200-308 Recycling Contract Fee $3,710.70 July service Total WRIGHT RECYCLING $3,710.70 Paid Chk# 023230 8/21/2006 XCEL ENERGY E 101-43160-381 Electric Utilities $34.43 51416598070 5700 LaBeaux signal E 101-41940-381 Electric Utilities $25.46 51457964030 11830 51st St E 601-49450-381 Electric Utilities $275.19 51468978490 11200 60th swr E 601-49450-381 Electric Utilities $32.72 51468978490 4940 Kaiser swr E 101-45100-381 Electric Utilities $8.77 51468978490 11474 58th E 601-49450-381 Electric Utilities $4,753.47 51468978490 6451 Maciver E 101-45100-381 Electric Utilities $8.04 51468978490 5801 Main E 101-42400-381 Electric Utilities $80.50 51468978490 5964 Main Ave E 601-49450-381 Electric Utilities $90.06 51468978490 11942 52nd Lift station E 101-41940-381 Electric Utilities $49.09 51468978490 6002 Main E 101-41940-381 Electric Utilities $696.75 51468978490 5975 Main Ave E 101-43100-381 Electric Utilities $458.59 51468978490 6461 Maciver E 101-42000-381 Electric Utilities $373.95 51468978490 11350 57th E 101-41940-381 Electric Utilities $182.07 51468978490 auto protective Igt, facil chg E 101-45100-381 Electric Utilities $165.99 51468978490 11401 58th E 101-43160-381 Electric Utilities $33.11 51468978490 61st St Signal E 101-41940-381 Electric Utilities $28.20 51468978500 11750 County Road 37 Signal E 101-41940-381 Electric Utilities $23.98 51511236300 5998 LaBeaux E 601-49450-381 Electric Utilities $44.50 51545432690 5900 County Road 18 Swr E 101-41940-381 Electric Utilities $3.37 51555641080 5799 Lander E 101-45100-381 Electric Utilities $4.05 51644391160 10820 Kantar Ct E 101-43160-381 Electric Utilities $4,828.18 51690103800 Street Lighting - 58-59-60 St. Total XCEL ENERGY $12,200.47 • Fund Summary 101 GENERAL FUND 201 PARK DEDICATION 206 WAC FUND 468 CSAH 19 RAMPS/I 94 Project 470 CSAH 37 TRAIL. 473 PRAIRIE RUN 482 CITY HALL 2004-5 491 WWTF Phase 2 492 52nd st Industrial Park 496 Hockey Rink 498 Flood Mitigation Project 601 SEWER FUND 602 WATER FUND 604 STORM WATER • 10100 Premier Bank $272,071.30 10100 Premier Bank $130,800.61 $6,750.00 $32,847.00 $7,170.20 $3,598.19 $6,546.78 $2,732.50 $7,831.80 $4,986.00 $239.63 $2,039.00 $6,591.50 $56,986.09 $2,952.00 $272,071.30 19 • Con ineem /p/p��y�.p�{ypp�yy suWng n '�pY{ �/y■���p� &■/ Surrey�fqv 2638 � Lane, fte 200 - Chaska, MN 18 Phore (%2) i 8 - FAX (952) 4484M5 AuMusti City A,t1 City of Abstvitte 5975 Main Avenue W P, O. 9 Albewtvik MN 5 301 Towne Additi - of Cm& Reduction Bid ftiect No. `D 5.2 1677 N lal<4 T : g s A F E _ � �r� '. � � a - •. a t 3.; s � v - ;.. ,a = -� �e :-..: _ # _: ,_.. *I Once all oulstamlIng pmehlist item have bftn properly g submitted fut Council appranl- HOLTON K,- -°T� Adam Nafst4 RE ARvdvilto Asmimant City FAginccr t'Cs Ting IAMCS a Albenvitic finanm Dkcctor David Herapd AN-KAT , JI+N . FAI MONT, WN * SLEEPY EYL MN • BURNSVILLE, M . WILLMAR, MN . CflASKA, M - AMES, IA 21 ME= Mr. Adam NaftWd I P, E City of Albertville $975 Main Ave, NE P.OBox 9 Alb&MMe, MN 55301 m No: Request for Final Acceptame — Tome La�kes 50'� Public Street an,-;' Improvements I AMNIMAM. CIM T IUMEOPhOVICI my ipleted in 54'. The 5 been ortly, The is have 22 23 24 • CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO.2006-xx A RESOLUTION ESTABLISHING THE ANNUAL RETIREMENT BENEFIT FOR THE ALBERTVILLE VOLUNTEER FIRE DEPARTMENT EFFECTIVE JANUARY 1, 2007 WHEREAS, the City Council of the City of Albertville is desirous of increasing the annual retirement benefit for the Albertville Fire Department effective January 1, 2007; and WHEREAS, the City Council is committed to contribute $1,600 as the 2007 municipal contribution to the Albertville Fire Relief Association. NOW, THEREFORE, BE IT RESOLVED, the City Council of the City of Albertville hereby establishes the retirement benefit of the Albertville Fire Relief Association at $1,600 per year of iservice for all members based on their years of service as active Fire Department members. Adopted by the City Council of the City of Albertville this 21 St day of August 2006. Don Peterson, Mayor Bridget Miller, City clerk • 25 A�Ibertvillc • Small Town Living. Big City We. TO: City Council FROM: Tina L. Lannes DATE: August 10, 2006 RE: 2007 Preliminary City Budget Attached for your review is the tax levy and budget summary for 2007 that city staff are recommending for preliminary certification to Wright County no later than September 151h. Please keep in mind that this is the preliminary levy. The final levy is not certified until mid December so there is a still opportunity to review and discuss the 2007 budget and tax levy as needed. The important thing to note is that the final levy can be less than the preliminary levy but it cannot be more. So we don't want to get "locked" into a levy that is inadequate to fund our programs and projects for next year. After the council work session on the budget on August 9, 2006 staff checked and found the 2007 request for FYCC was not submitted yet and was not in the budget. Council discussion reminded staff of the item so it is added into the budget based on what the city donates each year. That increase was the only item added to the budget that was not discussed at the work session. . The budget that staff is proposing for 2007 totals 3.29 million. The budget includes a General Fund tax levy of $2,009,558 for taxes payable 2007. This is an increase of $273,659 over last year. Plus, the debt service levy has increased from $359,650 to $360,959. Therefore, the total levy, both general fund and debt service has increased from $2,095,580 in 2006 to $2,370,517. The estimated impact on the City of Albertville portion of property taxes (based on the taxable value remaining the same as 2006 and growth) would be a slight decrease as illustrated below. Payable 2006 Annual Levy est. Payable 2007 est. Increase Levy $2,095,580 $2,370,517 $274,967 Impact on $200,000 home $605 $622 $17 2.84% Impact on $300,000 home $907 $933 $26 2.84% Impact on $400,000 home $1,210 $1,244 $34 2.84% Doesn't include Homestead Credit due to that is based on individual values Doesn't include increase in market value CITY COUNCIL ACTION REQUESTED I* Approve Resolution Adopting the 2007 Preliminary Tax Levy and 2007 Preliminary Budget. 27 CITY OF ALBERTVILLE COUNTY OF WRIGHT • STATE OF MINNESOTA RESOLUTION NO.2006-xx A RESOLUTION ADOPTING THE 2007 PRELIMINARY BUDGET WHEREAS, the City Council of the City of Albertville has adopted a proposed budget; and WHEREAS, the Albertville City Council has adopted a preliminary tax levy to be placed upon the taxable property in the City of Albertville; and WHEREAS, the Albertville City Council desires to reserve within the General Fund those monies designated as capital outlays within various budget classifications, such that those monies can be disbursed only for those capital outlays so specified within the budget. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ALBERTVILLE, MINNESOTA: 1. The attached budget is hereby adopted as the final budget for the City of Albertville for the period January 1, 2007, through December 31, 2007. 2. All monies designated within the budget, as capital outlays shall be reserved within the Capital is Reserves Fund, such that those monies can be disbursed only for those capital outlays so specified within the budget. 3. The Albertville City Council has hereby complied with Minnesota Statutes. 4. The Finance Director is hereby authorized to transmit certification of compliance with Minnesota Statutes to the Commissioner of Revenue as required. Adopted by the Albertville City Council this 21" day of August 2006. Don Peterson, Mayor Bridget Miller, City Clerk W. • A,lbertville Small Town Uving. Big City Ufa. 2007 BUDGET SUMMARY COMPARISON (preliminary) GENERAL FUND General Fund Revenue: 2006 Budget 2007 Proposed Budget Difference % Inc/Dec 31010 Current Ad Valorem Taxes 1,735,899 2,009,558 $273,659 15.8% 32100 Business Licenses & Permits 27,000 28,000 $1,000 3.7% 32110 Liquor Licenses 20,000 22,000 $2,000 10.0% 32120 3.2 Liquor Licenses 440 200 -$240 -54.5% 32150 Sign Permits 4,000 3,094 -$906 -22.7% 32210 Building Permits 500,000 420,000 -$80,000 -16.0% 32240 Animal Licenses 500 700 $200 40.0% 33405 Police Aid 14,000 17,000 $3,000 21.4% 33406 Fire Aid 50,000 55,000 $5,000 10.0% 33422 Other State Aid Grants 150 500 $350 33620 County Grants & Aids 10,000 10,000 $0 0.0% 34000 Charges for Services 8,000 8,000 $0 0.0% 34101 Lease Payments - City Property 5,000 27,700 $22,700 454.0% 34001 Administration fees 245,428 276,351 $30,923 12.6% 34050 Developer Fees 3% 150,000 125,000 -$25,000 -16.7% 34103 Zoning & Subdivision Fees 15,000 15,000 $0 Plan Check Fee 74,000 $100,000 100.0% 34105 Sale of Maps 300 300 $0 34106 PID/Le al Description Requests 1,500 1,500 $0 0.0% 34107 Title Searches 1,500 1,500 $0 0.0% 34302 Fire Protection Contract Charges 60,500 84,944 $24,444 40.4% 34780 Park Rental Fees 2,000 2,000 $0 0.0% 34950 Other Revenues 10,000 10,000 $0 35000 Fines & Forfeits 100 200 $100 100.0% 36210 1 Interest Earnings 75,000 75,000 $0 0.0% Reserves 1 21,545 25,000 $3,455 Total Revenues 2,957,862 3,292,547 360,685 11.3% 29 General Fund Department Expenditures: 2006 Budget 2007 Proposed Budget Difference % Inc/Dee 41100 Council 38,625 39,494 $869 2.3% 41300 Administrator 119,176 124,327 $5,151 4.3% 41,400 City Clerk 128,327 137,177 $8,851 6.9% 41440 Elections 5,000 6,000 $1,000 20.0% 41500 Finance 90,250 92,542 $2,293 2.5% 41550 City Assessor 35,000 35,000 $0 0.0% 41600 City Attorney 31,500 32,760 $1,260 4.0% 41700 City Engine r 41,200 42,500 $1,300 3.2% 41800 Economic Development 10,500 9,700 -$800 -7.6% 41910 Planning & oning 34,084 34,084 $0 0.0% 41940 City Hall 198,304 259,591 $61,287 30.9% 42000 Fire Department 348,127 404,192 $56,065 16.1 % 42110 Police 440,000 453,200 $13,200 3.0% 42400 Building Inspection 444,940 485,390 $40,450 9.1% 42700 Animal Control 3,500 3,500 $0 0.0% 43100 Public Works - Streets 395,271 464,101 $68,830 17.4% 43160 Street Lighting 48,000 55,000 $7,000 14.6% 43200 Recycling 40,000 45,000 $5,000 12.5% 45000 Culture & Recreation 24,250 35,250 $11,000 45.4% 45100 Parks & Recreation 181,809 196,239 $14,431 7.9% I-94 100,000 100,000 $0 0.0% 49300 Capital Reserves 200,000 237,500 $37,500 18.8% Total Expenditures 2,957,8621 3,292,5471 334,6861 11.3% Levy 2006 2007 General Fund & EDA 1,735,899 2,009,558 Total Tax Levy 1,735,899 2,009,558 273,659 Bonds 96 11,200 11,200 Bonds 99 42,170 41,003 Bonds 03 PF Lease Rev 59,501 64,181 GO Improvement Bond 03 81,497 79,262 City Hall05 PW Facility 04 165,313 165,313 Total Debt Service Levy 359,681 360,959 $1,278.50 Total Levy 2,095,580 2,370,517 $274,937.5 1 • 30 CITY OF ALBERTVILLE . COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO. 2007-xx A RESOLUTION ADOPTING THE 2006 TAX LEVY COLLECTIBLE IN 2007 BE IT ROSOLVED BY THE council of the City of Albertville, County of Wright, Minnesota, that the following sums of money be levied for the current year, collectible in 2007, upon taxable property in the City of Albertville for the following purposes: Total levy $2,370,517.00 The City Clerk is hereby instructed to transmit a certified copy of this resolution to the county auditor of Wright County, Minnesota. • Adopted by the City Council of the City of Albertville this 21 st day 1� of August 2006. Mayor Don Peterson City Clerk Bridget Miller • 31 Building Department A�Ibcrtville 5975 Main Avenue NE • P.O. Box 9 • Albertville, MN 55301 Small Town living. Big City life. Phone: 763-497-5106 • Fax: 763-497-3210 MEMORANDUM TO: Honorable Mayor, City Council, and City Staff FROM: Jon Sutherland, Building Official DATE: August 10, 2006 RE: JULY 2006 PERMIT ACTIVITY REPORT The sweltering heat of July has slowed things up a bit. It was so hot we would try to get the inspection/outside work done as early as possible in the day. Although there is still plenty of roofing work yet to be replaced due to hail damage, it was too hot for workers to be on the roof for the full day. Despite the heat, we processed 41 storm damage permits for a value of $429,756.00. Residential Construction Activity: July brought 12 new single-family dwellings, 8 decks, and 2 swimming pools. Commercial Construction Activity: Various projects include, commercial tenant finish permits for Rancho Grande, our new Mexican Restaurant located at 5600 LaCentre Avenue NE and Universal Wireless Cell Phone Store located at 11008 6 1 " Street NE. We continued to divide larger tenant spaces at the Albertville Premium Outlet mall with a permit for 6415 Labeaux Avenue NE that created 2 from 1; Sketchers Shoe Store was relocated in the mall to a larger space. We issued a few commercial plumbing and mechanical permits. Commercial work is various and steady. Miscellaneous: Miscellaneous permits issued for signs, plumbing, mechanical, and fences, totaled 46 for the month. Total permits: We have a total of 804 for the year-to-date (YTD) with a construction value YTD of $23,651,971. Inspection Activity: This and existing work in progress generated approximately 300 related inspections including Rental Licensing, complaints and zoning enforcement. Sign Code: Sign code enforcement ends up being approximately 4 hours a week. The signs are collected and put in the former Public Works Building located across the street from City Hall. We have quite a collection. We do try to contact the owners to come in and pick them up, but apparently it's not worth the gasoline. We will need to establish a procedure for disposal soon. Attachment: Permit Activity Report 33 �VALUATKM 1 0 UMFM I VAUAMN • Albertville Smolt Town Wing.. Big City We. TO: City Council FROM: John Middendorf DATE: August 14, 2006 RE: Wastewater Treatment Plant Request for Council Action (RCA) BACKGROUND It is our goal to continue to haul sludge on a yearly basis. This year's goal is approximately 300,000 gallons. I have two quotes to haul sludge. Fergus Power Pump - $0.046 per gallon plus a surcharge if the price of fuel above $3.00 per gallon. Ag Enterprises - $0.0518 per gallon RECOMMENDATION Move to accept the quote from Ag Enterprises at a cost not to exceed $16,000. Staff does not know what the price of fuel will be fall 2006. JM:bmm • 35 0 -21, SEH MEMORANDUM • TO: Mayor and City Council FROM: John Stodola DATE: August 10, 2006 RE: Albertville WWTP Change Order No. 2 SEH No. AALBEV0512.00 Change Order No. 2 for the wastewater treatment plant expansion consisted of five (5) items. It is my understanding that there are some questions regarding the first two items which are additional cost items. I recently discussed these in detail with Mr. Dye who is no longer with SEH but was the project engineer at the time to get a better explanation and present that as follows. 1. Add for geotextile wrap for the 6" reed bed drain pipe ........ $1,530. The 6" drain pipe has holes in the bottom which allows the liquid from the sludge, that is applied to the reed beds and drains through the rock and sand, to be carried back to the treatment processes. Although past projects do not have the geotextile wrap around the pipe, it was discussed on site that an improvement would be to wrap the pipe in a geotextile fabric and thereby prevent any of the bed material (sand and rock) from migrating into the pipe. Although the pipe had not been installed yet, it was believed that this improvement was well worth the investment. The geotextile fabric was not part of the initial project but was an improvement to the design. This did not constitute any contractor rework but needed a decision so as to not delay the contractor. 2. Add for modifying piping the sludge pumping station ......... $851. It is my understanding that valves from the existing return activated sludge pumps were being reused and were 6", not 4", as shown on the plans for this expansion. This resulted in the contractor having to exchange some 4" pipe fittings/elbows that he purchased for 6" pipe fittings/elbows. The larger size cost considerably more money. The City would have paid for the larger fittings/elbows in the bid price had the valves been shown on the plans as 6". However, after discussing this with Mr. Dye I believe there are some costs that SEH should pay. There was a restocking charge for the 4" fittings/elbows of $43 and a labor charge of $100 which I believe is for picking up the larger fittings. These amount to $143 plus the contractors markup of 15% for a total of $165 which I believe SEH should pay because that cost would not have been part of the original bid had the 6" been shown. 37 CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO.2006-xx RESOLUTION APPROVING A PRELIMINARY PLAT AND FINAL PLAT FOR SCHULTZ & SCHUPP LLC AT 5836 LARGE AVENUE NE WHEREAS, Schultz & Schupp LLC has submitted an application for a preliminary plat and final plat at 5836 Large Avenue NE; and WHEREAS, City staff has reviewed submitted plans and prepared a planning report dated June 8, 2006; and WHEREAS, the Albertville Planning Commission met and held a public hearing on June 13, 2006 to consider the Schultz & Schupp LLC application; and WHEREAS, upon review of the staff reports and hearing public testimony, the Planning and Zoning Commission closed the public hearing and recommended that the City Council approve the site and building plan review and conditional use permit application with the conditions outlined in the June 8, 2006 Planning Report, June 7, 2006 Memo from the Assistant City Engineer, with additional conditions recommended by the Planning Commission; and WHEREAS, the applicant has submitted revised plans dated June 26, 2006; and WHEREAS, the Albertville City Council has received the Schultz & Schupp application, staff review documents, and the Planning and Zoning Commission recommendation, and agrees with the findings and recommendation of the Planning and Zoning Commission. NOW, THEREFORE BE IT RESOLVED, that the City Council of Albertville, Minnesota hereby approves the preliminary plat and final plat for Schultz & Schupp LLC subject to the attached Findings of Facts and Decisions. Findings of Fact: Based on review of the evidence received, the City Council now makes the following finding of fact and decision: A. The site legal description is attached as Exhibit A. B. The planning report dated June 8, 2006 from Northwest Associated Consultants and the Engineer's Reports dated June 7, 2006 are incorporated herein. C. The proposed use can be accommodated with existing public services and will not overburden the City's service capacity. W D. Traffic generated by the proposed use is within capabilities of streets serving the property as proposed. 0 E. The requirements of the Albertville Zoning Ordinance have been reviewed in relation to the proposed use. F. The proposed actions have been considered in relation to the specific policies and provisions of and have been found to be consistent with the Comprehensive Plan. G. The proposed use will be compatible with present and future land uses of the area. H. The proposed use conforms to applicable Zoning Ordinance performance standards. I. The proposed use will not tend to or actually depreciate the area in which it is proposed. Decision: Based on the foregoing information and applicable ordinances, the City Council APPROVES the preliminary plat and final plat based on the most current plans dated June 26, 2006 and information received to date subject to the following conditions: Preliminary Plat 1) Final Plat for the lot combination must be submitted and approved by the City prior to the issuance of the building permit. 0 2) A sidewalk is required in the right-of-way along Barthel Drive connecting with 59th Street and extending to the eastern property line of this site to be provided when sidewalk is installed along the south side of 59th Street between Main & Large Avenue. The developer shall enter into an Assessment Agreement with the City to ensure the future installation of the sidewalks. 3) Public street right-of-way shall be dedicated over the north western corner of the site to accommodate the extension of Large Avenue. The right-of-way and entrance within will allow access to adjacent parcels without the need for cross -easements. 4) The northwest access shall be constructed per the City Engineer's concept of July 17, 2006 provided that an access easement is obtain from the property to the west with all cost being covered by the developer and no cost to be covered by the City. Absence of the easement acquisition, temporary direct access to Barthel Industrial Drive shall be allowed to align with the drive aisle west of the building. Said temporary access shall be removed at the cost of the developer when Large Avenue is constructed along the west property line with the development of the property to the west of the subject site. 5) A drainage and utility easement over the pond shall be provided and recorded. The Developer shall be responsible for upkeep and maintenance of the pond. 6) The Developer shall enter into a Developer's Agreement with the City of Albertville. .N • 7) In the event access is not obtained a temporary curb cut shall be placed directly north of the service drive. This access will be eliminated when Large Avenue is improved to the west or redevelopment occurs on the property to the west. 8) A cross easement and maintenance agreement for access to the property to the east. Final Plat 47) The street right-of-way dedication in the northwest corner of the site shall be shown separate from the platted lot. 48) A ten foot (10') drainage and utility easements shall be placed along all property lines and a drainage and utility easement over the pond. 49) The cross access easement on the east side of the site shall be a on a separate easement document and must be recorded with the county simultaneously with the final plat. Adopted by the Albertville City Council this 21" day of August, 2006. Don Peterson, Mayor • Bridget Miller, City Clerk M CITY OF ALBERTVILLE • COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO.2006-xx RESOLUTION APPROVING CONTRACT FOR PRIVATE REDEVELOPMENT WITH SCHULTZ & SCHUPP, LLC WHEREAS, the City has properly established its Development Project No. 1 (the "Project Area") pursuant to Minnesota Statutes, Sections 469.124 to 469.134 in an effort to encourage the development and redevelopment of land which is underutilized within the City; and WHEREAS, among the activities proposed to be assisted by the City in the Project Area is the development of a professional office building with a medical tenant component (the "Project"); and WHEREAS, there has been presented before the City a Contract for Private Redevelopment ("Contract") between the City and Schultz & Schupp LLC, setting forth the parties' respective responsibilities in developing the Project; and WHEREAS, the City has reviewed the Contract and finds that the execution of the same and the City's performance of its obligations there under are in the best interest of the City and its residents. • NOW, THEREFORE, be it resolved by the City Council of the City of Albertville as follows: 1) The Contract, as presented to the City, is hereby in all respects approved, subject to modifications that do not alter the substance of the transaction and that are approved by the Mayor and City Administrator; provided that execution of the Contract by such officials shall be conclusive evidence of their approval. 2) The Mayor and City Administrator are hereby authorized to execute the Contract on behalf of the City and to carry out, on behalf of the City, the City's obligations there under. Approved by the City Council of the City of Albertville this 2 1 " day of August, 2006. Don Peterson, Mayor • Bridget Miller, City Clerk 43 • • BLOCK LOT 1 93,87744 * 9F RSONS BY THESE PRESENTS: That Schultz & Schupp, LLC, a limited liability corporation, owner and pmpnetorand Bremer (A—utt o.,n _gee fthe following described property situated in the County of Wright, State of Minnesota, t—it: 1brthwest Qua r ofthe Northeast QuarteroFSection 1, Township 120, Range 24, Wright County, Minnesota described as ring m the Southeast comer of Lot 4, Block 2, TOWNSITE OF ALBERTVILLE, Wright County, Minnesota, according 10 the of, thence on an assumed benring of South 89 dugmes 40 mhmtes 26 seconds Wcst, along the South It,, of said Black 2, a distaocc ccer. South 01 degrees 40 minutes 07 seconds West, a distance of 35.35 feet; thence return North Ol degrees 40 annutes 26 rig said South line and its Easterly extension, a dismnce of208.91 feet, to the point of beginning; thence South 01 degmas 12 sds West, a distance, F34.16 feet; thence South 22 degrees 09 minutes 16 seconds West a distance of 170. W feet, to the Northerly he Burlington Northern Railroad; thcncc South 60 dcgrccs 59 minutes 18 seconds East, along said Northerly nghlofway line, a i9 feet; thence North 22 degrees 08 minutes 32 seconds West, a dismnce cf 232.47 feet; thence North 60 degrees 54 minutes 28 distance of 307.23 feet, ne the Easterly right of way line of the Street adjacent to said Block 2, (a.k.a. Large Avenue); then,, South mules 23 seconds West, along said Easterly right of way line, a distance of 35.41 feet, to said South line and its easterly extension :e South 89 dcgrccs 40 minutes 26 seconds Wcst, along said South line and its castcrly extension uf'eleek 2, a dismnce ofO.62 ofbcginning. Y,rthwest Quarterofthe Northwest QwuN—fSection 1, Township 120, Range 24, Wright County, Minnesota, described as ci at the Soulheastcome-I'Lot4, Block 2, TOWNSITEOF ALBERTVILLE, Wright C'.uunty, Mimtesots,accoubugtothe "! cf, thcncc on an assumed bcunog of 8oulh 89 dcgrccs 40 minseconds minutes 26 West, along the South line of said Block 2, a dismnce ce South 01 degrees 40 minutes 07 secmtds West, a distaocc of35.35 feet, thence remm Noah 01 degrees 40 minutes 07 !ismnce of 35.35 feet, to the South It,, of said Block 2; thence North 89 degrees 40 minutes 26 seconds East, along said South line —seer. a dismnce of 208.91 feet; thence South 01 degrees 12 minutes 37 seconds West, a distance o 1734.16 feet; thence South vonc, 16 second., West a distatux of 170.64 feet, ton the Northerly right of way of the Burlington Northern Railroad, thence South hwtes 18 secoads East along said Northerly right of way line, a dismnce of 282.69 feet, to the point ofbegionnot; urea.. North 22 _ tes 32 seconds East, a dismnce of 212,11 feet; thence North 60 degrees 54 minutes 28 seconds Wear, a dismnce of 5.54 feet; thenoe s "i mnote, 32 se onds East, a distance o1'26.68 feet-, thenoe North 80 degrees IS m notes 34 seconds East a dismnce ot'S93.94 S6 1101 deg—, 06 minutes 32 seconds W cst, a dismnce of 330.50 feet, the said Northerly right of way Iinc of Burlington Northcm ro LOT 4, .North 60 dcgrccs 59 miurcs n1 B seconds West, along said Northerly tight of way Iinc, a dismnce of 155.49 fret to the point of _ _ _ _ _ _ _ 1 �t�1I��Nry"�1 rB OF AL9e. SOUTH same to be surveyed and platted as SCHULTZ &SCHUPP DEVELOPMENT, and do hereby donate and dedicate m the public for LOT 4. Ma,' the easements as shown on this plat for roadway, access, and drainage and utility purposes only. 1VNS/TE OF ALBERry cherrnCsaid Scbulm & Schupp. LLC, a limited liability corporation, has caused these pre>ents to be signed by its proper ,Ricer --------------CORNER layof ,20 ` ` \ 'HUPP. LLC \ its NESOTA , —cat ,, acknowledged before me this day of , 20_ by �\ f Schuler&Set pp, LLC, on behalfofthe mrparau.r. `\ County, Minnesota \ Expire vhttcof said Bremer➢auk, a National A..iation, has caused these presents to be signed by its proper officer this day of , 20 DUFFY ENGINEERING & ASSOCIATES, INC 350 HIGHWAY 10 SOUTH ST. CLOUD. UK 695" PHDNR (800) 089-1294 PAX (320) 203-1284 �%�'CNESOTA ,nutrient was acknowledged before me this day of , 20_ by —of B-,,, Bank, a National Associatino on behalfofthe company. County, Mino—ca I'_xpire tat l have surveyed and platted the property dcscnbed on this plat as SCHULTZ & SCHUPP DEVELOPMENT; that this plat is a n of the survcy; that all dismacc, arc, mealy shown on the pmt in fret and hundredths ofa foot; that elt monuments have utcd in the mound as shown; that the outside boundary lines arc correctly designated on the plat and that Iherc arc no wet lands as sore Statutes, Section 505.02, Sudb. 1 or public highways to be designated other than as shown. o, Licensed Land Suncyor se No 23044 NESO'IA —y.es Certificate was acknowledged befue me this _day of 20_ by Barry R. D.—don, Licensed dinnesota License No. 23044. County, Minaeso Expire MM(SSION ULTZ & SCHUPP DEVELOPMENT has been approved by the Planning Commission of the City ofAlbc-iilc, at a mct(mg held of 20 E= ULTZ & SCHUPP DEVELOPMENT has been approved by the City Council of the City of Albertville, at a regular meting _day of .20 Administrator EYOR rot this plat has been checked and app—cd as to compliance with Chapter 505, Minnesota Saugus this day of 20 SURER ,ee and tmnsfcr entered this _day of , 20 0 50 100 al mxcs in year_ on land herein described arc paid, this _ day of . 20_. SCALE IN FEET ress ter Deputy 0 DEIIOTI3 UIDN NDNUb=T D DSNOTJIS Ulm, 1H1Ii01®IT RDER DENUM CAST ]SON 1DNU10 THIS SURVEY 10 SAM UPOf` MMST COUM �0 met this instrument was f dal in the otter ofthc Wright County Recorder Cor record on this_ day oC_ 20_, at _M., andwasdulyrccordcd in Book_of onpagc 1 SHK= 0 0 • Redevelopment Plan for TIF District No. 12- Eull Concrete City of Albertville TIF Plan Date: February 17, 2006 — Revised Version TIF Plan Adoption Date: SECTION 1 THE DEVELOPMENT PROGRAM A. Modifications to the Development Program Development District No. 1 was first approved in April, 1981 and has been modified subsequently. Current modifications to the Development Program include budget revisions to coincide with the Finance Plan relating to Tax Increment Financing District No. 12. Proposed development within Municipal Development District No. 1 will be consistent with the goals, objectives and plans expressed by the Development Program. The current project relates to the redevelopment of property within the downtown area to facilitate construction of a commercial facility that will include a tenant or tenants that offer medical services and to address the need for additional off-street parking space. Certain costs associated with the proposed project are to be paid in part with tax increment funds. The City of Albertville has now determined that, in order to address the changing development needs throughout the community, it is in the public interest to provide for additional expenditures and development within Development District No. 1. This modified Development Program is intended to restate and expand on the original program and all prior amendments hereto, which are incorporated herein by reference. Nothing in this modification is intended to supersede or alter the activities described in the original Development Program. The current project is consistent with the established "Statement of Objectives" documented by Subsection 1.4 of the Development Program. The public improvement costs and development plans for Development District No. 1 have been described in detail by each Tax Increment Financing Plan authorized by the City of Albertville, which are incorporated herein by reference. The City of Albertville now anticipates additional public costs to be financed in part with tax increments expected to be generated by new development within Redevelopment Tax Increment Financing (TIF) District No. 12. Estimated costs and related data for such efforts are set forth in the TIF Plan for TIF District No. 12. The TIF Plan for TIF District No. 12 accompanies these modifications to the Development Program. The City of Albertville may acquire any parcels located within the Tax Increment Financing District or in Development District No. 1 as may be necessary to carry out the goals and objectives of the Development Program, including land for off-street parking. B. Development District No. 1 The current boundaries of Development District No. 1 are represented by map and identified as Exhibit No. 1. Modifications to the Development Program do not expand the current geographic designation of Development District No. 1. TIF District No. 12 is located within the current boundaries of Development District No. 1. • Within Development District No. 1, the City of Albertville has previously established TIF District Nos. 1 through 11, inclusive. is 0 SECTION II TAX INCREMENT FINANCING PLAN FOR DISTRICT NO. 12 A. Foreword The City, staff and consultants have prepared the following information to expedite and create Redevelopment Tax Increment Financing District No. 12 (the "Tax Increment District"). The Tax Increment District lies within Development District No. 1 which was duly created in April, 1981 with subsequent modifications. The objectives of the City for the improvement of the Project Area are set forth in the modified Development Program for Development District No. 1. The Development Program for the project is also identified within the modified Development District No. I Plan. Proposed development within the Tax Increment District and Development District No. 1 will be consistent with the goals, objectives and plans expressed by the modified Development Project and Development Program for Development District No.1. The current project within the Tax Increment District proposes redevelopment of certain property within the downtown area to facilitate construction of a commercial facility that will include a tenant or tenants that offer medical services and to address the need for additional off-street parking space. B. Use of Tax Increment Pursuant to Section 469.176, Subd. 4, of the Tax Increment Act, all revenues derived from the Tax Increment District shall be used in accordance with the tax increment financing plan. The revenues shall be used for the following purposes: 1. to pay the principal of and interest on bonds used to finance a project; 2. to finance or otherwise pay the capital and administration costs of the Development District pursuant to the Development District Act; 3. to pay for project costs as identified in the budget; and 4. to finance or otherwise pay for other purposes as provided in Section 469.176, Subd. 4, of the TIF Act. These revenues shall not be used to circumvent any levy limits. C. Excess Tax Increments Pursuant to Section 469.176, Subd. 2, of the Tax Increment Financing (TIF) Act, the City shall use the excess increments only to do one or more of the following: 0 1. prepay any outstanding bonds; 2 2. discharge the pledge of tax increment therefor; 0 3. pay into an escrow amount dedicated to the payment of such bonds; or 4. return the excess amount to the County Auditor for redistribution. The City of Albertville expects to spend all tax increment received and in accordance with the TIF Plan and consequently no excess tax increments are anticipated. D. Limitation of Increment Pursuant to the Tax Increment Financing (TIF) Act: 1. The proposed TIF District is a "redevelopment district" as defined by Section 469.174, Subd. 10. The City has determined that parcels constituting seventy percent (70%) of the area of the TIF District are occupied by buildings, streets, utilities, paved or gravel parking lots or other similar structures and more than fifty percent (50%) of the buildings in the TIF District, not including outbuildings, are structurally substandard to a degree requiring substantial renovation or clearance. Furthermore, the City has determined that a single non-contiguous parcel of land within the TIF District that is currently owned by the Burlington Northern Santa Fee Railroad consists of vacant, unused and underused rail storage facilities and excessive railroad right-of-way. 0 At least fifteen percent (15%) of the area of each occupied parcel contains buildings, streets, utilities, paved or gravel parking lots or other similar structures, including the Railroad parcel. These findings are based upon an analysis by the City Building Official and others; the results of which are on -file in the office of the City Administrator and further identified by Exhibit No. 5. 2. The tax increment pledged to the payment of bonds and interest thereon may be discharged and the TIF District may be terminated if sufficient funds have been irrevocably deposited in the debt service fund or other escrow held in trust for all outstanding bonds to provide for the payment of the bonds at maturity or redemption date. 3. If, after four (4) years from the date of certification of the original net tax capacity value of the TIF District pursuant to Section 469.177 of the TIF Act, no demolition, rehabilitation or renovation of property or other site preparation, including improvement of a street adjacent to a parcel but not installation of an underground utility service, has been commenced on a parcel located within the TIF District by the City or by the owner of the parcel in accordance with the tax increment financing plan, no additional tax increment may be taken from that parcel, and the original net tax capacity value of that parcel shall be excluded from the original net tax capacity value of the TIF District. If the City or the owner of the parcel subsequently commences demolition, rehabilitation or renovation or other site preparation on that parcel, including improvement of a street adjacent to that parcel, in accordance with the tax increment financing plan, the Authority shall certify to the County Auditor that the activity has commenced, and the County Auditor shall certify the net tax capacity value thereof as most recently certified by the Commissioner of Revenue and add it to the original net tax capacity value of the TIF District. For purposes of this subdivision, "parcel' means a tract or plat of land established as a single unit for purposes of assessment. 4. At least seventy-five percent (75%) of the revenue derived from tax increments paid by properties in the TIF District will be expended on "Activities" in each TIF District or to pay bonds, to the extent that the proceeds of the bonds were used to finance "Activities" in the TIF District or to pay, or secure payment of, debt service on credit enhanced bonds. Not more than twenty-five percent (25%) of the revenue derived from tax increment paid by'properties in the TIF District will be expended, through a development fund or otherwise, on "Activities" outside of the TIF District, except to pay, or secure payment of, debt service on credit enhanced bonds. All administrative expenses are considered to be expended outside of the TIF District. 5. Pursuant to Section 469.1763, Subd. 3 of the TIF Act, revenues derived from tax increments will be considered as expended within the TIF District only if: (a) before or within five (5) years after certification of the TIF District, the revenues are actually paid to a "Third Party" with respect to the "Activity"; (b) bonds, the proceeds of which must be used to finance the "Activity", are issued and sold to a "Third Party" before or within five (5) years after certification, the revenues are spent to repay the bonds, and proceeds of the bonds either are, on the date of issuance, reasonably expected to be spent before the end of the later of (i) the five-year period, or (ii) a reasonably temporary period within the meaning of the use of that term under section 149 (c) (1) of the Internal Revenue Code, or are deposited in a reasonably required reserve or replacement fund; (c) binding contracts with a "Third Party" are entered into for performance of the "Activity" before or within five years after certification of the TIF District and the revenues are spent under the contractual obligation; or (d) cost with respect to the "Activity" are paid before or within five (5) years after certification of the TIF District and the revenues are spent to reimburse a party for payment of the costs, including interest on unreimbursed costs. For the purpose of this Subsection, bonds include subsequent refunding bonds if the original refunded bonds meet the requirements of the clause (b) above. 6. Beginning with the sixth year following certification of the TIF District, seventy-five percent (75%) of the revenues derived from tax increments paid by properties in the TIF District that remain after permitted expenditures will be used only to pay outstanding bonds; contracts, as defined in clauses 5(c) and 5(d); or certain enhanced bonds. When the outstanding bonds have been defeased and when sufficient money has been set aside to pay contractual obligations, the TIF District will be decertified and the pledge of tax increment discharged. 11 At least ninety percent (90%) of the tax increment derived from the TIF District will be used to finance the cost of correcting conditions that allow designation of a redevelopment district in accordance with Section 469.176, Subd. 4 0). These costs include, but are not limited to, acquiring properties that contain structurally substandard buildings, demolition activities, installation of public utilities, roads, sidewalks and parking facilities. Pursuant to Minnesota Statutes, Section 469.175, Subd. la, the County Board may require the City to pay for all or part of the cost of county road improvements if the proposed development to be assisted by tax increment will, in the judgment of Wright County, substantially increase the use of county roads requiring construction of road improvements or other road costs and if the road improvements are not scheduled within the next five years under a capital improvement plan or within five years under another county plan. If the county elects to use increments to improve county roads, it must notify the City within forty-five (45) days of receipt of this TIF Plan. 9. Minnesota Statutes, Section 469.1771, provides that the State Auditor shall enforce the TIF Act and the City will accept certain administrative responsibilities. A list will be maintained by the City to document all building permits issued within the TIF District. 10. Applicable Definitions 9 (a) "Activities" means acquisition of property, clearing of land, site preparation, soils correction, removal of hazardous waste or pollution, installation of utilities, construction of public or private improvements, and other similar activities, but only to the extent that tax increment revenues may be spent for such purpose under the law. (b) "Third Party" means an entity other than (I ) the person receiving the benefit of assistance financed with tax increments, or (2) City or other person substantially under the control of the City. (c) "Tax increment" includes taxes paid by captured net tax capacity, but excluding any excess taxes; includes sale or lease proceeds of property that has been purchased by the City with tax increments; includes repayment of loans or other advances made by the City with tax increments; and includes interest or other investment earnings on or from tax increment. E. Limitation on Administrative Expenses Pursuant to Section 469.176, Subd. 3, of the Tax Increment Financing ("TIF") Act, no tax increment shall be used to pay any administrative expenses for the Tax Increment District which exceed ten percent (10%) of the total tax increment expenditures authorized by the tax increment financing plan or the total tax increment expenditures for the Tax Increment District, whichever is less. The City intends to retain the maximum allowable administrative reimbursement permitted by the TIF Act. 5 0 F. Parcels for Acquisition 1. Any properties identified for acquisition will be acquired by the City only in order to accomplish one or more of the following: storm sewer improvements, provide land for needed public streets, utilities and facilities, carry out clearance and/or development to accomplish the uses and objectives set forth in this Tax Increment Financing Plan. 2. The City may acquire any or all of the parcels in the TIF District, including property currently owned by the Burlington Northern Santa Fee Railroad, by gift, dedication, condemnation or direct purchase from willing sellers in order to achieve the objectives of this Tax Increment Financing Plan. Such acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and related costs. In lieu of direct acquisition, the City may also finance acquisition of any parcels in the TIF District by one or more developers. G. Estimate of Costs Estimated costs associated with TIF District No. 12 are subject to change. The City Council retains the authority to modify the itemized budget as may be necessary to accomplish the redevelopment program. Project costs related to the development which are eligible for assistance through the tax increment financing program are estimated and generally described as including land acquisition and other work related to accomplishing the redevelopment program. Costs incurred to construct public improvements including sanitary sewer, water, streets and storm drainage, related appurtenances and engineering; site improvements including grading, soil preparation, utility services, parking lots and landscaping; land acquisition; demolition and clearance activities; financing costs; and administration are activities that may be financed with tax increment financing assistance. The preliminary estimate of project costs is summarized below: Land Acquisition $ 250 000 Site Improvements $ 125,000 Financing Costs $ 334,400 Administration $ 37,100 Total Project Costs $ 746,500 The City of Albertville may use other potential revenues to finance project costs including special assessment revenues, local funds (City and County), interest earnings and other sources which may be become available. However, the costs listed above represent the amounts expected to be paid with tax increments/ Administrative costs are not expected to exceed ten percent (10%) of the lesser of tax increment expenses authorized by the tax increment financing plan or total tax increment expenditures. Administrative costs may include direct County Reimbursements, reporting costs, city staff time, and out-of-pocket expenses. The City reasonably expects the project will be developed within Development District No. 1 beginning in 2006. The City expects to expend all tax increments received from TIF District No. 12. Further budget details are available from the City of Albertville. 0 At this time, no contracts have been approved relating to public improvements and this Tax Increment Financing Plan. H. Use of Tax Increments Tax increments generated in the Tax Increment Financing District will be paid by Wright County to the City of Albertville for its Tax Increment Fund for said District. The City will use the tax increment funds in accordance with the provisions of the Tax Increment Financing Plan not to exceed the total estimated project costs. The City retains the right to use tax increments as a source of revenue to pay for financing expenses relating to project costs. When all authorized expenses have been paid, or other arrangements for payment have been made, all further increments, if any, will be used pursuant to this Tax Increment Financing Plan, including repayment to the City for any financial participation in the current project. In the future, the City may elect to modify the current budget authorization to capture and use tax increments that exceed projected amounts resulting from the proposed redevelopment project. I. Sources of Revenue for Public Costs Tax increment financing is one source of revenue for financing public costs. The City may also use special assessments, user charges and other sources to finance project costs. J. Estimate of Tax Increment The estimate of tax increment and assumptions are set forth in the following sections of this Tax Increment Financing Plan: Sections K, L, and M. K. Original Net Tax Capacity Value Pursuant to Section 469.177, Subd. 1, of the Tax Increment Act, the Original Net Tax Capacity Value ("ONTC") for Tax Increment District No. 12 is estimated to be $7,885 on all taxable real property within the Tax Increment District, which is the tax capacity as of January 2, 2006. Pursuant to Section 469.177, Subd. 1 and 2 of the Tax Increment Act, the County Auditor shall certify in each year the amount by which the original net tax capacity value has increased or decreased as a result of a change in tax exempt property within the Tax Increment District, reduction or enlargement of the Tax Increment District or changes in connection with previously issued building permits. In any year in which the current net tax capacity value of the Tax Increment District declines below the ONTC, no net tax capacity will be captured and no tax increment will be payable to the City. The City of Albertville intends to capture 100% of the tax increments that are generated for a period of not more than twenty-five (25) years from the date of first receipt assumed to begin in the year 2009. See "Section M" for further explanation. • 7 L. Current Net Tax Capacity Value The current net tax capacity value is the same as the original net tax capacity value estimated in Subsection K. M. Estimated Captured Net Tax Capacity Value/Increment Pursuant to Section 469.177, Subd. 1, 2 and 4 of the Tax Increment Financing Act and assuming the proposed commercial facility is substantially complete by year-end 2007, the estimated captured net tax capacity value in TIF District No. 12 as of January 2, 2008 (for 2009 collection), is estimated below. This estimate assumes that new construction is expected to be 100% completed and its value added to the TIF District by that time. Future Estimated Market Value (2008/09) $ 1,587,500 Current Estimated Market Value (2006/07) $ 435,950 Estimated Captured Market Value (2008/09) $ 1,151,550 Future Estimated Tax Capacity (2008/09) $ 31,000 Current Estimated Tax Capacity (2006/07) $ 7,885 Estimated Captured Tax Capacity (2008/09) $ 23,115 Current (TIF) Tax Rate (2005/06) 97.638 % Projected Tax Increment (2008/09) $ 22,569 Future Estimated Market Value TIF District No. 12 is expected to include the construction of a commercial facility of approximately 17,700 square feet. Including estimated tenant improvements, the TIF Plan assumes a building construction cost in the neighborhood of $2,200,000. For tax purposes, estimated market value is projected at approximately $90 per square foot. The final value will be determined based upon actual construction details and assessment practices of the Wright County Assessor. As a result of improvements made by tenants that occupy the proposed commercial facility, it is possible that the projected market value may exceed current projections. In that event, the City may choose later to modify the current budget authorization and finance additional redevelopment project costs; including acquisition and improvement of the property currently owned by the Burlington Northern Santa Fee Railroad. Current Estimated Market Value TIF District No. 12 is comprised of three (3) parcels. The total estimated market value of Parcel 101-500-011202 and Parcel 101-500-011226 is $419,200 (2006/07) and for the property owned by the Burlington Northern Santa Fee Railroad, $16,750 (2006). Future and Current Estimated Tax Capacity The current and future classification of the property within TIF District No. 12 assumes "Commercial" and is assigned a tax rate of 1.5% for the first $150,000 of estimated market value and a rate of 2% for all value in excess of $150,000. Original Local Tax Rate/Increment/Cashflow The original local tax rate of 97.638 % represents the effective rate for 2005/06. The actual original local tax rate will be the rate established for the 2007 tax year which at this time is not known. The City expects to use 100% of the captured net payable tax capacity and the resulting increments, beginning in the 2009 collection year. See Exhibit No. 3 for further details of the projected financing scenario that assumes a 25-year period and a 100% captured value as of January 2, 2008. The actual amount of tax increment revenue generated by the proposed development may vary each year depending upon a number of factors and potential legislative changes to the property tax system, including tax increment financing. N. Tax Increment Financing Account for the Tax Increment Financing District The tax increment received with respect to the Tax Increment Financing District shall be segregated by the City in a special account or accounts on its official books and records. O. Duration of the District Pursuant to the Tax Increment Act, the duration of the Tax Increment Financing ("TIF") District within Development District No. 1 of the City will be no more than twenty-five (25) years after the date of receipt by the City of the first tax increment or the point at which the Tax Increment Financing Plan has been satisfied. The projected date of receipt by the City of the first tax increment is in 2009. The City anticipates that the duration of the TIF District may be the maximum permitted by law which would permit collection through 2034 if the first increment is received in 2009. If the first increment is received in 2008 (due to inflation), the last year of collection will be 2033. Exhibit No. 3 illustrates a 25-year term beginning in 2009 and ending in 2033 and the City of Albertville understands that the actual term may vary from the illustration. P. Taxing Jurisdictions For purposes of this projection, it is anticipated that the net captured value of the parcels included in the Tax Increment Financing ("TIF") District will remain stable from year to year after project completion and that the impact of tax increment financing on the net tax capacity values of all taxing jurisdictions in which the TIF District is located in whole or in part would also remain stable from year-to-year. Based on this assumption, it is anticipated that tax increments will be captured annually. The estimate is based on the qualifications identified in this report and does not include the possible tax increment derived from any other future development, tax capacity changes or inflation factors. Assuming a TIF Tax Rate of 97.638 % and that the total Estimated Captured Net Tax Capacity Value of the TIF District on January 2, 2008 is $23, l 15, the following fiscal impact analysis has been prepared: 0 • 2006 Tax Rate 2005/06 Net Tax Capacity Wright County 33.04% $ 106,178,099 City of Albertville 31.37 % $ 6,672,272 I.S.D. # 885 33.22 % $ 17,658,338 Total 2006 Tax Rate 97.63 % I.S.D. #885 comprised 34.025% of the 2006 TIF tax capacity rate, while Wright County comprised 33.840%. The City of Albertville made up 32.135% of the cumulative tax capacity levy for the taxing jurisdictions affected by the Tax Increment District proposal. A TIF tax capacity rate of 97.63 8% has been utilized in this Tax Increment Financing Plan. If the new taxes estimated within the TIF District are captured for the duration of the District, taxes and values will experience no change until termination of the District. If the new taxes upon completion were not captured (assuming the project could be done without tax increment financing) and by applying the 2006 Tax Rate for each jurisdiction, taxes (2008/09) would be distributed as follows: Wright County $ 7,637 City of Albertville $ 7,253 I.S.D. # 885 7,679 Total Tax Increment $22,569 The projected amount of captured tax capacity ($23,115) within the TIF District is a small amount compared against the total tax capacities of Wright County, the City of Albertville and I.S.D. # 885. Similarly, the projected amount of taxes to be generated within the TIF District is a modest amount compared to the overall taxes received annually by each taxing jurisdiction. The proposed project is not expected to significantly increase or decrease the demand for services provided by the City. Furthermore, the redevelopment project can be serviced by existing utility systems and consequently no negative impacts to public infrastructure are expected. At this point, other than issuing debt payable from tax increment financing, the City does not plan to incur new debt payable from revenue sources other than tax increments or by sources generated as a result of redevelopment activities within the TIF District; however, the City reserves the right to do so. Total Estimated Tax Increment/2 5 -Year Duration: $ 746,428 Total Estimated Tax Increments/2 5 -Year Duration —Albertville: $ 239,865 Total Estimated Tax Increments/25-Year Duration — I.S.D. 4885: $ 253,972 Total Estimated Tax Increments/2 5 -Year Duration — Wright County: $ 252,591 Beyond the information provided above and if requested to do so, the City will provide further information to Wright County and/or IS.D. #885 officials relating to projected and anticipated fiscal and cost implications of the proposed redevelopment project. 10 Q. Annual Disclosure Requirements Pursuant to M.S. Section 469.175, Subd. 5, 6, and 6b, the City must undertake annual and ongoing financial reporting for all tax increment financing districts to the Office of the State Auditor, the County Board and County Auditor and the School Board. The City intends to comply with applicable reporting requirements for this TIF District. R. Requirements for Agreements with the Developer Pursuant to Section 469.176, Subd. 5, of the Tax Increment Financing ("TIF") Act, no more than twenty-five percent (25%), by acreage, of the property to be acquired in the Tax Increment Financing District as set forth in the tax increment financing plan shall at any time be owned by the City as a result of acquisition with the proceeds of bonds issued pursuant to Section 469.178 to which tax increments from property acquired is pledged without the City having, prior to acquisition in excess of twenty-five percent (25%) of the acreage, concluded an agreement for the development or redevelopment of the property acquired and which provides recourse for the City should the development not be completed. Property may be acquired without a development agreement provided land acquisition is not funded by bonds secured by tax increments from the acquired property. S. Assessment Ap_reements 0 The City is permitted to enter into a written assessment agreement in recordable form with the Developer of property within the Tax Increment Financing District which establishes a minimum market value of the land and completed improvements for the duration of the District. T. Sources of Revenue/Bonded Indebtedness Public improvement costs, acquisition, relocation, utilities, parking facilities, streets and sidewalks, site preparation, administration and other costs outlined in the cost budget will be financed primarily through the annual collection of tax increments. The City reserves the right to use other sources of revenue legally available to the City and the TIF Plan, including but not limited to special assessments, general property taxes, transportation state aids, land sale proceeds and other forms of public and private sector funding. The City may choose to authorize the financing of project costs with repayment coming from tax increment revenues. The principal amount of TIF obligations is not expected through any combination of bonds, notes or interfund loans (together, "TIF Obligations") to exceed $375,000, exclusive of interest and administration. This provision does not obligate the City to incur debt; it merely establishes the maximum principal amount of indebtedness that may be secured in whole or in part by tax increments. U. Assumptions and Analysis 0 Certain assumptions have been made to anticipate future considerations relating to 11 • property tax legislation, the development schedule, project financing and costs. One or more of the assumptions may prove to be inaccurate and the City of Albertville retains the right to authorize changes as may be required to achieve the Development Program. V. Legal Description/Map/Parcel Number Legal Description: See Exhibit No. 2 (survey description "pending"). Parcel Identification Numbers: PID #101-500-011202 and #101-500-011226. No known PID # currently exists for the parcel owned by the Burlington Northern Santa Fee Railroad. A map of the TIF District is provided as Exhibit No. 2. W. Reasonable Expectations As required by the Tax Increment Financing Act, in establishing the Tax Increment Financing District the determination has been made that the anticipated development and improvements would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future and that the increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the District permitted by the TIF Plan. In reaching this conclusion, reliance has been placed upon representations made by the Developer to such effects and upon awareness by City Officials of the feasibility of redeveloping the project site. See Section "Bb" (But -For Evaluation). X. Buildinu Permits Issued A building permit is expected to be issued in 2006 for construction activities within the Tax Increment Financing District. Y. Notification of Prior Planned Improvements The City shall, after due and diligent search, accompany its request for certification to the County Auditor, or its notice of Tax Increment Financing ("TIF") District enlargement with a listing of all properties within the TIF District or area of enlargement for which building permits have been issued during the eighteen (18) months immediately preceding approval of the tax increment financing plan by the City pursuant to Section 469.175, Subdivision 3, of the TIF Act. The County Auditor shall increase the original net tax capacity value of the TIF District by the net tax capacity value of improvements for which a building permit was issued. Z. Summary The City of Albertville is establishing the Tax Increment Financing District to facilitate redevelopment activities within the downtown area. 12 Aa. Business Subsidies To the extent applicable, the City of Albertville agrees to comply with M.S. Section 116J993 to 116J.995, which states that a local unit of government granting financial assistance to business for economic development or job growth purposes, including tax increment financing, must establish business subsidy criteria and approve a business subsidy agreement with the business receiving the assistance. The planned redevelopment project may be "exempt" pursuant to M.S. 116J.993, Subd. 3 (17) relating to redevelopment when the "Developer's investment in the purchase of the site and in site preparation is 70% or more of the assessor's current year's estimated market value." Bb. But — For Evaluation The primary purpose of this TIF District is to promote the redevelopment of property within the District that is underutilized, through construction of a professional office facility on a site occupied by a former concrete plant (the "Plant Site"), which has been vacant for over five years and is currently occupied by a substandard structure. The City has received only one prior redevelopment proposal for the Plant Site, and this prior proposal was abandoned by the applicant. The City has determined a need for increased commercial, office, and professional service facilities in the area, and increased parking facilities to serve such development. However, this development is not feasible without tax increment assistance based on analysis of material submitted to the City by the Redeveloper (on file at City Hall). Development of the Plant Site requires demolition of the existing building, along with additional costs for correction of soil conditions. The City therefore does not believe the proposed redevelopment is likely to occur without the assistance described in this TIF Plan. Moreover, the Redeveloper and its lender have stated that the costs of redevelopment of the site require projected commercial lease rates at a rate roughly $2.00 per square foot or more than current market lease rates in the City. Without the assistance described in this TIF Plan, the Redeveloper will not be able to lease the commercial space at prices comparable to other facilities in the City. Further, redevelopment of the parcel currently owned by the Burlington Northern Sante Fe Railroad (the "Railroad Site") is more likely to occur if the Plant Site is redeveloped. The Railroad Site would be unlikely to be developed for any use on its own, given its current location between an active rail line and the substandard property on the Plant Site. However, development of the Plant Site will create an increased need for municipal parking close by. The City does not have available funds to acquire the Railroad Site without the use of tax increment. Therefore, the increment from the Plant Site is necessary to allow the City to acquire and redevelop the Railroad Site for use as municipal parking. For purposes of the "but -for" analysis, "site" means the Plant Site, which consists of the parcels on which the professional office building to be assisted with tax increment will be located. The City has determined that no other development is expected to occur on the site that would create a greater market value than the proposed affordable professional office building, after adjusting for the tax increment assistance. Analysis of the Plant Site shows that commercial use results in a greater increase in market value than manufacturing or industrial uses, and enhances property values of surrounding properties. Given the location of the property and the property's zoning classification, housing is not appropriate or likely for the Plant Site. Manufacturing and industrial uses would not likely increase value more than the proposed professional office building or perhaps even the value over the Plant Site's previous use. Despite the fact that the Plant Site has been vacant for many years, no other developer has followed through with plans for redevelopment, likely due to the high costs associated with correction of soil conditions and 13 • • redevelopment of the site. The City finds that without the use of tax increment financing, no other commercial development is likely to occur. Likewise, analysis of the Railroad Site involves consideration of many of the same factors. The Railroad Site has been vacant for many years. Its location and zoning classification do not readily allow for housing, and no developers have come forward with plans for developing the site for commercial, industrial, or manufacturing uses. Because the Railroad Site is located next to an "active" rail line, the City's proposed use for the property as a municipal parking lot is the only development that is likely to occur on this site, and this use would not occur without tax increment generated by redevelopment of the Plant Site. A comparative analysis of estimated market values both with and without establishment of the District and the use of tax increments has been performed as described above. If all of the development which is proposed to be assisted with tax increment were to occur in the District, the total increase in market value would be $1,551,550. The present value of tax increments from the District is estimated to be $137,529. For reasons described above, it is the Council's finding that no development with any significant market value is expected to occur in the foreseeable future without tax increment and other assistance; and that even if some development could occur, it would not create new market value of greater than $1,014,021. (See Cashflow in Exhibit No. 3 and project plans in Exhibit No. 4). 14 EXHIBIT NO. 1 49 1 l�lbertv�� EXHIBIT NO. 2 • Property ID: 101-500-011202 Legal Description: TH PRT OF NW I/4 OF NE I/4 DES COM SE COR OF LT4 BLK2 TWNSITE ALBERTVILLE TH S89D40'26"W ALG S LN OF SD BLK2 148.83F`F TH SO I D40'07"W35.35FT TH RET NOID 401071IE 3535FT TO S LN OF BLK2 TH N89D40'26"E ALG SD S LN& ITS ELY EXT 208.91FT TO POB TH SOID12'37"W 34.16FT TH S22D 09'16"W 170.64FT TO NLY R/W OF RR TH S60D59'18"E ALG NLY R/W LN 282.69FT TH N22DO8'32"E 232.47FT TH N6OD54'28"W 307.23 FT TO ELY R/W LN OF ST ADJ TO BLK2 TH SO D05'28"W ALG SD ELY R/W LN 35.41 FT TO S LN&ITS ELY EXT OF BLK2 TH S89D40'26"W ALG S LN&ITS ELY EXT OF BLK2 .62FT TO POB 10 Property ID: 101-500-011226 Legal Description: TH PRT OF NW I /4 OF NEI/4 DES COM SE COR OF LT4 BLK2 TWNSITE ALBERTVILLE TH S89D40'26"W ALG S LN OF SD BLK2 148.83FT TH S OID40'07"W 35.35FT TH RET NOID 40'07"E 35.35FT TO S LN OF BLK 2 TH N89D40'26"E ALG SD S LN& ITS ELY EXT 208.91 FT TH SOID 12'37"W 34.16FT TH S22DO9' 16"W 170.64FT TO NLY R/W OF RR TH S 60D59' 18"E ALG NLY R/W LN 282.69FT TO POB TH N22DO8'32"E 232.47FT TH N60D54'28"W 5.54FT TH NOID06'32"E 26.88FT TH N80D 1513411E 59.94FT TH SO1D06'32"W 330.50FT TO NLY R/W LN OF RR TH N60D59' I8"W ALG NLY R/W LN 155.49FT TO POB EXHIBIT NO. 3 • TIF Period Tax Year Gross TIF Administration Net TIF Project TIF Surplus/(Deficit) Cumulative TIF 1 2009 $22,569 $1,128 $21,441 $21,441 $0 $0 2 2010 $23,077 $1,154 $21,923 $21,923 $0 $0 3 2011 $23,596 $1,180 $22,416 $22,416 $0 $0 4 2012 $24,127 $1,206 $22,921 $22,921 $0 $0 5 2013 $24,670 $1,233 $23,436 $23,436 $0 $118,039 6 2014 $25,225 $1,261 $23,964 $23,964 $0 $0 7 2015 $25,792 $1,290 $24,503 $24,503 $0 $0 8 2016 $26,373 $1,319 $25,054 $25,054 $0 $0 9 2017 $26,966 $1,348 $25,618 $25,618 $0 $0 10 2018 $27,573 $1,379 $26,194 $26,194 $0 $249,968 11 2019 $28,193 $1,410 $26,784 $26,784 $0 $0 12 2020 $28,828 $1,441 $27,386 $27,386 $0 $0 13 2021 $29,476 $1,474 $28,002 $28,002 $0 $0 14 2022 $30,139 $1,507 $28,632 $28,632 $0 $0 15 2023 $30,818 $1,541 $29,277 $29,277 $0 $397,422 16 2024 $31,511 $1,576 $29,935 $29,935 $0 17 2025 $32,220 $1,611 $30,609 $30,609 $0 18 2026 $32,945 $1,647 $31,298 $31,298 $0 19 2027 $33,686 $1,684 $32,002 $32,002 $0 $0 20 2028 $34,444 $1,722 $32,722 $32,722 $0 $562,228 21 2029 $35,219 $1,761 $33,458 $33,458 $0 $0 22 2030 $36,012 $1,801 $34,211 $34,211 $0 $0 23 2031 $36,822 $1,841 $34,981 $34,981 $0 $0 24 2032 $37,650 $1,883 $35,768 $35,768 $0 $0 25 2033 $38,497 $1,925 $36,573 $36,573 $0 $746,428 Totals $746,428 $37,321 $709,107 $709,107 $0 $746,428 Gross TIF is increased annually by two and one -quarter percent (2.2501o). Administration equals five percent (5%) of Gross TIF. • N t®(i V c ICE Jma 1� 9 n 1] a w LTu IIIIII o a Cz EXHIBIT NO. iP A z $ 5 a11i R S .rwanmi�WiuV.obe��� �V�\a �ww� ru sr.e EXHIBIT NO. 5 • QUALIFICATIONS AND SUPPORT DOCUMENTATION FOR REDEVELOPMENT 5.1. Report by BRKW Appraisals, Inc. dated January 3, 2006. 5.2. Topographic Survey by Duffey Engineering and Associates, Inc. dated January 17, 2006. 5.3. Report of Geotechnical Explorations by Independent Testing Technologies dated May 14, 2004. 5.4. Phase I Environmental Assessment by EarthTech of Minnesota, Inc. dated May 25, 2004. 9 5.5. Eull Concrete Site Assessment by Bolton and Menk, Inc. dated March 2, 2006. 5.6. Property Condition Assessment Summary by Jon Sutherland, Building Official dated March 2, 2006. 0 EXHIBIT 5A STATEMENT OF SUPPORTING FACTS FOR REDEVELOPMENT DISTRICT DETERMINATION REDEVELOPMENT TIF DISTRICT NO. 12 The following conditions exist within the area designated as the Redevelopment TIF District No. 12 ("TIF District"): The TIF District contains the following parcels, all of which are occupied by buildings or parking lots (parcels are deemed occupied if at least 15% of the area is occupied by improvements): PID #101-500-011202 — 1.52 acres. A building of approximately 5,920 square feet and approximately 30,350 square feet of gravel parking and access improvements exist on the site. The site is +/- 55% occupied. PID #101-500-011226 - .64 acres. Approximately 19,100 square feet of the site is covered with gravel parking and access improvements. The site is +/- 68% occupied. • Railroad Parcel — 2.26 acres. Approximately 18,750 square feet of the property is q P P Y covered with gravel parking and volleyball court improvements. The site is +/- 19% occupied. 2. The TIF District contains one building, which is currently vacant. The building is structurally substandard to a degree requiring substantial renovation or clearance. The cost of rehabilitation needed to meet current building codes would exceed 15% of the cost of constructing a new building of similar size and type on this site. These findings are based on an analysis of the building prepared on behalf of the City by all as summarized in on file in City Hall. The finding is based —on both interior and exterior inspection. 9 • CITY OF ALBERTVILLE DEVELOPMENT AGREEMENT/CONDITIONAL USE AGREEMENT ALBERTVILLE RETAIL THIS AGREEMENT, entered into this day of 2006 by and between Schultz & Schupp LLC, collectively 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 of the real property described in the attached Exhibit A, which real property is proposed to be combined and platted for development as Albertville Retail, and which subdivision, which is the subject of this Agreement, shall hereinafter be referred to in its entirety as "Said Plat" or "Subject Property"; and WHEREAS, Developer has received final plat approval for Said Plat; and WHEREAS, this Agreement is entered into for the purpose of setting forth and memorializing for the parties and subsequent owners, the understandings and covenants of the parties concerning Said Plat and the conditions imposed thereon; and WHEREAS, approval of a Conditional Use Permit is required to permit development of Said Plat in the manner proposed by the Developer; and WHEREAS, the City has given final approval of the Development 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 bituminous street, curb and gutter, grading, sanitary sewer, municipal water, and storm sewer (hereafter "Municipal Improvements") be installed to serve the Development and other properties affected by the development of Developer's land, to be installed and financed by Developer; and WHEREAS, the City further requires that certain on- and off -site improvements be installed by the Developer within Said Plat, which improvements consist of paved private streets, boulevards, top soil and sod, grading control per lot, bituminous or concrete driveways, parking lots, drainage swales, • berming, street signs, street lights, street cleanup during project development, erosion control, and other site -related items; and 45 NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY AGREED, in consideration of each party's promises and considerations herein set forth, as follows: Conditional Use. The Development • e opment is hereby allowed to be developed with a conditional use permit, which has the following conditions in place. A. The Developer may construct and operate the drive -through lane for banking purposes in the configuration shown on the attached Exhibit B. B. Developer agrees that all buildings shall be constructed in the locations shown on the attached Exhibit B. The Developer shall comply with all site plan approvals set by the City Council except where specifically set out in this agreement. C. Developer shall construct the number of parking stalls in the locations and dimensions as shown on the attached Exhibit B. D. Developer shall develop plat consistent with the site plan attached as Exhibit B. E. All grading, drainage, utility, wetland mitigation, and transportation issues that arise during development of the Development shall be subject to review and approval by the City Engineer. F. Trees, shrubs, berms and screening are to be planted, installed and maintained as shown on the landscape plan attached as Exhibit C. The Developer shall guarantee that all new trees shall survive for two full years from the time the planting has been completed or will be • replaced at the expense of the Developer. All landscaping as shown on attached Exhibit C shall be installed no later than October 31, 2007. Developer shall maintain the infiltration plantings shown on Exhibit C in good working order at all times. G. The Developer shall maintain the storm water retention pond in good working order at all times. H. Developer may install signage consistent with the Signage Plan attached as Exhibit F. No more than five tenants may be displayed on the free standing sign. All signage must have a dark background with light colored lettering. Building wall signage shall not exceed 15% of the front fagade of each tenant bay. I. Developer shall acquire, at Developer's expense, a perpetual ingress and egress easement in favor of the property in Said Plat over the property shown on the attached Exhibit G. Said easement shall be in a form acceptable to the City Attorney. 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 Albertville Retail, as prepared by Duffy Engineering and Associates Inc., dated , 2006 and on file with the City Clerk. 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 .o City Engineer specifies a later date, said improvements shall be installed by August 31, • 2007. B. The Developer warrants to the City for a period of two years from the date the City accepts the finished Municipal Improvements that all such improvements have been constructed to City standards and shall suffer no significant impairments, either to the structure or to the surface or other usable areas due to improper construction, said warranty to apply both to poor materials and faulty workmanship. C. Developer shall provide the City with lien waivers from all contractors and subcontractors engaged to construct said Municipal Improvements on Said Plat. Should Developer fail to provide the City with all applicable lien waivers, the City reserves the right to draw upon Developer's surety and pay any contractors who performed work on any Municipal Improvements and whom Developer has failed to fully pay for the performance of said work. D. The City shall, at its option, have the City Engineer present on Said Plat for inspection purposes at all times (or such times as the City may deem necessary) during the construction and installation of said Municipal Improvements. Developer agrees to pay for all costs incurred by the City during said inspections. Construction of On- and Off -Site Improvements. SA. Developer shall construct all on- and off -site improvements including installation of paved streets, curb and gutter, sidewalks, boulevards, 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. All yard areas shall be sodded with grass or landscaped in accordance with the attached Landscaping Plan. In all cases permanent turf or grass must be established over all areas of the lot not covered by a hard or impervious surface. Said on- and off -site improvements shall be installed no later than October 31, 2007, with the exception of erosion control, drainage swales and berming, which shall be installed upon initial grading of Said Plat. B. Developer shall, at its own expense, cause the following items to be installed within the development, all such items to be installed under ground, within the street right of way or within the private street easements or such other location as may be approved by the City Engineer, accessible to all lots and in compliance with all applicable state and local regulations: i. Electrical power supply, to be provided by Xcel Energy or other such carrier; ii. Natural gas supply, to be provided by Reliant Energy or other such carrier; iii. Telephone service, to be provided by Sprint/United Telephone Company or other such carrier; 47 iv. Cable TV service, to be provided by a local carrier; In addition, the Developer shall, at its own expense, cause street lights and street signs , to be of such type and to be installed at such locations as required by the City Engineer and in conformance with the Manual on Uniform Traffic Control Devices. C. Developer has submitted a utility plan for Said Plat showing all existing and proposed utility lines and easements, attached hereto and incorporated herein as Exhibit D. Developer agrees to have all utilities installed according to this Exhibit D. D. Developer shall install silt fencing in back of all curbing within 30 days after said curbing is installed, or 7 days after the "small utilities" (gas, phone, electrical and cable television) have been installed, whichever occurs sooner. Developer shall abide by the City Engineer's requirements for silt fencing of the lots and access to the lots during building construction. E. Notwithstanding the requirements of subparagraph 3A above, the Developer shall install to the City's satisfaction improvements for each lot or parcel prior to the date that a certificate of occupancy (temporary or permanent) is issued by the City for a building located on the lot, unless the certificate of occupancy is issued after October 1 st and before March 30th in any given year, in which case a certificate of occupancy shall be issued if all on- and off -site improvements except landscaping and sod have been installed. In such cases, the Developer shall cause the required landscaping and sod to be installed by the first June 30th following the issuance of the occupancy permit. 0 4. Surety Requirements. 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 $ representing the sum of 100% of the estimated cost of the Municipal Improvements ($, 50% of the on and off -site improvements, ($0), and 150% of the estimated cost for landscaping/screening materials ($. Said letter of credit or surety must meet the approval of the City attorney as to form and issuing bank. 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, execution, 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 pay or reimburse the City in total as required herein, the Developer agrees that upon 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 of this 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. 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. Developer shall maintain said letter of credit in the amount required by the City at all times. 5. 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 of the City that the surety be proportionately reduced for that portion of the Municipal Improvements and on- and off -site improvements which have been fully completed and payment made therefor. All such decisions shall be at the discretion of the 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: i. When another acceptable letter of credit or surety is furnished to the City to replace a prior letter of credit or surety. ii. 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. Developer may substitute a warranty bond acceptable to the City Attorney for • the warranty letter of credit in the same amounts and duration as required for the warranty letter of credit. 49 iii. As to all requests brought under this paragraph, the City Council shall have complete discretion whether to reduce or not to reduce said letter of credit or surety. • C. 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. 6. Abandonment of Project - Costs and Expenses. In the event Developer should abandon the proposed development of the said Plat, the City's costs and expenses related to attorney's fees, professional review, drafting of this Agreement, preparation of the feasibility report, plans and specifications, and any other expenses undertaken in reliance upon Developer's various assertions shall be paid by said Developer within thirty (30) days after receipt of a bill for such costs from the City. In addition, in the event the Developer abandons the project, in whole or in part, ceases substantial field work for more than nine (9) months, fails to provide sufficient ground -cover to prevent continuing soil erosion from the Development, or fails to leave the abandoned property in a condition which can be mowed using conventional lawn mowing equipment, Developer agrees to pay all costs the City may incur in taking whatever action is reasonably necessary to provide ground -cover and otherwise restore the Development to the point where undeveloped grounds are level and covered with permanent vegetation sufficient to prevent continuing soil erosion from the Development and to facilitate mowing of the Development. In the event that said costs are not paid, the City may withdraw funds from the above -mentioned surety for the purpose of paying the costs referred to in this paragraph. 7. Developer to Pay City's Costs and Expenses. It is understood and agreed that the Developer will reimburse the City for all reasonable administrative, legal, planning, engineering and other professional costs incurred in the creation, administration, enforcement or execution of this Agreement and the approval of the Development, as well as all reasonable engineering expenses incurred by the City in designing, approving, installing, and inspecting said Improvements described above. Developer agrees to pay all such costs within 30 days of billing by the City. If Developer fails to pay said amounts, Developer agrees to allow the City to reimburse itself from said surety and/or assess the amount owed against any or all of the Development without objection. Developer has the right to request time sheets or work records to verify said billing prior to payment. 8. Development Related Fees and Credits. Sanitary Sewer and Water Trunk Line Fees. Developer agrees that the City's Sanitary Sewer Trunk Line Fee Ordinance and Water Trunk Line Fee Ordinance currently require the Developer to pay $1,600.00 per acre and $1,400.00 per acre respectively, upon development of said Plat. There are acres in said Plat which received final plat approval. Therefore, the Sanitary Sewer and Water Trunk Line Fees for all property receiving final plat approval is $ ($ in sewer fees calculated as $1,600.00 x acres and $ in water fees calculated as $1,400.00 x acres). • 50 9. Erosion and Siltation Control. Before any grading is started on any site, all erosion control measures as shown on the approved Grading, Drainage and Erosion Control Plan shall be strictly complied with as set forth in the attached Exhibit E. Developer shall also install all erosion control measures deemed necessary by the City Engineer should the erosion control plan prove inadequate in any respect. 10. Ditch Cleaning. Developer shall comply with all requirements set forth for drainage into any county ditch or other ditch through which water from the Development may drain, and shall make any necessary improvements or go through any necessary procedures to ensure compliance with any federal, state, county or city requirements, all at Developer's expense. 11. Maintain Public Property Damaged or Cluttered During 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 the Development. The Developer further agrees to pay all costs required to repair the streets, utility systems and other public property damaged or cluttered with debris when occurring as a direct or indirect result of the construction that takes place in the Development. Developer agrees to clean the streets on a daily basis if required by the City. Developer further agrees that any damage to public property occurring as a result of construction activity on the Development will be repaired immediately if deemed to be an emergency by the City. Developer further agrees that any damage to public property as a result of construction activity on the Development 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 immediately 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 the Development and/or take necessary legal action to recover such costs and the Developer agrees that the City shall be entitled to attorney's fees incurred by the City as a result of such legal action. 12. Temporary Easement Rights. Developer shall provide access to the Development at all reasonable times to the City or its representatives for purposes of inspection or to accomplish any necessary work pursuant to this Agreement. • 51 13. Miscellaneous. A. Developer agrees that all construction items required under this Agreement are items • for which Developer is responsible for completing and all work shall be done at Developer's expense. B. If any portion, section, subsection, sentence, clause, paragraph or phrase of this Contract is for any reason held invalid by a Court of competent jurisdiction, such decision shall not affect the validity of the remaining portion of this Contract. C. If building permits are issued prior to the completion and acceptance of public improvements, the Developer assumes all liability and the costs resulting in delays in completion of public improvements and damage to public improvements caused by the City, Developer, its contractors, subcontractors, materialmen, employees, agents, or third parties. D. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Contract. To be binding, amendments or waivers shall be in writing, signed by the parties and approved by written resolution of the City Council. The City's failure to promptly take legal action to enforce this Contract shall not be a waiver or release. E. This Contract shall run with the land and shall be recorded against the title to the property. After the Developer has completed all work and obligations required of it under this Contract (including the expiration of the warranty period), at the Developer's t request, the City will execute and deliver to the Developer a release of its obligations under this Agreement. However, all continuing obligations under this Agreement shall remain binding upon the properties covered by this Agreement and their owners. Said continuing obligations include, but are not limited to, paragraphs 1, 7, 13, 15, 17, 18, 19, 20, 21, 22, 23, 24 and 25 of this Agreement. F. The Developer represents to the City that the Development 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 Development does not comply, the City may, at its option, refuse to allow construction or development work in the plat until the Developer so complies. Upon the City's demand, the Developer shall cease work until there is compliance. G. Prior to the execution of this Agreement and prior to the start of any construction on the Development, Developer shall provide the City with evidence of good and marketable title to all of the Development. 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. H. Developer shall comply with all water, ponding and wetland related restrictions, if any, required by the Wright County Soil and Water Conservation District and/or the City • and any applicable provisions of State or Federal law or regulations. 52 I. The Albertville City Council reserves the right to allocate wastewater treatment • capacity in a manner it finds to be in the best interests of the public health, safety and welfare. Developer acknowledges and agrees that the City is currently in the process of expanding its wastewater treatment plant capacity. Developer further acknowledges and agrees that delay in the availability of wastewater treatment plant capacity may occur for some lots located within the Development depending upon when building permits are applied for and that such delay in capacity availability may also delay the issuance of building permits for some lots within the Development. J. 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 two feet 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. K. Developer shall obtain all required driveway, utility and other permits as required by either the City Engineer, Wright County and/or the State of Minnesota. 15. Violation of Agreement. In the case of default by the Developer, its successors or assigns, of any of the covenants and agreements herein contained, the City shall give Developer thirty (30) days mailed notice thereof (via certified mail), and if such default is not cured within said thirty (30) day period, the City is hereby granted the right and the privilege to declare any deficiencies governed by this Agreement due and payable to the City in full. The thirty (30) day notice period shall be deemed to run from the date of deposit in the United States Mail. Upon failure to cure by Developer, the City may thence immediately and without notice or consent complete some or all of the Developer's obligations under this Agreement, and bring legal action against the Developer to collect any sums due to the City pursuant to this Agreement, plus all costs and attorney's fees incurred in enforcing this agreement. The City may also specially assess all said costs incurred upon default against the properties in the Development pursuant to the terms of this agreement. Notwithstanding the 30-day notice period provided for above, in the event that a default by Developer will reasonably result in irreparable harm to the environment or to public property, or result in an imminent and serious public safety hazard, the City may immediately exercise all remedies available to it under this agreement in an effort to prevent, reduce or otherwise mitigate such irreparable harm or safety hazard, provided that the City makes good -faith, reasonable efforts to notify the Developer as soon as is practicable of the default, the projected irreparable harm or safety hazard, and the intended actions of the City to remedy said harm. This paragraph of this Agreement shall not apply to any acts or rights of the City under paragraph 4F, and no notice need be given to the Developer as a condition precedent to the City drawing upon the expiring irrevocable letter of credit as therein authorized. The City may elect 53 to give notice to Developer of the City's intent to draw upon the surety without waiving the City's right to draw upon the surety at a future time without notice to the Developer. • Breach of any of the terns of this Contract by the Developer shall be grounds for denial of building permits. 16. Dedications to the City. A. Municipal Improvement Dedications. The Developer, upon presentation to the City of evidence of good and marketable title to the Development, and upon completion of all construction work and certification of completion by the City Engineer, shall dedicate all street right-of- ways and drainage and utility easements to the City. Upon acceptance of dedication, Developer shall provide to the City "As-Builts" of all storm sewers and other Municipal Improvements required under this Agreement. Acceptance by City of any dedication shall occur upon passage of a resolution to such effect by the City Council. B. Park Dedication. The Developer is required to pay a cash contribution of $ in satisfaction of the City's park and trail dedication requirements. The amount Developer shall be required to pay in park dedication requirements under this agreement shall be $ This charge is calculated as follows: acres x $7,500 per acre = $ 17. Phased Development. Approval of this phase of the Development shall not be construed as approval of future phases nor shall approval of this phase bind the City to approve future Development phases. All future Development phases shall be governed by the City's Comprehensive Plan, Zoning ordinance, Subdivision ordinance, and other ordinances in effect at the time such future Development phases are approved by the City. 18. Indemnity. Developer shall hold the City and its officers and employees harmless from claims made by Developer and third parties for damages sustained or costs incurred resulting from the Development approval and development. The Developer shall indemnify the City and its officers and employees for all costs, damages or expenses which the City may pay or incur in consequence of such claims, including attorney's fees. Third parties shall have no recourse against the City under this contract. 19. Assignment of Contract. The obligations of the Developer under this Contract can 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. 54 • 20. Limited Approval. Approval of this Agreement by the City Council in no way constitutes approval of anything other than that which is explicitly specified in this Agreement. 21. Professional Fees. The Developer will pay all reasonable professional fees incurred by the City as a result of City efforts to enforce the terms of this Agreement. Said fees include attorney's fees, engineer's fees, planner's fees, and any other professional fees incurred by the City in attempting to enforce the terms of this Agreement. The Developer will also pay all reasonable attorney's fees and professional fees incurred by the City in the event an action is brought upon a letter of credit or other surety furnished by the Developer as provided herein. 22. Plans Attached as Exhibits. All plans attached to this Agreement as Exhibits are incorporated into this Agreement by reference as they appear. Unless otherwise specified in this agreement, Developer is bound by said plans and responsible for implementation of said plans as herein incorporated. 23. Integration Clause, Modification by Written Agreement Only. • This Agreement represents the full and complete understanding of the parties and neither parry is relying on any prior agreement or statement(s), whether oral or written. Modification of this Agreement may occur only if in writing and signed by a duly authorized agent of both parties. 24. Notification Information. Any notices to the parties herein shall be in writing, delivered by hand (to the City Clerk for the City) or registered mail addressed as follows to the following parties: City of Albertville c/o City Clerk P.O. Box 9 Albertville, MN 55301 Telephone: (763) 497-3384 Schultz & Schapp LLC 340 US Hwy 10 South St. Cloud MN 56304 Telephone: is25. Agreement Effect. This Agreement shall be binding upon and extend to the representatives, heirs, successors and assigns of the parties hereto. 55 CITY OF ALBERTVILLE, By Its Mayor By Its Clerk SCHULTZ & SCHAPP LLC By Its STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of , 2006, by Donald Peterson 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. Notary Public STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) • s The foregoing instrument was acknowledged before me this day of , 2006, by Bridget Miller, 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 • ust • STATE OF MINNESOTA ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of , 2006, by , as of Schultz & Schapp LLC. Notary Public DRAFTED BY: Court, MacArthur & Ruppe Law Office P.O. Box 369 705 Central Avenue East St. Michael, MN 55376 (763)497-1930 • • 57 EXHIBIT A TO DEVELOPER'S AGREEMENT The legal description f h Plat 0 g p o the at to which this Developer's Agreement applies is as follows: Lot 1 Block 1, Albertville Retail according to the plat of record on file in the Wright County Recorder's Office. All said property is located in, City of Albertville, County of Wright, Minnesota. • • EXHIBIT B • Site Plan EXHIBIT C Landscaping Plan EXHIBIT D Sanitary Sewer, Water Main, and Storm Sewer Plan EXHIBIT E Grading Plan EXHIBIT F Signage Plan EXHIBIT G Ingress and Egress Easement Drawing • 59 • DEVELOPER'S\PLANNED UNIT DEVELOPMENT AGREEMENT Albertville Plaza 2"d Addition THIS AGREEMENT, entered into this day of 2006 by and between ALBERTVILLE PLAZA, LLC, referred to herein as "Developer"; and the CITY OF ALBERTVILLE, County of Wright, State of Minnesota, hereinafter referred to as "City" all of which are collectively referred to herein as "the Parties"; 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 "Albertville Plaza 2nd Addition". The real property described in Exhibit A shall 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 Albertville Plaza Second Addition contingent upon compliance with certain City requirements including, but not limited to, matters set forth herein; and 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 boulevards, top soil and sod, grading control per lot, bituminous or concrete driveways, storm water ponding, sanitary sewers, storm sewers, drainage swales, street cleanup during project development, erosion control, and other site -related items; and WHEREAS, the City requires that a municipal water main (hereafter "Municipal Improvements") be installed to serve the Development and other properties affected by the development of Developer's land, to be installed and financed by Developer; 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; 61 NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY AGREED, in consideration of each party's promises and considerations herein set forth, as follows: • 1. 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 Albertville Plaza II, as prepared by , dated , 2006 and on file with the City Clerk. All such Municipal 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 Municipal Improvements shall be installed by , 2006. B. The Developer warrants to the City for a period of two years from the date the City accepts the finished Municipal Improvements that all such improvements have been constructed to City standards and shall suffer no significant impairments, either to the structure or to the surface or other usable areas due to improper construction, said warranty to apply both to poor materials and faulty workmanship. C. Developer shall provide the City with lien waivers from all contractors and subcontractors engaged to construct said Municipal Improvements on Said Plat. Should Developer fail to provide the City with all applicable lien waivers, the City reserves the right to draw upon Developer's surety and pay any contractors who performed work on any Municipal Improvements and whom Developer has failed to fully pay for the performance of said work. D. The City shall, at its option, have the City Engineer present on Said Plat for inspection purposes at all times (or such times as the City may deem necessary) during the construction and installation of said Municipal Improvements. Developer agrees to pay for all costs incurred by the City during said inspections. 2. Construction of On- and Off -Site Improvements. A. Developer shall construct all on- and off -site improvements ("Improvements") including installation of boulevards, yard top soil, sod and seed in all lots, grading control per lot, bituminous or concrete driveways, storm water ponding, sanitary sewers, storm sewers, drainage swales, private streets, berming, and like items as necessary, street cleanup during project development, and erosion control, all as required by City ordinance including those items shown on the Utility Plan (attached hereto as Exhibit B) and the Grading Plan (attached hereto as Exhibit Q. All such Improvements shall be constructed according to the plans and specifications dated , 2006 as prepared by Loucks Associates, and according to the standards adopted by the City, along with all items required by the City Engineer and/or City Planner. Unless the City Engineer specifies a later date, said Improvements shall be installed no later than December 20, 2006, with the exception of erosion control, which shall be installed immediately upon initial grading of Said Plat, and with the exception of the final layer of bituminous pavement on the parking lot, which may be 62 placed no later than June 30, 2007, and with the exception of the landscaping which may be placed no later than May 31, 2007. B. All said Improvements shall be installed at Developer's expense. If the City determines that it is necessary to have the City Engineer or other inspector on site for any portion of the installation of said Improvements, Developer shall reimburse the City for all inspection costs incurred by the City. C. Notwithstanding the requirements of subparagraph 1 A above, prior to the issuance of a certificate of occupancy for a building on any given lot in Said Plat, Developer shall have installed to the City's satisfaction said on- and off -site Improvements on the lot. 3. Use of Property. Developer's use of Said Plat shall be consistent with the following restrictions, which shall be effective until further modified or amended by rezoning or other amendment of the planned unit development by the City Council: A. Said Plat is part of a planned unit development ("PUD"). The provisions of the City's B-3 zoning district (as amended from time to time) apply to Said Plat, except as modified by this Agreement and except that the uses in Said Plat have been limited to the following unless otherwise agreed to by the City Council and Developer: i. Professional office, bank, hotel/motel, daycare, retail sales, restaurant, and auto service. • All such uses must receive site plan approval from the City Council prior to the issuance of building permits. B. Developer shall permit the owner of the property immediately to and abutting on the south property line of Said Plat ("South Property") to use the south access for ingress to the South Property at the locations shown on the attached Exhibit , provided that: 1. The owner of the South Property agrees to construct those portions of the private driveways located on the South Property to the same weight and width specifications as required by this agreement, unless other specifications are required by the City; 2. The owner of the South Property agrees that except for temporary and reasonable activities required in connection with construction, maintenance, repair and replacement, no obstruction which would prevent, restrict or otherwise inhibit the passage of pedestrians or vehicles over any portion of the private driveway shall be erected, condoned or permitted by the owner of any property benefited with the private driveway, its tenants, invitees or licensees, nor shall any other conduct, passive or affirmative, including but not limited to the parking or storage of vehicles, be permitted which would in any manner restrict the rights of the respective owners of any of the benefited property, their tenants, invitees and licensees to fully utilize the shared private driveway for the purposes permitted herein. However, in no event shall any owner allow any construction -related traffic that will cause damage to the shared driveway to utilize the shared driveway, nor shall any owner allow traffic to use said shared driveway which 63 has a weight rating which exceeds the weight rating for which said shared driveway was designed and constructed. is 3. The owner of the South Property agrees that should it fail to repair or maintain said shared private driveway, that owners of the lots in Said Plat may undertake making or causing any defective condition existing on said private shared drive to be cleaned up, repaired or maintained as outlined below: a. For all conditions not arising from the accumulation or deposit of snow on the shared drive, the owners of the lots in Said Plat shall give the defaulting owner of the South Property fifteen (15) days notice via certified mail and facsimile transmission thereof, and if the defaulting owner of the South Property fails to cure within 15 days of the notice (or fails to prosecute said cure diligently to completion if it cannot reasonably be finished within said 15 day period), the owners of the lots in Said Plat will be granted the right and the privilege to complete the defaulting owner's obligations and to bring legal action against the defaulting owner of the South Property to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this condition. b. The fifteen day notice period shall be deemed to run from the date of deposit in the United States Mail and the transmission of the facsimile. C. For all conditions arising from the accumulation or deposit of snow on the shared drive, the owners of the lots in Said Plat shall give the defaulting owner of the South Property twenty-four hours notice via telephone and facsimile transmission thereof, and if the defaulting owner of the South Property fails to cure within said twenty-four hour period, Developer will be granted the right and the privilege to complete the defaulting owner's obligations and to bring legal action against the defaulting owner of the South Property to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this condition. 4. The owner of the South Property agrees to initially pay the Developer a reasonable proportion of the cost of the construction of the shared drive on Said Plat and to thereafter pay the percentage of annual maintenance of the shared drive on Said Plat, both as determined by the City Council at such time as the South Property is developed. 5. Developer shall enter into an easement agreement with the owner of the South Property in substantially the same form and substantially the same terms as shown on the attached Exhibit , provided the owner of the South Property agrees to enter into said easement agreement. C. Developer shall establish an access and utility easement agreement providing for access to • all lots over the private roadways shown on Exhibit E and providing for the maintenance of utilities and ponding consistent with the Utility Plan in areas described as "easement" on Exhibit E. Said easement shall be approved by the City Attorney and recorded on the • property records at the Wright County Recorder's Office. D. Developer shall be permitted to construct a building on Lot 1, Block 1 for automotive services and retail uses in substantially the same location, configuration, size and materials as shown on the attached Exhibit F. Developer shall install landscaping, lighting and signage, respectively, in accordance with the Landscape Plan attached as Exhibit , the Lighting Plan attached as Exhibit , and the Signage Plan attached as Exhibit All improvements required to be installed under this paragraph shall be installed at Developer's expense. E. No site -specific approvals have been granted for Lot 2, Block 1 of Said Plat. Developer shall submit all plans required by ordinance, including site plan, a landscape plan, lighting plan, and signage plan for City approval prior to the issuance of a building permit for Lot 2, Block 1 of Said Plat. F. Storm sewer improvements, including storm water ponds, are to be maintained in proper working order by the owners of the lots in accordance with the terms of paragraph 4 below, but may be maintained by City if it chooses to do so. In the event the City chooses to maintain such storm sewer improvements, the City may special assess the benefiting properties for the costs of such maintenance. No person or entity may modify or obstruct the storm sewer improvements, without the express written consent of the City Council. . G. The municipal water main located on Said Plat shall be maintained by the City. In the event it becomes necessary to excavate any portion of said water main for maintenance or replacement, the City shall restore such excavation to grade with a gravel or turf surface, but the City shall not be responsible for replacement of pavement or above -ground improvements within the easement area. H. Developer shall not be permitted to store truck trailers or other type of trailers overnight on Said Plat except during installation of underground utilities, streets or construction of buildings. No truck trailers or other type of trailers shall be stored overnight on any lot after a certificate of occupancy has been issued for such lot. I. In the event an automobile maintenance operation is established on any lot in Said Plat, such operation shall keep its south -facing garage doors closed at all times (except for purposes of moving vehicles and supplies into and out of the building) so long as the property immediately to the south of Said Plat is used for residential purposes. J. In the event an automobile maintenance operation is established on any lot in Said Plat, such operation shall not permit the storage of damaged or inoperable vehicles outdoors on such lot. 4. Maintenance of Streets, Utilities and Ponding. • A. The streets, curb, gutter, and sanitary sewer in Said Plat shall remain private and the cost of maintenance of these items must be borne by the owners of the lots in Said Plat in accordance with the terms of the Maintenance Agreement attached as Exhibit G to this 65 Agreement. All such maintenance shall be performed in a commercially reasonable manner. • B. The storm sewers and ponds shall be public, but shall be maintained by the owners of the lots in Said Plat in accordance with the terms of the Maintenance Agreement attached as Exhibit G to this Agreement. All such maintenance shall be performed in a commercially reasonable manner. C. The City shall have the right to enter upon all easement areas at any time for inspection and maintenance purposes. 5. Surety Requirements. 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 $ representing the sum of 100% of the estimated cost of the Municipal Improvements, ($�, 100% of the estimated cost of the on and off -site Improvements, ($), and 150% of the estimated cost for landscaping/screening materials ($ ). Said letter of credit or surety must meet the approval of the City attorney as to form and issuing bank. 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, execution, 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 pay or reimburse the City in total as required herein, the Developer agrees that upon 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 of this 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. E. 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, M6 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. Developer shall maintain said letter of credit in the amount required by the City at all times. 6. Surety Release. A. 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. 2. When all or a portion of the Municipal Improvements and 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 Municipal Improvements and 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. i3. As to all requests brought under this paragraph, 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. Abandonment of Project - Costs and Expenses. In the event Developer should abandon the proposed development of the Subject Property, the City's costs and expenses related to attorney's fees, professional review, drafting of this Agreement, preparation of the feasibility report, plans and specifications, and any other expenses undertaken in reliance upon Developer's various assertions shall be paid by said Developer within thirty (30) days after receipt of a bill for such costs from the City. In addition, in the event the Developer abandons the project, in whole or in part, ceases substantial field work for more than nine (9) months, fails to provide sufficient ground -cover to prevent continuing soil erosion from the Said Plat, or fails to leave the abandoned property in a condition which can be mowed using conventional lawn mowing equipment, Developer agrees to pay all costs the City may incur in taking whatever action is reasonably necessary to provide ground -cover and otherwise restore Said Plat to the point where undeveloped grounds are level and covered with permanent vegetation sufficient to prevent continuing soil erosion from Said Plat and to facilitate mowing of Said • Plat. In the event that said costs are not paid, the City may withdraw funds from the above - mentioned surety for the purpose of paying the costs referred to in this paragraph. 8. Developer to Pay Cit_y's Costs and Expenses. It is understood and agreed that the Developer will reimburse the City for all reasonable administrative, legal, planning, engineering and other professional costs incurred in the creation, administration, enforcement or execution of this i Agreement and the approval of Said Plat, as well as all reasonable engineering expenses incurred by the City in approving and inspecting said Improvements and Municipal Improvements described above. Developer agrees to pay all such costs within 30 days of billing by the City. If Developer fails to pay said amounts, Developer agrees to allow the City to reimburse itself from said surety and/or assess the amount owed against any or all of the Development without objection. 9. Erosion and Siltation Control. Before any grading is started on any site, all erosion control measures as shown on the approved Grading, Drainage and Erosion Control Plan shall be strictly complied with as set forth in the attached Exhibit C, and as required by City ordinance. Developer shall also install all erosion control measures deemed necessary by the City Engineer should the erosion control plan prove inadequate in any respect. 10. Maintain Public Properly Damaged or Cluttered During 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 the Development. The Developer further agrees to pay all costs required to repair the streets, utility systems and other public property damaged or cluttered with debris when occurring as a direct or indirect result of the construction that takes place in the Development. Developer agrees to clean the streets on a daily basis if required b the City. Developer further p g Y q Y Y p agrees that any damage to public property occurring as a result of construction activity on the Development will be repaired immediately if deemed to be an emergency by the City. Developer further agrees that any damage to public property as a result of construction activity on the Development 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 immediately 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 the Development and/or take necessary legal action to recover such costs and the Developer agrees that the City shall be entitled to attorney's fees incurred by the City as a result of such legal action. 11. Temporary Easement Rights. Developer shall provide access to the Subject Property at all reasonable times to the City or its representatives for purposes of inspection or to accomplish any necessary work pursuant to this Agreement. U 12. Miscellaneous. A. Developer agrees that all construction items required under this Agreement are items for which Developer is responsible for completing and all work shall be done at Developer's expense. B. If any portion, section, subsection, sentence, clause, paragraph or phrase of this Contract is for any reason held invalid by a Court of competent jurisdiction, such decision shall not affect the validity of the remaining portion of this Contract. C. If building permits are issued prior to the completion and acceptance of public improvements, the Developer assumes all liability and the costs resulting in delays in completion of public improvements and damage to public improvements caused by the Developer, its contractors, subcontractors, materialmen, employees, agents, or third parties during construction of improvements on Said Plat. D. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Contract. To be binding, amendments or waivers shall be in writing, signed by the parties and approved by written resolution of the City Council. The City's failure to promptly take legal action to enforce this Contract shall not be a waiver or release. E. This Contract shall run with the land and shall be recorded against the title to the . property. F. 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 Said Plat does not comply, the City may, at its option, refuse to allow construction or development work in the plat until the Developer so complies. Upon the City's demand, the Developer shall cease work until there is compliance. G. 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. H. Developer shall comply with all water, ponding and wetland related restrictions, if any, required by the Wright County Soil and Water Conservation District and/or the City and any applicable provisions of State or Federal law or regulations. I. Developer shall guarantee all new plantings required as part of any landscape plan shall survive for two full years from the time the planting has been completed or will be replaced at the expense of the Developer. J. Developer shall obtain all required driveway, and other permits as required by either the City Engineer, Wright County and/or the State of Minnesota. 69 K. Developer shall provide to the City "As-Builts" of all sewers, water mains, and roads. is 13. 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 make the following dedications to the City: 1. Developer shall dedicate drainage and utility easements to the City over, under and across all drainage ponds located in Said Plat as the same are identified on the attached Exhibit C. 2. Developer shall dedicate to the City all utility easements shown on Said Plat. B. Developer acknowledges and agrees that in order to satisfy the City's park dedication requirements for Said Plat, Developer shall pay $7,500 per acre for all lots developed as numbered lots. Said Plat consists of 4.04 acres of numbered lots. Therefore, Developer shall pay the City a cash payment totaling $30,300.00. 14. Administrative Fee. A fee for City administration of this project shall be paid prior to the City executing the Plat and this Agreement. Said fee shall be three percent of the estimated construction costs of the Municipal Improvements within the Plat. The administrative fee for this Plat is $ . Seventy-five percent of this fee shall be paid upon issuance of the final Plat with the remaining twenty-five percent of the fee to be paid upon substantial completion of the Municipal Improvements. 15. 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 shall indemnify the City and its officers, employees and agents for all costs, damages or expenses which the City may pay or incur in consequence of such claims, including attorney's fees. Third parties shall have no recourse against the City under this contract. 16. Assignment of Contract. The obligations of the Developer under this Contract can 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. 17. Agreement Effect. This agreement shall be binding upon and extend to the representatives, heirs, successor and assigns of the parties hereto. 18. Violation of Agreement. A. In the case of default by the Developer, its successors or assigns, of any of the • covenants and agreements herein contained, the City shall give Developer thirty (30) days mailed notice thereof (via certified mail), and if such default is not cured within 70 said thirty (30) day period, the City is hereby granted the right and the privilege to S declare any deficiencies governed by this Agreement due and payable to the City in full. The thirty (30) day notice period shall be deemed to run from the date of deposit in the United States Mail. Upon failure to cure by Developer, the City may thence immediately and without notice or consent complete some or all of the Developer's obligations under this Agreement, and bring legal action against the Developer to collect any sums due to the City pursuant to this Agreement, plus all costs and attorney's fees incurred in enforcing this agreement. The City may also specially assess all said costs incurred upon default against the properties in Said Plat pursuant to the terms of this agreement. B. Notwithstanding the 30-day notice period provided for in paragraph 18(A) above, in the event that a default by Developer will reasonably result in irreparable harm to the environment or to public property, or result in an imminent and serious public safety hazard, the City may immediately exercise all remedies available to it under this agreement in an effort to prevent, reduce or otherwise mitigate such irreparable harm or safety hazard, provided that the City makes good -faith, reasonable efforts to notify the Developer as soon as is practicable of the default, the projected irreparable harm or safety hazard, and the intended actions of the City to remedy said harm. C. This paragraph of this Agreement shall not apply to any acts or rights of the City under paragraph 5E, and no notice need be given to the Developer as a condition precedent to the City drawing upon the expiring irrevocable letter of credit as therein authorized. The City may elect to give notice to Developer of the City's intent to draw upon the surety without waiving the City's right to draw upon the surety at a future time without notice to the Developer. D. Breach of any of the terms of this Contract by the Developer shall be grounds for denial of building permits and/or occupancy permits until said breach is remedied. 19. Phased Development. If the plat is a phase of a multi -phased preliminary plat, the City may refuse to approve final plats of subsequent phases until public improvements for all prior phases have been satisfactorily completed. Development of subsequent phases may not proceed until Development Contracts for such phases are approved by the City. Approval of this phase of the Development shall not be construed as approval of future phases nor shall approval of this phase bind the City to approve future Development phases. All future Development phases shall be governed by the City's Comprehensive Plan, Zoning ordinance, Subdivision ordinance, and other ordinances in effect at the time such future Development phases are approved by the City. 20. Limited Approval. Approval of this Agreement by the City Council in no way constitutes approval of anything other than that which is explicitly specified in this Agreement. 21. Professional Fees. The Developer will pay all reasonable professional fees incurred by the City as a result of City efforts to enforce the terms of this Agreement. Said fees include attorney's fees, engineer's fees, planner's fees, and any other professional fees incurred by the City in attempting to enforce the terms of this Agreement. The Developer will also pay all reasonable attorney's fees and professional fees incurred by the City in the event an action is brought upon a letter of credit or other surety furnished by the Developer as provided herein. 71 22. Allocation of Special Assessments. Special assessments in the amount of $ are • currently levied against Said Plat. Developer agrees that the City may reapportion said special assessments in the following manner: Lot 1, Block 2, 49.7% of outstanding special assessments; Lot 2, Block 2, 50.3% of outstanding special assessments. Developer waives its right to a public hearing under Minn. Stat. § 429.061 and § 429.071 regarding the reapportionment of said special assessments. 23. Plans Attached as Exhibits. All plans attached to this Agreement as Exhibits are incorporated into this Agreement by reference as they appear. Unless otherwise specified in this Agreement, Developer is bound by said plans and responsible for implementation of said plans as herein incorporated. 24. Integration Clause, Modification by Written Agreement Only. This Agreement represents the full and complete understanding of the parties and neither parry is relying on any prior agreement or statement(s), whether oral or written. Modification of this Agreement may occur only if in writing and signed by a duly authorized agent of both parties. 25. Notification Information. Any notices to the parties herein shall be in writing, delivered by hand (to the City Clerk for the City) or registered mail addressed as follows to the following parties: City of Albertville c/o City Clerk P.O. Box 9 Albertville, MN 55301 Telephone: (763) 497-3384 Albertville Plaza, LLC Suite 104, 75 Viking Drive Little Canada, MN 55117 CITY OF ALBERTVILLE, By Don Peterson Its Mayor By Bridget Miller Its Clerk ALBERTVILLE PLAZA, LLC By Its: Chief Manager 72 STATE OF MINNESOTA ) •) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of , 2006, by Don Peterson 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. Notary Public STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of , 2006, by Bridget Miller, 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. is COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of 2006, by , as Chief Manager of Albertville Plaza, LLC. Notary Public DRAFTED BY: Couri, MacArthur & Ruppe PLLP P.O. Box 369 705 Central Avenue East St. Michael, MN 55376 (763)497-1930 is 73 EXHIBIT A The legal description of the property which is the subject of this Developer's Agreement is as follows: • Lots 1 and 2, Albertville Plaza Second Addition, according to the plat of record on file in the Wright County Recorder's Office, Wright County, Minnesota. • • 74 EXHIBIT B Utility Plan Exhibit C Grading, Drainage and Erosion Control Plan Exhibit D Adjacent Property Legal Description Exhibit E Private Easement Descriptions Exhibit F Lot 3 Site Plan and Elevations Exhibit G Maintenance Agreement • • 75 CITY OF ALBERTVILLE PLANNED UNIT DEVELOPMENT/ CONDITIONAL USE DEVELOPMENT AGREEMENT ALBERTVILLE MEDICAL BUILDING (Albertville Medical Building II, LLC) THIS AGREEMENT, entered into this day of , 2006 by and between Albertville Medical Building II, LLC ("Developer"), and the CITY OF ALBERTVILLE, a political subdivision of the State of Minnesota, hereinafter referred to as "City"; WITNESSETH: WHEREAS, Developer is the fee owner of the real property described in the attached Exhibit A, which real property is a portion of the property proposed to be subdivided and platted for development, and which subdivision, which is the subject of this Agreement, is intended to bear the name "Albertville Medical Building" and shall hereinafter be referred to in its entirety as "Said Plat" or "Subject Property"; and WHEREAS, Developer has received final plat approval for 1 numbered lot and one outlot that it owns within Said Plat; and WHEREAS, this Agreement is entered into for the purpose of setting forth and memorializing for the parties and subsequent owners, the understandings and covenants of the parties concerning Said Plat and the conditions imposed thereon; and WHEREAS, approval of a Planned Unit Development is required to permit development of Said Plat in the manner proposed by the Developer; and WHEREAS, the City has given preliminary and final plat approval to Said Plat 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 sidewalk, trail(s), curb and gutter, grading, sanitary sewer, municipal water, storm sewer (hereafter "Municipal Improvements") be installed to serve Said Plat and other properties affected by the development of Developer's land, to be installed and financed by Developer; and WHEREAS, the City further requires that certain on- and off -site improvements be installed by the Developer within Said Plat, which improvements consist of paved private streets, boulevards, top 77 soil and sod, grading control per lot, bituminous or concrete driveways, parking lots, drainage swales, berming, street signs, street lights, street cleanup during project development, erosion control, and . other site -related items; and NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY AGREED, in consideration of each parry's promises and considerations herein set forth, as follows: 1. Planned Unit Development/Conditional Use Permit. Said Plat is hereby granted approval with a Planned Unit Development/Conditional Use Permit with flexibility from the strict requirements of the City's Zoning Ordinance in relation to selected items detailed in this paragraph. J. The underlying zoning for said plat is B-2, Limited Business District. Developer shall comply with said zoning district provisions, as amended from time to time, except where deviations from such provisions is expressly required or permitted by this Agreement. K. Developer agrees that all buildings shall be constructed within the building envelopes illustrated on the attached Exhibit B. The exact building placement/design shall be subject to site plan approval by the City Council except where specifically set out in this agreement. L. At the time of the recording of this Agreement at the Wright County Recorder's Office, Developer shall record a cross -parking and access easement which will allow mutual cross - parking and access between Lot 2, Block 1, Albertville Medical Building and all other lots in the Albertville Medical Building plat. Such cross parking easements must meet the approval of the City Attorney as to form and content. 0 M. In the event Lot 16, Block 1 of Prairie Run is rezoned to a commercial zoning, Developer shall make available the cross -access easement as shown on the attached as Exhibit G, to the owner of Lot 16, Block 1 of the subdivision "Prairie Run" (herein after "West Lot"), to allow mutual cross -access between Outlot A in Albertville Medical Building and Lot 2, Block 1, Albertville Medical Building (collectively, the burdened property) and the West Lot (the benefiting property) utilizing the private drive in Said Plat to provide access to County Road 18 provided that: 6. The owner of the West Lot agrees to construct those portions of the private driveway located on Said Plat necessary to utilize the cross access easement. The private drive shall be constructed to the same weight and width specifications of the private drives as required by this Development Agreement, unless other specifications are required by the City of Albertville at the time of construction; 7. The owner of the West Lot agrees that the costs of maintenance and repair of those portions of the shared private driveways which are located on the West Lot shall be borne by the owner of the West Lot. The owner of the West Lot shall be responsible for 100% of the maintenance cost of that portion of the shared private driveway located on Outlot A of Said Plat. Developer and the owner of the West Lot may alter this cost sharing formula by mutual agreement. 8. The owner of the West Lot and the Developer agree that except for temporary and reasonable activities required in connection with construction, maintenance, 78 repair and replacement, no obstruction which would prevent, restrict or otherwise inhibit the passage of pedestrians or vehicles over any portion of the private driveway shall be erected, condoned or permitted by the owner of any property benefited with the private driveway, its tenants, invitees or licensees, nor shall any other conduct, passive or affirmative, including but not limited to the parking or storage of vehicles, be permitted which would in any manner restrict the rights of the respective owners of any of the benefited property, their tenants, invitees and licensees to fully utilize the shared private driveway for the purposes permitted herein. However, in no event shall any owner allow any construction - related traffic that will cause damage to the shared driveway to utilize the shared driveway, nor shall any owner allow traffic to use said shared driveway which has a weight rating which exceeds the weight rating for which said shared driveway was designed and constructed. 9. The Developer agrees that should it fail to repair or maintain said shared private driveway, that the owner of the West Lot may undertake making or causing any defective condition existing on said private shared drive to be cleaned up, repaired or maintained as outlined below: a. For all conditions not arising from the accumulation or deposit of snow on the shared drive, the owner of the West Lot shall give the defaulting Developer fifteen (15) days notice via certified mail and facsimile transmission thereof, and if the defaulting Developer fails to • cure within 15 days of the notice (or fails to prosecute said cure diligently to completion if it cannot reasonably be finished within said 15 day period), the owner of the West Lot will be granted the right and the privilege to complete the defaulting Developer's obligations and to bring legal action against the defaulting Developer to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this Agreement. b. The fifteen -day notice period shall be deemed to run from the date of deposit in the United States Mail and the transmission of the facsimile. C. For all conditions arising from the accumulation or deposit of snow on the shared drive, the owner of the West Lot shall give the defaulting Developer twenty-four hours notice via telephone and facsimile transmission thereof, and if the defaulting Developer fails to cure within said twenty-four hour period, the owner of the West Lot will be granted the right and the privilege to complete the defaulting Developer's obligations and to bring legal action against the defaulting Developer to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this Agreement. 10. Developer shall enter into an easement agreement with the owner of the West • Property in substantially the same form and substantially the same terms as shown on the attached Exhibit G, provided the owner of the West Property agrees to enter into said easement agreement. 79 N. Developer shall construct the number of parking stalls on Said Plat in the locations and dimensions as shown on the attached Exhibit B • O. All minimum building setbacks shall be in accordance with City, County and State ordinances and laws. P. Developer shall permit the construction of all private streets on Said Plat to a minimum width of 24 feet from back of curb to back of curb, in the locations as shown on the attached Exhibit B. Said private street shall be constructed in such a manner that it may be expanded in the future to provide cross access pursuant to the provisions of Paragraph I(D) of this agreement. Parking shall be prohibited at all times on all private streets, and all private streets shall be posted with "no parking" signs installed by the Developer. Parking on the private streets shall not be permitted unless specifically allowed by the Albertville City Council. Developer shall install "No Parking" signs on the private streets in locations required by the City Engineer. Q. Developer shall maintain all private streets on Said Plat in a commercially reasonable manner such that the streets are paved and plowed at all times and such that cars and emergency vehicles can safely pass on said roads at all times. At the time of recording of this Agreement at the Wright County Recorder's Office, Developer shall record a private street maintenance agreement which requires all lots on the Albertville Medical Building plat to maintain said private streets in a commercially reasonable manner as required by this Agreement. Such maintenance agreement must meet the approval of the City Attorney as to form and content and shall take the form of a Retail Property Owners' Association. Upon recording of such documents and activation of the Retail Property Owners' Association, Developer shall be relieved of the maintenance of such private streets except to the extent Developer's maintenance obligations arise under the Retail Property Owners' Association by virtue of Developer's ownership of property subject to such Retail Property Owners' Association documents. R. In the event the private streets are not maintained in accordance with this Agreement such that said private streets pose a safety hazard to the general public, the City shall provide forty-eight hours notice of deficient maintenance to the owners of all of the lots in Said Plat, after which time the City may immediately require that commercial business not be transacted on any lot in Said Plat to which access remains impaired or unsafe. S. The Retail Property Owners' Association shall maintain all private roads, ponds and common areas within Said Plat. T. Monument signs will be allowed in the specified locations as shown on the attached Exhibit E and in the configurations shown on the attached Exhibit H. All such monument signs shall be maintained by the Property Owners' Association, and the documents creating the Property Owners' Association shall specify which portions of the monument signs may be used by the various lots within Said Plat. Developer shall provide the Property Owners' Association with easements necessary to maintain such signs. U. Developer has submitted a signage plan for Said Plat showing all existing and proposed • signs. All signs shall have white lettering with a dark background. All signs shall be in E substantially the same location, configuration, height and material as shown on attached Exhibit E. V. Building signs shall not exceed 15% of the building face. Building signs will be allowed on the front and rear of the buildings, or one side in lieu of a rear building sign. W. This Agreement does not constitute building or site plan approval for Lot 2, Block 1 in Said Plat. Developer must obtain building and site plan approval for all buildings constructed on Said Plat. X. All grading, drainage, utility, wetland mitigation, and transportation issues that arise during development of Said Plat shall be subject to review and approval by the City Engineer. Y. Trees, shrubs, berms and screening are to be planted and installed on Said Plat as shown on the landscape plan attached as Exhibit C. The Developer shall guarantee that all new trees shall survive for two full years from the time the planting has been completed or will be replaced at the expense of the Developer. Developer shall not plant any fruit bearing trees within the landscaped islands. All landscaping on Said Plat as shown on attached Exhibit C shall be installed no later than , 2006. Z. Developer shall replace, at its own expense, any plantings on Said Plat as shown on attached Exhibit C that might be damaged during the construction of any future buildings on Said Plat. Developer shall guarantee that all plantings replaced pursuant to this . paragraph shall survive for two full years from the date of planting. AA. Other Use Restrictions. On all lots within 30 feet of any wetland, the native vegetation within said 30 feet of the wetland shall not be fertilized or mowed or otherwise disturbed. On all lots within 30 feet of any wetland, no structure, including, but not limited to, outbuildings or accessory buildings, fence, planting or other material shall be placed or permitted to remain which may damage or interfere with the installation and maintenance of utilities, or which may change the direction of flow or drainage channels in the easements, or which may obstruct or retard the flow of water through drainage channels in the easements. The easement area of each Lot including all improvements in it, shall be maintained continuously by the Owner of the Lot, except for those improvements for which a public authority or utility company is responsible. No Owner or other person shall apply any phosphorus -based fertilizers or herbicides within fifty (50) feet of any wetland or lake. 2. Construction of On- and Off -Site Improvements. A. Developer shall construct all on- and off -site improvements including installation of curb and gutter, sidewalks, boulevards, 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, bermng, and like items as necessary, street cleanup during project development, and erosion control, all as required by City ordinance, except that Developer shall not be responsible for installing any such improvements on any lot is other than Lot 2, Block 1 Albertville Medical Building. All private streets shall be installed according to the plans and specifications for Albertville Medical Building, as prepared by HDR Jordan Architects and Paramount Engineering and Design dated 81 , 2006 and on file with the City Clerk. All yard areas shall be sodded with grass or landscaped in accordance with the attached Landscaping Plan. In all cases • permanent turf or grass must be established over all areas of the lot not covered by a hard or impervious surface, ponding or wetlands. Said on- and off -site improvements shall be installed no later than , 2006, with the exception of erosion control, drainage swales and berming, which shall be installed upon initial grading of Said Plat, and except that the parking lot for Lot 2, Block 1, which may be constructed when a building is constructed on such lot. B. Developer shall, at its own expense, cause the following items to be installed within Said Plat, all such items to be installed under ground, within the street right of way or within the private street easements or such other location as may be approved by the City Engineer, accessible to all lots and in compliance with all applicable state and local regulations: i. Electrical power supply, to be provided by Xcel Energy or other such carrier; ii. Natural gas supply, to be provided by Reliant Energy or other such carrier; iii. Telephone service, to be provided by Sprint/United Telephone Company or other such carrier; iv. Cable TV service, to be provided by a local carrier; In addition, the Developer shall, at its own expense, cause streetlights and street signs to • be of such type and to be installed at such locations as required by the City Engineer and in conformance with the Manual on Uniform Traffic Control Devices. D. Developer shall install silt fencing in back of all curbing within 30 days after said curbing is installed, or 7 days after the "small utilities" (gas, phone, electrical and cable television) have been installed, whichever occurs sooner. Developer shall abide by the City Engineer's requirements for silt fencing of the lots and access to the lots during building construction. E. Developer has submitted a lighting plan for Said Plat showing all existing and proposed lights. All light poles and exterior lights will be a 90-degree full cut-off. Developer shall install said lights on Said Plat in substantially the same location, configuration and material as shown on attached Exhibit D. F. Notwithstanding the requirements of subparagraph 2A above, the Developer shall install to the City's satisfaction improvements for each lot or parcel prior to the date that a certificate of occupancy (temporary or permanent) is issued by the City for a building located on the lot, unless the certificate of occupancy is issued after October 1 st and before March 30th in any given year, in which case a temporary certificate of occupancy shall be issued if all on- and off -site improvements except landscaping and sod have been installed. In such cases, the Developer shall cause the required landscaping and sod to be installed by the first June 30'' following the issuance of the occupancy permit. 3. Surety Requirements. 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 $ .00 representing the sum of $10,000 and 150% of the estimated cost for landscaping/screening materials ($ .00). Said letter of credit or surety must meet the approval of the City attorney as to form and issuing bank. 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 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, execution, administration or enforcement of this Agreement, 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 pay or reimburse the City in total as required herein, the Developer agrees that upon 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 of this 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. 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. 4. Surety Release. • A. Periodically, as payments are made by the Developer for the completion of portions of the on- and off -site Improvements, and when it is reasonably prudent, the Developer may request of the City that the surety be proportionately reduced for that portion of the on- and off -site Improvements which have been fully completed and payment made 83 therefore. All such decisions shall be at the discretion of the 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 release of any surety as follows: i. When another acceptable letter of credit or surety is furnished to the City to replace a prior letter of credit or surety. ii. When the Developer has fulfilled all of its obligations under this Agreement. iii. As to all requests brought under this paragraph, the City Council shall have complete discretion whether to reduce or not to reduce said letter of credit or surety. D. 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. 5. Abandonment of Project - Costs and Expenses. In the event Developer should abandon the proposed development of Said Plat, the City's costs and expenses related to attorney's fees, professional review, drafting of this Agreement, preparation of the feasibility report, plans and specifications, and any other expenses undertaken in reliance upon Developer's various assertions shall be paid by said Developer within thirty (30) days after receipt of a bill for such costs from the City. In addition, in the event the Developer abandons the project, t in whole or in part, ceases substantial field work for more than nine (9) months, fails to provide sufficient ground -cover to prevent continuing soil erosion from Said Plat, or fails to leave the abandoned property in a condition which can be mowed using conventional lawn mowing equipment, Developer agrees to pay all costs the City may incur in taking whatever action is reasonably necessary to provide ground -cover and otherwise restore Said Plat to the point where undeveloped grounds are level and covered with permanent vegetation sufficient to prevent continuing soil erosion from Said Plat and to facilitate mowing of Said Plat. In the event that said costs are not paid, the City may withdraw funds from the above -mentioned surety for the purpose of paying the costs referred to in this paragraph. 6. Developer to Pay City's Costs and Expenses. It is understood and agreed that the Developer will reimburse the City for all reasonable administrative, legal, planning, engineering and other professional costs incurred in the creation, administration, enforcement or execution of this Agreement and the approval of Said Plat, as well as all reasonable engineering expenses incurred by the City in designing, approving, installing, and inspecting said Improvements described above. Developer agrees to pay all such costs within 30 days of billing by the City. If Developer fails to pay said amounts, Developer agrees to allow the City to reimburse itself from said surety and/or assess the amount owed against any or all of Said Plat without objection. 7. Sanitary Sewer and Water Trunk Line Fees. Developer agrees that the City's Sanitary Sewer • Trunk Line Fee Ordinance and Water Trunk Line Fee Ordinance currently requires the Developer to pay $1,600.00 per acre and $1,400.00 per acre respectively, upon development of said Plat. There are 1.14 acres owned by Developer in said Plat, which received final plat • approval. Therefore, the Sanitary Sewer and Water Trunk Line Fees for all of Developer's property receiving final plat approval is $3,420.00 ($1,824.00 in sewer fees calculated as $1,600.00 x 1.14 acres and $1,596.00 in water fees calculated as $1,400.00 x 1.14 acres). 8. Erosion and Siltation Control. Before any grading is started on any site, all erosion control measures as shown on the approved Grading, Drainage and Erosion Control Plan shall be strictly complied with as set forth in the attached Exhibit F. 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 Cleaning. Developer shall comply with all requirements set forth for drainage into any county ditch or other ditch through which water from Said Plat may drain, and shall make any necessary improvements or go through any necessary procedures to ensure compliance with any federal, state, county or city requirements, all at Developer's expense. 10. Maintain Public Property Damaged or Cluttered During 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, utility systems and other public property 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 if required by the City. Developer further agrees that any damage to public property occurring as a result of construction activity on Said Plat will be repaired immediately if deemed to be an emergency by the City. Developer further agrees that any damage to public property as a result of construction activity on Said Plat 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 immediately 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 attorney's fees incurred by the City as a result of such legal action. 11. Temporary Easement Rights. • Developer shall provide access to Said Plat at all reasonable times to the City or its representatives for purposes of inspection or to accomplish any necessary work pursuant to this Agreement. M. 12. Miscellaneous. A. Developer agrees that all construction items required under this Agreement are items . for which Developer is responsible for completing and all work shall be done at Developer's expense. B. If any portion, section, subsection, sentence, clause, paragraph or phrase of this Contract is for any reason held invalid by a Court of competent jurisdiction, such decision shall not affect the validity of the remaining portion of this Contract. C. If building permits are issued prior to the completion and acceptance of public improvements, the Developer assumes all liability and the costs resulting in delays in completion of public improvements and damage to public improvements caused by the City, Developer, its contractors, subcontractors, materialmen, employees, agents, or third parties. D. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Contract. To be binding, amendments or waivers shall be in writing, signed by the parties and approved by written resolution of the City Council. The City's failure to promptly take legal action to enforce this Contract shall not be a waiver or release. E. This Contract shall run with the land and shall be recorded against the title to the property. 0 F. 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 Said Plat does not comply, the City may, at its option, refuse to allow construction or development work in the plat until the Developer so complies. Upon the City's demand, the Developer shall cease work until there is compliance. G. Prior to the execution of this Agreement and prior to the start of any construction on Said Plat, Developer shall provide the City with evidence of good and marketable title to all of Said Plat. 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. H. Developer shall comply with all water, ponding and wetland related restrictions, if any, required by the Wright County Soil and Water Conservation District and/or the City and any applicable provisions of State or Federal law or regulations. I. The Albertville City Council reserves the right to allocate wastewater treatment capacity in a manner it finds to be in the best interests of the public health, safety and welfare. Developer acknowledges and agrees that the City is currently in the process of expanding its wastewater treatment plant capacity. Developer further acknowledges and agrees that delay in the availability of wastewater treatment plant capacity may occur for some lots located within Said Plat depending upon when building permits are 86 applied for and that such delay in capacity availability may also delay the issuance of • building permits for some lots within Said Plat. J. Developer shall obtain all required driveway, utility and other permits as required by either the City Engineer, Wright County and/or the State of Minnesota. 13. Violation of Agreement. E. In the case of default by the Developer, its successors or assigns, of any of the covenants and agreements herein contained, the City shall give Developer thirty (30) days mailed notice thereof (via certified mail), and if such default is not cured within said thirty (30) day period, the City is hereby granted the right and the privilege to declare any deficiencies governed by this Agreement due and payable to the City in full. The thirty (30) day notice period shall be deemed to run from the date of deposit in the United States Mail. Upon failure to cure by Developer, the City may thence immediately and without notice or consent complete some or all of the Developer's obligations under this Agreement, and bring legal action against the Developer to collect any sums due to the City pursuant to this Agreement, plus all costs and attorney's fees incurred in enforcing this agreement. The City may also specially assess all said costs incurred upon default against the properties in Said Plat pursuant to the terms of this agreement. F. Notwithstanding the 30-day notice period provided for in paragraph 13(A) above, in the event that a default by Developer will reasonably result in irreparable harm to the 40 environment or to public property, or result in an imminent and serious public safety hazard, the City may immediately exercise all remedies available to it under this agreement in an effort to prevent, reduce or otherwise mitigate such irreparable harm or safety hazard, provided that the City makes good -faith, reasonable efforts to notify the Developer as soon as is practicable of the default, the projected irreparable harm or safety hazard, and the intended actions of the City to remedy said harm. G. Paragraph 13A of this Agreement shall not apply to any acts or rights of the City under paragraph 3F, and no notice need be given to the Developer as a condition precedent to the City drawing upon the expiring irrevocable letter of credit as therein authorized. The City may elect to give notice to Developer of the City's intent to draw upon the surety without waiving the City's right to draw upon the surety at a future time without notice to the Developer. H. Breach of any of the terms of this Contract by the Developer shall be grounds for denial of building permits. 14. Dedications to the City. A. Municipal Improvement Dedications. . The Developer, upon completion of all construction work and certification of completion by the City Engineer, 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. Park Dedication. The Developer is required to pay a cash contribution of $8,550.00 in satisfaction of the City's park and trail dedication requirements. This charge is calculated as follows: 1.14 gross acres x $7,500 per acre = $8,550.00. Developer shall pay this amount prior to the release of the final plat by the City. 15. Phased Development. Approval of this phase of Said Plat shall not be construed as approval of future phases nor shall approval of this phase bind the City to approve future development phases. All future development phases shall be governed by the City's Comprehensive Plan, Zoning ordinance, Subdivision ordinance, and other ordinances in effect at the time such future development phases are approved by the City. 16. Indemnity. Developer shall hold the City and its officers and employees harmless from claims made by Developer and third parties for damages sustained or costs incurred resulting from the approval and development of Said Plat. The Developer shall indemnify the City and its officers and employees for all costs, damages or expenses that the City may pay or incur in consequence of such claims, including attorney's fees. Third parties shall have no recourse against the City • under this contract. 17. Assignment of Contract. The obligations of the Developer under this Contract can 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. 18. Release of Prior Developer's Agreement. Upon the recording of this Agreement at the Wright County Recorder's Office, that Developer's Agreement titled "City of Albertville, Planned Unit Development Agreement, Prairie Run" and recorded as Document No. 940358 at the Wright County Recorder's Office, Wright County, Minnesota, is hereby released as it applies to the property described on Exhibit A to this Agreement. 19. Limited Approval. Approval of this Agreement by the City Council in no way constitutes approval of anything other than that, which is explicitly specified in this Agreement. 20. Professional Fees. The Developer will pay all reasonable professional fees incurred by the City as a result of City • efforts to enforce the terms of this Agreement. Said fees include attorney's fees, engineer's fees, planner's fees, and any other professional fees incurred by the City in attempting to enforce the terms of this Agreement. The Developer will also pay all reasonable attorney's and • professional fees incurred by the City in the event an action is brought upon a letter of credit or other surety furnished by the Developer as provided herein. 21. Plans Attached as Exhibits. All plans attached to this Agreement as Exhibits are incorporated into this Agreement by reference as they appear. Unless otherwise specified in this agreement, Developer is bound by said plans and responsible for implementation of said plans as herein incorporated. 22. Integration Clause, Modification by Written Agreement Only. This Agreement represents the full and complete understanding of the parties and neither party is relying on any prior agreement or statement(s), whether oral or written. Modification of this Agreement may occur only if in writing and signed by a duly authorized agent of both parties. 23. Notification Information. Any notices to the parties herein shall be in writing, delivered by hand (to the City Clerk for the City) or registered mail addressed as follows to the following parties: City of Albertville c/o City Clerk • P.O. Box 9 Albertville, MN 55301 Telephone: (763) 497-3384 Albertville Medical Building II, LLC 24. Agreement Effect. This Agreement shall be binding upon and extend to the representatives, heirs, successors and assigns of the parties hereto. CITY OF ALBERTVILLE, By Donald Peterson Its Mayor By Bridget Miller Its Clerk :• ALBERTVILLE MEDICAL BUILDING II, LLC • Its: STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of , 2006, by Donald Peterson 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. Notary Public STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of 40 , 2006, by Bridget Miller, 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 ) The foregoing instrument was acknowledged before me this , 2006, by as Building II, LLC. Notary Public DRAFTED BY: Couri, MacArthur & Ruppe, P.L.L.P. P.O. Box 369 705 Central Avenue East St. Michael, MN 55376 (763) 497-1930 day of of Albertville Medical • I' • EXHIBIT A TO DEVELOPER'S AGREEMENT e The legal description of the Plat to which this Developer's Agreement applies is as follows: Lot 2, Block 1 Outlot A All said property is located in the plat of Albertville Medical Building, City of Albertville, County of Wright, Minnesota. 91 EXHIBIT B Site Plan EXHIBIT C Landscape Plan EXHIBIT D Lighting Plan EXHIBIT E Signage Plan EXHIBIT F Grading Plan EXHIBIT G Cross Access Easement for Lot 16, Block 1, Prairie Run EXHIBIT H Monument Sign Configurations • 92 • EXHIBIT I ACCESS EASEMENT Albertville Medical Building, LLC, a limited liability company organized under the laws of the State of Minnesota, and Albertville Medical Building Il, LLC, a limited liability company organized under the laws of the State of Minnesota, (hereinafter collectively referred to as "Developer") and Bob Huering and Christine Huering, ("West Lot Owner"), hereby grant perpetual, reciprocal easements of access according to the following terms: Developer owns Lot 1 and 2, and Outlot A of the plat of Albertville Medical Building, Wright County, Minnesota ("Medical Property"). 2. West Lot Owner owns property described as Lot 16, Block 1 of the subdivision "Prairie Run" Wright County, Minnesota ("West Property"). 3. Developer shall permit ingress and egress to and from the West Lot over the Medical Property at the location shown on the attached Exhibit A ("Shared Private Driveway"). 4. The benefited and burdened properties under this Agreement are the West Lot Property and the Medical Property respectively. 5. The owner of the West Lot agrees to construct at its own expense those portions of the Shared Private Driveway to be located on the Medical Property in the location shown on the attached Exhibit A, which is necessary to utilize the cross access easement. The private drive shall be constructed to the same weight and width specifications as required by the Development Agreement for the Medical Property, unless other specifications are required by the City of Albertville at the time of construction. 6. The owner of the West Lot agrees that the costs of maintenance and repair of that portion of the Shared Private Driveway, which is located on the West Lot, shall be borne by the owner of the West Lot. The owner of the West Lot shall be responsible for the percentage of the maintenance cost of that portion of the Shared Private Driveway located on the Medical Property in proportion to the total acreage of the West Lot to the total acreage on the Albertville Medical Building plat. For purposes of snow removal, costs attributable to the Shared Private Drive on the Medical Property shall be apportioned proportionate to the amount of square footage of Shared Private Drive on the Medical Property to the total square footage of parking lot and total private drive on the Medical Property. Other maintenance costs shall be apportioned based on actual maintenance costs incurred for work on the Shared Private Drive located on the Medical Property. 7. Except for temporary and reasonable activities required in connection with construction, maintenance, repair and replacement, no obstruction which would prevent, restrict or otherwise inhibit the passage of pedestrians or vehicles over any portion of the Shared Private Driveway shall be erected, condoned or permitted by the owner of any property benefited by the Shared Private Driveway, its tenants, invitees or licensees, nor shall any other conduct, passive or affirmative, including but not limited to the parking or storage of vehicles, be permitted which would in any manner restrict the rights of the respective owners of any of the benefited property, 93 their tenants, invitees and licensees to fully utilize the Shared Private Driveway for the purposes permitted herein. However, in no event shall any owner allow any construction -related traffic • that will cause damage to the Shared Private Driveway to utilize the Shared Private Driveway, nor shall any owner allow traffic to use said Shared Private Driveway which has a weight rating which exceeds the weight rating for which said Shared Private Driveway was designed and constructed. 8. Should an owner fail to repair or maintain that portion of said Shared Private Driveway located on said owner's property, the other owner may undertake making or causing any defective condition existing on said Shared Private Drive to be cleaned up, repaired or maintained as outlined below: a. For all conditions not arising from the accumulation or deposit of snow on the shared drive, the other owner shall give the defaulting owner fifteen (15) days notice via certified mail and facsimile transmission thereof, and if the defaulting owner fails to cure within 15 days of the notice (or fails to prosecute said cure diligently to completion if it cannot reasonably be finished within said 15 day period), the other owner will be granted the right and the privilege to complete the defaulting owner's obligations and to bring legal action against the defaulting owner to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this Agreement. b. The fifteen -day notice period shall be deemed to run from the date of deposit in the United States Mail and the transmission of the facsimile. 0 For all conditions arising from the accumulation or deposit of snow on the shared drive, the other owner shall give the defaulting owner twenty-four hours notice via telephone and facsimile transmission thereof, and if the defaulting owner fails to cure within said twenty-four hour period, the other owner will be granted the right and the privilege to complete the defaulting owner's obligations and to bring legal action against the defaulting owner to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this Agreement. Dated: [Signature Blocks] [Notary Blocks] ["Drafted by" Statement} • s CITY OF ALBERTVILLE PLANNED UNIT DEVELOPMENT/ CONDITIONAL USE DEVELOPMENT AGREEMENT ALBERTVILLE MEDICAL BUILDING (Albertville Medical Building, LLC) THIS AGREEMENT, entered into this day of , 2006 by and between Albertville Medical Building, LLC, ("Developer"), and the CITY OF ALBERTVILLE, a political subdivision of the State of Minnesota, hereinafter referred to as "City"; WITNESSETH: WHEREAS, Developer is the fee owner of the real property described in the attached Exhibit A, which real property is a portion of the property proposed to be subdivided and platted for development, and which subdivision, which is the subject of this Agreement, is intended to bear the name • "Albertville Medical Building" and shall hereinafter be referred to in its entirety as "Said Plat" or "Subject Property"; and WHEREAS, Developer has received final plat approval for 1 numbered lot that it owns within Said Plat; and WHEREAS, this Agreement is entered into for the purpose of setting forth and memorializing for the parties and subsequent owners, the understandings and covenants of the parties concerning Said Plat and the conditions imposed thereon; and WHEREAS, approval of a Planned Unit Development is required to permit development of Said Plat in the manner proposed by the Developer; and WHEREAS, the City has given preliminary and final plat approval to Said Plat 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 sidewalk, trail(s), curb and gutter, grading, sanitary sewer, municipal water, storm sewer (hereafter "Municipal Improvements") be installed to serve Said Plat and other properties affected by the development of Developer's land, to be installed and financed by Developer; and WHEREAS, the City further requires that certain on- and off -site improvements be installed by • the Developer within Said Plat, which improvements consist of paved private streets, boulevards, top soil and sod, grading control per lot, bituminous or concrete driveways, parking lots, drainage swales, 95 berming, street signs, street lights, street cleanup during project development, erosion control, and other site -related items; and • NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY AGREED, in consideration of each parry's promises and considerations herein set forth, as follows: 1. Planned Unit Development/Conditional Use Permit. Said Plat is hereby granted approval with a Planned Unit Development/Conditional Use Permit with flexibility from the strict requirements of the City's Zoning Ordinance in relation to selected items detailed in this paragraph. A. The underlying zoning for said plat is B-2, Limited Business District. Developer shall comply with said zoning district provisions, as amended from time to time, except where deviations from such provisions is expressly required or permitted by this Agreement. B. Developer agrees that all buildings shall be constructed within the building envelopes illustrated on the attached Exhibit B. The exact building placement/design shall be subject to site plan approval by the City Council except where specifically set out in this agreement. C. The building on Lot 1 Block 1 shall be constructed consistent with the elevations attached as Exhibit H. Building and site plans for buildings to be constructed on other lots in Said Plat shall first be submitted to the City for approval. D. At the time of the recording of this Agreement at the Wright County Recorder's Office, • Developer shall record a cross -parking and access easement which will allow mutual cross -parking and access between Lot 1, Block 1 in Said Plat and Lot 2, Block 1, Albertville Medical Building. Such cross parking easements must meet the approval of the City Attorney as to form and content. E. The trash enclosure for the building located on Lot 1, Block 1 shall be directly adjacent to the property line as shown on Exhibit B. F. In the event Lot 16, Block 1 of Prairie Run is rezoned to a commercial zoning, Developer shall make available the cross -access easement as shown on the attached as Exhibit J, to the owner of Lot 16, Block 1 of the subdivision "Prairie Run" (herein after "West Lot"), to allow mutual cross -access between Outlot A in Said Plat and Lot 2, Block 1, Albertville Medical Building (collectively, the burdened property) and the West Lot (the benefiting property) utilizing the private drive in Said Plat to provide access to County Road 18 provided that: 1. The owner of the West Lot agrees to construct those portions of the private driveway located on Said Plat necessary to utilize the cross access easement. The private drive shall be constructed to the same weight and width specifications of the private drives as required by this Development Agreement, unless other specifications are required by the City of Albertville at the time of construction; • .4 2. The owner of the West Lot agrees that the costs of maintenance and repair of • those portions of the shared private driveways which are located on the West Lot shall be borne by the owner of the West Lot. The owner of the West Lot shall be responsible for 100% of the maintenance cost of that portion of the shared private driveway located on Outlot A of Said Plat. Developer and the owner of the West Lot may alter this cost sharing formula by mutual agreement. 3. The owner of the West Lot and the Developer agree that except for temporary and reasonable activities required in connection with construction, maintenance, repair and replacement, no obstruction which would prevent, restrict or otherwise inhibit the passage of pedestrians or vehicles over any portion of the private driveway shall be erected, condoned or permitted by the owner of any property benefited with the private driveway, its tenants, invitees or licensees, nor shall any other conduct, passive or affirmative, including but not limited to the parking or storage of vehicles, be permitted which would in any manner restrict the rights of the respective owners of any of the benefited property, their tenants, invitees and licensees to fully utilize the shared private driveway for the purposes permitted herein. However, in no event shall any owner allow any construction -related traffic that will cause damage to the shared driveway to utilize the shared driveway, nor shall any owner allow traffic to use said shared driveway which has a weight rating which exceeds the weight rating for which said shared driveway was designed and constructed. • 4. The Developer agrees that should it fail to repair or maintain said shared private driveway, that the owner of the West Lot may undertake making or causing any defective condition existing on said private shared drive to be cleaned up, repaired or maintained as outlined below: a. For all conditions not arising from the accumulation or deposit of snow on the shared drive, the owner of the West Lot shall give the defaulting Developer fifteen (15) days notice via certified mail and facsimile transmission thereof, and if the defaulting Developer fails to cure within 15 days of the notice (or fails to prosecute said cure diligently to completion if it cannot reasonably be finished within said 15 day period), the owner of the West Lot will be granted the right and the privilege to complete the defaulting Developer's obligations and to bring legal action against the defaulting Developer to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this Agreement. b. The fifteen -day notice period shall be deemed to run from the date of deposit in the United States Mail and the transmission of the facsimile. C. For all conditions arising from the accumulation or deposit of snow on the shared drive, the owner of the West Lot shall give the defaulting • Developer twenty-four hours notice via telephone and facsimile transmission thereof, and if the defaulting Developer fails to cure within said twenty-four hour period, the owner of the West Lot will be granted 97 the right and the privilege to complete the defaulting Developer's obligations and to bring legal action against the defaulting Developer to collect any sums due for the cost of the work performed, plus all costs • and attorney's fees incurred in enforcing this Agreement. 5. Developer shall enter into an easement agreement with the owner of the West Lot in substantially the same form and substantially the same terms as shown on the attached Exhibit J, provided the owner of the West Lot agrees to enter into said easement agreement. G. Developer shall construct the number of parking stalls on Said Plat in the locations and dimensions as shown on the attached Exhibit B H. All minimum building setbacks shall be in accordance with City, County and State ordinances and laws. I. Developer shall construct all private streets on Said Plat and that portion of the private street located on Lot 2, Block 1, Albertville Medical Building, to a minimum width of 24 feet from back of curb to back of curb, in the locations as shown on the attached Exhibit B. Said private street shall be constructed in such a manner that it may be expanded in the future to provide cross access pursuant to the provisions of Paragraph 1(F) of this agreement. Parking shall be prohibited at all times on all private streets, and all private streets shall be posted with "no parking" signs installed by the Developer. Parking on the private streets shall not be permitted unless specifically allowed by the Albertville City Council. Developer shall install "No Parking" signs on the private streets in locations required by the City Engineer. J. Developer shall maintain all private streets on Said Plat in a commercially reasonable manner such that the streets are paved and plowed at all times and such that cars and emergency vehicles can safely pass on said roads at all times. At the time of recording of this Agreement at the Wright County Recorder's Office, Developer shall record a private street maintenance agreement which requires all lots on the Albertville Medical Building plat to maintain said private streets in a commercially reasonable manner as required by this Agreement. Such maintenance agreement must meet the approval of the City Attorney as to form and content and shall take the form of a Retail Property Owners' Association. Upon recording of such documents and activation of the Retail Property Owners' Association, Developer shall be relieved of the maintenance of such private streets except to the extent Developer's maintenance obligations arise under the Retail Property Owners' Association by virtue of Developer's ownership of property subject to such Retail Property Owners' Association documents. K. In the event the private streets are not maintained in accordance with this Agreement such that said private streets pose a safety hazard to the general public, the City shall provide forty-eight hours notice of deficient maintenance to the owners of all of the lots in Said Plat, after which time the City may immediately require that commercial business not be transacted on any lot in Said Plat to which access remains impaired or unsafe. L. The Retail Property Owners' Association shall maintain all private roads, ponds and • common areas within Said Plat. W• • M. Monument signs will be allowed in the specified locations as shown on the attached Exhibit F and in the configurations shown on the attached Exhibit I. All such monument signs shall be maintained by the Property Owners' Association, and the documents creating the Property Owners' Association shall specify which portions of the monument signs may be used by the various lots within Said Plat. Developer shall provide the Property Owners' Association with easements necessary to maintain such signs. N. Developer has submitted a signage plan for Said Plat showing all existing and proposed signs. All signs shall have white lettering with a dark background. All signs shall be in substantially the same location, configuration, height and material as shown on attached Exhibit F. O. Building signs shall not exceed 15% of the building face. Building signs will be allowed on the front and rear of the buildings, or one side in lieu of a rear building sign. P. All grading, drainage, utility, wetland mitigation, and transportation issues that arise during development of Said Plat shall be subject to review and approval by the City Engineer. Q. Trees, shrubs, berms and screening are to be planted and installed as shown on the landscape plan attached as Exhibit C. The Developer shall guarantee that all new trees shall survive for two full years from the time the planting has been completed or will be replaced at the expense of the Developer. Developer shall not plant any fruit bearing trees within the landscaped islands. All landscaping on Said Plat as shown on attached Exhibit C shall be installed no later than .2006. R. Developer shall replace, at its own expense, any plantings on Said Plat as shown on attached Exhibit C that might be damaged during the construction of any future buildings on Said Plat. Developer shall guarantee that all plantings replaced pursuant to this paragraph shall survive for two full years from the date of planting. S. Other Use Restrictions. On all lots within 30 feet of any wetland, the native vegetation within said 30 feet of the wetland shall not be fertilized or mowed or otherwise disturbed. On all lots within 30 feet of any wetland, no structure, including, but not limited to, outbuildings or accessory buildings, fence, planting or other material shall be placed or permitted to remain which may damage or interfere with the installation and maintenance of utilities, or which may change the direction of flow or drainage channels in the easements, or which may obstruct or retard the flow of water through drainage channels in the easements. The easement area of each Lot including all improvements in it, shall be maintained continuously by the Owner of the Lot, except for those improvements for which a public authority or utility company is responsible. No Owner or other person shall apply any phosphorus -based fertilizers or herbicides within fifty (50) feet of any wetland or lake. 2. Construction of Municipal Improvements. • A. The Developer shall construct those Municipal Improvements located on and off Said p P p Plat as detailed in the Plans and Specifications for Albertville Medical Building, as Z prepared by Paramount Engineering and Design dated , 2006 and on file with the City Clerk, said improvements to include installation of water mains, is and storm sewers, curb, gutter, and sidewalk. 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 , 2006. B. The Developer warrants to the City for a period of two years from the date the City accepts the finished Municipal Improvements that all such improvements have been constructed to City standards and shall suffer no significant impairments, either to the structure or to the surface or other usable areas due to improper construction, said warranty to apply both to poor materials and faulty workmanship. C. Developer shall provide the City with lien waivers from all contractors and subcontractors engaged to construct said improvements on Said Plat. Should Developer fail to provide the City with all applicable lien waivers, the City reserves the right to draw upon Developer's surety and pay any contractors who performed work on any Municipal Improvements and whom Developer has failed to fully pay for the performance of said work. D. The City shall, at its option, have the City Engineer present on Said Plat for inspection purposes at all times (or such times as the City may deem necessary) during the construction and installation of said Municipal Improvements. Developer agrees to pay for all costs incurred by the City during said inspections. • 3. Construction of On- and Off -Site Improvements. A. Developer shall construct all on- and off -site improvements including installation of paved streets, curb and gutter, sidewalks, boulevards, 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, except that Developer shall not be responsible for installing any such improvements on Lot 2, Block I Albertville Medical Building except for the private drive connecting Said Plat to CSAH 18. All private streets shall be installed according to the plans and specifications for Albertville Medical Building, as prepared by HDR Jordan Architects and Paramount Engineering and Design dated , 2006 and on file with the City Clerk. All yard areas shall be sodded with grass or landscaped in accordance with the attached Landscaping Plan. In all cases permanent turf or grass must be established over all areas of the lot not covered by a hard or impervious surface, ponding or wetlands. Said on- and off -site improvements shall be installed no later than , 2006, with the exception of erosion control, drainage swales and berming, which shall be installed upon initial grading of Said Plat, and except that the parking lot for Outlot B may be constructed when a building is constructed on such respective lot. B. Developer shall, at its own expense, cause the following items to be installed within Said Plat, all such items to be installed under ground, within the street right of way or 10 within the private street easements or such other location as may be approved by the • City Engineer, accessible to all lots and in compliance with all applicable state and local regulations: i. Electrical power supply, to be provided by Xcel Energy or other such carrier; ii. Natural gas supply, to be provided by Reliant Energy or other such carrier; iii. Telephone service, to be provided by Sprint/United Telephone Company or other such carrier; iv. Cable TV service, to be provided by a local carrier; In addition, the Developer shall, at its own expense, cause streetlights and street signs to be of such type and to be installed at such locations as required by the City Engineer and in conformance with the Manual on Uniform Traffic Control Devices. C. Developer has submitted a utility plan for Said Plat showing all existing and proposed utility lines and easements, attached hereto and incorporated herein as Exhibit D. Developer agrees to have all utilities installed according to this Exhibit D. G. Developer shall install silt fencing in back of all curbing within 30 days after said curbing is installed, or 7 days after the "small utilities" (gas, phone, electrical and cable television) have been installed, whichever occurs sooner. Developer shall abide by the City Engineer's requirements for silt fencing of the lots and access to the lots during building construction. H. Developer has submitted a lighting plan for Said Plat showing all existing and proposed lights. All light poles and exterior lights will be a 90-degree full cut-off. Developer shall install said lights in substantially the same location, configuration and material as shown on attached Exhibit E, except that Developer shall not be responsible for the installation of lights on Lot 2, Block 1, Albertville Medical Building. I. Developer has submitted a grading plan for Said Plat attached as Exhibit G. Developer shall implement the grading plan, including the grading on Lot 2, Block 1, Albertville Medical Building, in a manner that will minimize soil erosion. J. Notwithstanding the requirements of subparagraph 3A above, the Developer shall install to the City's satisfaction improvements for each lot or parcel prior to the date that a certificate of occupancy (temporary or permanent) is issued by the City for a building located on the lot, unless the certificate of occupancy is issued after October 1 st and before March 30th in any given year, in which case a temporary certificate of occupancy shall be issued if all on- and off -site improvements except landscaping and sod have been installed. In such cases, the Developer shall cause the required landscaping and sod to be installed by the first June 30'h following the issuance of the is occupancy permit. 101 4. Surety Requirements. 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 $ .00 representing the sum of 100% of the estimated cost of the Municipal Improvements ($ .00), 100% of the estimated cost of the private streets ($ .00), and 150% of the estimated cost for landscaping/screening materials ($ .00). Said letter of credit or surety must meet the approval of the City attorney as to form and issuing bank. 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, execution, 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 pay or reimburse the City in total as required herein, the Developer agrees that upon 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 of this 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. 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. 5. 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 102 reasonably prudent, the Developer may request of the City that the surety be . proportionately reduced for that portion of the Municipal Improvements and on- and off -site improvements which have been fully completed and payment made therefore. All such decisions shall be at the discretion of the 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: i. When another acceptable letter of credit or surety is furnished to the City to replace a prior letter of credit or surety. ii. 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. Developer may substitute a warranty bond acceptable to the City Attorney for the warranty letter of credit in the same amounts and duration as required for the warranty letter of credit. iii. As to all requests brought under this paragraph, the City Council shall have complete discretion whether to reduce or not to reduce said letter of credit or surety. E. 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. F. 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, except that the portion of the letter of credit or other surety attributable to the wetland mitigation, if any, may remain in force for a period of five years or until the City Council has determined that the mitigated wetlands will remain viable and no further monitoring is necessary. 6. Abandonment of Project - Costs and Expenses. In the event Developer should abandon the proposed development of Said Plat, the City's costs and expenses related to attorney's fees, professional review, drafting of this Agreement, preparation of the feasibility report, plans and specifications, and any other expenses undertaken in reliance upon Developer's various assertions shall be paid by said Developer within thirty (30) days after receipt of a bill for such costs from the City. In addition, in the event the Developer abandons the project, • in whole or in part, ceases substantial field work for more than nine (9) months, fails to provide sufficient ground -cover to prevent continuing soil erosion from Said Plat, or fails to leave the abandoned property in a condition which can be mowed using conventional lawn mowing equipment, Developer agrees to pay all costs the City may incur in taking whatever action is 103 reasonably necessary to provide ground -cover and otherwise restore Said Plat to the point where undeveloped grounds are level and covered with permanent vegetation sufficient to prevent continuing soil erosion from Said Plat and to facilitate mowing of Said Plat. In the event that said is costs are not paid, the City may withdraw funds from the above -mentioned surety for the purpose of paying the costs referred to in this paragraph. 7. Developer to Pay Cityy's Costs and Expenses. It is understood and agreed that the Developer will reimburse the City for all reasonable administrative, legal, planning, engineering and other professional costs incurred in the creation, administration, enforcement or execution of this Agreement and the approval of Said Plat, as well as all reasonable engineering expenses incurred by the City in designing, approving, installing, and inspecting said Improvements described above. Developer agrees to pay all such costs within 30 days of billing by the City. If Developer fails to pay said amounts, Developer agrees to allow the City to reimburse itself from said surety and/or assess the amount owed against any or all of Said Plat without objection. 8. Sanitary Sewer and Water Trunk Line Fees. Developer agrees that the City's Sanitary Sewer Trunk Line Fee Ordinance and Water Trunk Line Fee Ordinance currently requires the Developer to pay $1,600.00 per acre and $1,400.00 per acre respectively, upon development of said Plat. There are 3.67 acres owned by Developer in said Plat, which received final plat approval. Therefore, the Sanitary Sewer and Water Trunk Line Fees for all of Developer's property receiving final plat approval is $11,010.00 ($5,872.00 in sewer fees calculated as $1,600.00 x 3.67 acres and $5,138.00 in water fees calculated as $1,400.00 x 3.67 acres). 9. Erosion and Siltation Control. Before any grading is started on any site, all erosion control measures as shown on the approved Grading, Drainage and Erosion Control Plan shall be strictly complied with as set forth in the attached Exhibit G. Developer shall also install all erosion control measures deemed necessary by the City Engineer should the erosion control plan prove inadequate in any respect. 10. Ditch Cleaning. Developer shall comply with all requirements set forth for drainage into any county ditch or other ditch through which water from Said Plat may drain, and shall make any necessary improvements or go through any necessary procedures to ensure compliance with any federal, state, county or city requirements, all at Developer's expense. 11. Maintain Public Properly Damaged or Cluttered During 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, utility systems and other public property damaged or cluttered with debris when occurring as a direct or indirect result of the construction that takes place in Said Plat. 0 104 Developer agrees to clean the streets on a daily basis if required by the City. Developer further agrees that any damage to public property occurring as a result of construction activity on Said Plat will be repaired immediately if deemed to be an emergency by the City. Developer further agrees that any damage to public property as a result of construction activity on Said Plat 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 immediately 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 attorney's fees incurred by the City as a result of such legal action. 12. Temporary Easement Rights. Developer shall provide access to Said Plat at all reasonable times to the City or its representatives for purposes of inspection or to accomplish any necessary work pursuant to this Agreement. 13. Miscellaneous. A. Developer agrees that all construction items required under this Agreement are items for which Developer is responsible for completing and all work shall be done at • Developer's expense. B. If any portion, section, subsection, sentence, clause, paragraph or phrase of this Contract is for any reason held invalid by a Court of competent jurisdiction, such decision shall not affect the validity of the remaining portion of this Contract. C. If building permits are issued prior to the completion and acceptance of public improvements, the Developer assumes all liability and the costs resulting in delays in completion of public improvements and damage to public improvements caused by the City, Developer, its contractors, subcontractors, materialmen, employees, agents, or third parties. D. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Contract. To be binding, amendments or waivers shall be in writing, signed by the parties and approved by written resolution of the City Council. The City's failure to promptly take legal action to enforce this Contract shall not be a waiver or release. E. This Contract shall run with the land and shall be recorded against the title to the property. F. 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, iszoning ordinances, and environmental regulations. If the City determines that Said Plat does not comply, the City may, at its option, refuse to allow construction or 105 development work in the plat until the Developer so complies. Upon the City's demand, the Developer shall cease work until there is compliance. • G. Prior to the execution of this Agreement and prior to the start of any construction on Said Plat, Developer shall provide the City with evidence of good and marketable title to all of Said Plat. 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. H. Developer shall comply with all water, ponding and wetland related restrictions, if any, required by the Wright County Soil and Water Conservation District and/or the City and any applicable provisions of State or Federal law or regulations. L The Albertville City Council reserves the right to allocate wastewater treatment capacity in a manner it finds to be in the best interests of the public health, safety and welfare. Developer acknowledges and agrees that the City is currently in the process of expanding its wastewater treatment plant capacity. Developer further acknowledges and agrees that delay in the availability of wastewater treatment plant capacity may occur for some lots located within Said Plat depending upon when building permits are applied for and that such delay in capacity availability may also delay the issuance of building permits for some lots within Said Plat. K. Developer shall obtain all required driveway, utility and other permits as required by . either the City Engineer, Wright County and/or the State of Minnesota. 14. Violation of Agreement. I. In the case of default by the Developer, its successors or assigns, of any of the covenants and agreements herein contained, the City shall give Developer thirty (30) days mailed notice thereof (via certified mail), and if such default is not cured within said thirty (30) day period, the City is hereby granted the right and the privilege to declare any deficiencies governed by this Agreement due and payable to the City in full. The thirty (30) day notice period shall be deemed to run from the date of deposit in the United States Mail. Upon failure to cure by Developer, the City may thence immediately and without notice or consent complete some or all of the Developer's obligations under this Agreement, and bring legal action against the Developer to collect any sums due to the City pursuant to this Agreement, plus all costs and attorney's fees incurred in enforcing this agreement. The City may also specially assess all said costs incurred upon default against the properties in Said Plat pursuant to the terms of this agreement. J. Notwithstanding the 30-day notice period provided for in paragraph 14(A) above, in the event that a default by Developer will reasonably result in irreparable harm to the environment or to public property, or result in an imminent and serious public safety hazard, the City may immediately exercise all remedies available to it under this • agreement in an effort to prevent, reduce or otherwise mitigate such irreparable harm or safety hazard, provided that the City makes good -faith, reasonable efforts to notify the 106 Developer as soon as is practicable of the default, the projected irreparable harm or • safety hazard, and the intended actions of the City to remedy said harm. K. Paragraph 14A of this Agreement shall not apply to any acts or rights of the City under paragraph 4F, and no notice need be given to the Developer as a condition precedent to the City drawing upon the expiring irrevocable letter of credit as therein authorized. The City may elect to give notice to Developer of the City's intent to draw upon the surety without waiving the City's right to draw upon the surety at a future time without notice to the Developer. L. Breach of any of the terms of this Contract by the Developer shall be grounds for denial of building permits. 15. Dedications to the City. A. Municipal Improvement Dedications. The Developer, upon completion of all construction work and certification of completion by the City Engineer, 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. Park Dedication. . The Developer is required to pay a cash contribution of $27,525.00 in satisfaction of the City's park and trail dedication requirements. This charge is calculated as follows: 3.67 gross acres x $7,500 per acre = $27,525.00. Developer shall pay this amount prior to the release of the final plat by the City. • 16. Administrative Fees. A fee for City administration of this project shall be paid prior to the City executing the Plat and this Agreement. Said fee shall be 3.25% of the estimated construction costs of the Municipal Improvements within the Plat. The administrative fee for this Plat is $ .00. Seventy-five percent of this fee shall be paid upon issuance of the final Plat with the remaining twenty-five percent of the fee to be paid upon substantial completion of the Municipal Improvements. 17. Phased Development. Approval of this phase of Said Plat shall not be construed as approval of future phases nor shall approval of this phase bind the City to approve future development phases. All future development phases shall be governed by the City's Comprehensive Plan, Zoning ordinance, Subdivision ordinance, and other ordinances in effect at the time such future development phases are approved by the City. 107 18. Indemnity. Developer shall hold the City and its officers and employees harmless from claims made by • Developer and third parties for damages sustained or costs incurred resulting from the approval and development of Said Plat. The Developer shall indemnify the City and its officers and employees for all costs, damages or expenses that the City may pay or incur in consequence of such claims, including attorney's fees. Third parties shall have no recourse against the City under this contract. 19. Assignment of Contract. The obligations of the Developer under this Contract can 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. 20. Release of Prior Developer's Agreement. Upon the recording of this Agreement at the Wright County Recorder's Office, that Developer's Agreement titled "City of Albertville, Planned Unit Development Agreement, Prairie Run" and recorded as Document No. 940358 at the Wright County Recorder's Office, Wright County, Minnesota, is hereby released as it applies to the property described on Exhibit A to this Agreement. 21. Limited Approval. Approval of this Agreement by the City Council in no way constitutes approval of anything other than that, which is explicitly specified in this Agreement. • 22. Professional Fees. The Developer will pay all reasonable professional fees incurred by the City as a result of City efforts to enforce the terms of this Agreement. Said fees include attorney's fees, engineer's fees, planner's fees, and any other professional fees incurred by the City in attempting to enforce the terms of this Agreement. The Developer will also pay all reasonable attorney's and professional fees incurred by the City in the event an action is brought upon a letter of credit or other surety furnished by the Developer as provided herein. 23. Plans Attached as Exhibits. All plans attached to this Agreement as Exhibits are incorporated into this Agreement by reference as they appear. Unless otherwise specified in this agreement, Developer is bound by said plans and responsible for implementation of said plans as herein incorporated. 24. Integration Clause, Modification by Written Agreement Only This Agreement represents the full and complete understanding of the parties and neither party is relying on any prior agreement or statement(s), whether oral or written. Modification of this Agreement may occur only if in writing and signed by a duly authorized agent of both parties. 25. Notification Information. Any notices to the parties herein shall be in writing, delivered by hand (to the City Clerk for the City) or registered mail addressed as follows to the following parties: City of Albertville c/o City Clerk P.O. Box 9 Albertville, MN 55301 Telephone: (763) 497-3384 Albertville Medical Building, LLC 5455 Highway 169 Plymouth, MN 55442 26. Agreement Effect. This Agreement shall be binding upon and extend to the representatives, heirs, successors and assigns of the parties hereto. • LIM Its: • CITY OF ALBERTVILLE, Donald Peterson Its Mayor Bridget Miller Its Clerk ALBERTVILLE MEDICAL BUILDING, LLC 109 STATE OF MINNESOTA ) •COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of , 2006, by Donald Peterson 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. Notary Public STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of , 2006, by Bridget Miller, 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 ) The foregoing instrument was acknowledged before me this day of , 2006, by , as of Albertville Medical Building, LLC. Notary Public DRAFTED BY: Couri, MacArthur & Ruppe, P.L.L.P. P.O. Box 369 705 Central Avenue East St. Michael, MN 55376 (763)497-1930 • 110 • • EXHIBIT A TO DEVELOPER'S AGREEMENT The legal description of the Plat to which this Developer's Agreement applies is as follows: Lot 1, Block 1 All said property is located in the plat of Albertville Medical Building, City of Albertville, County of Wright, Minnesota. 111 EXHIBIT B Site Plan EXHIBIT C Landscape Plan EXHIBIT D Sanitary Sewer, Water Main, Storm Sewer and Street Plan EXHIBIT E Lighting Plan EXHIBIT F Signage Plan EXHIBIT G Grading Plan EXHIBIT H Elevations for building on Lot 1, Block 1 EXHIBIT I Cross Access Easement for Lot 16, Block 1, Prairie Run • • 112 0 EXHIBIT J ACCESS EASEMENT Albertville Medical Building, LLC, a limited liability company organized under the laws of the State of Minnesota, and Albertville Medical Building II, LLC, a limited liability company organized under the laws of the State of Minnesota, (hereinafter collectively referred to as "Developer") and Bob Huering and Christine Huering, ("West Lot Owner"), hereby grant perpetual, reciprocal easements of access according to the following terms: 9. Developer owns Lot 1 and 2, and Outlot A of the plat of Albertville Medical Building, Wright County, Minnesota ("Medical Property"). 10. West Lot Owner owns property described as Lot 16, Block 1 of the subdivision "Prairie Run" Wright County, Minnesota ("West Property"). 11. Developer shall permit ingress and egress to and from the West Lot over the Medical Property at the location shown on the attached Exhibit A ("Shared Private Driveway"). 12. The benefited and burdened properties under this Agreement are the West Lot Property and the Medical Property respectively. 13. The owner of the West Lot agrees to construct at its own expense those portions of the Shared Private Driveway to be located on the Medical Property in the location shown on the attached Exhibit A, which is necessary to utilize the cross access easement. The private drive shall be constructed to the same weight and width specifications as required by the Development Agreement for the Medical Property, unless other specifications are required by the City of Albertville at the time of construction. 14. The owner of the West Lot agrees that the costs of maintenance and repair of that portion of the Shared Private Driveway, which is located on the West Lot, shall be borne by the owner of the West Lot. The owner of the West Lot shall be responsible for the percentage of the maintenance cost of that portion of the Shared Private Driveway located on the Medical Property in proportion to the total acreage of the West Lot to the total acreage on the Albertville Medical Building plat. For purposes of snow removal, costs attributable to the Shared Private Drive on the Medical Property shall be apportioned proportionate to the amount of square footage of Shared Private Drive on the Medical Property to the total square footage of parking lot and total private drive on the Medical Property. Other maintenance costs shall be apportioned based on actual maintenance costs incurred for work on the Shared Private Drive located on the Medical Property. 15. Except for temporary and reasonable activities required in connection with construction, maintenance, repair and replacement, no obstruction which would prevent, restrict or otherwise inhibit the passage of pedestrians or vehicles over any portion of the Shared Private Driveway shall be erected, condoned or permitted by the owner of any property benefited by the Shared Private Driveway, its tenants, invitees or licensees, nor shall any other conduct, passive or affirmative, including but not limited to the parking or storage of vehicles, be permitted which would in any manner restrict the rights of the respective owners of any of the benefited property, 113 their tenants, invitees and licensees to fully utilize the Shared Private Driveway for the purposes permitted herein. However, in no event shall any owner allow any construction -related traffic • that will cause damage to the Shared Private Driveway to utilize the Shared Private Driveway, nor shall any owner allow traffic to use said Shared Private Driveway which has a weight rating which exceeds the weight rating for which said Shared Private Driveway was designed and constructed. 16. Should an owner fail to repair or maintain that portion of said Shared Private Driveway located on said owner's property, the other owner may undertake making or causing any defective condition existing on said Shared Private Drive to be cleaned up, repaired or maintained as outlined below: d. For all conditions not arising from the accumulation or deposit of snow on the shared drive, the other owner shall give the defaulting owner fifteen (15) days notice via certified mail and facsimile transmission thereof, and if the defaulting owner fails to cure within 15 days of the notice (or fails to prosecute said cure diligently to completion if it cannot reasonably be finished within said 15 day period), the other owner will be granted the right and the privilege to complete the defaulting owner's obligations and to bring legal action against the defaulting owner to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this Agreement. e. The fifteen -day notice period shall be deemed to run from the date of deposit in the United States Mail and the transmission of the facsimile. • f. For all conditions arising from the accumulation or deposit of snow on the shared drive, the other owner shall give the defaulting owner twenty-four hours notice via telephone and facsimile transmission thereof, and if the defaulting owner fails to cure within said twenty-four hour period, the other owner will be granted the right and the privilege to complete the defaulting owner's obligations and to bring legal action against the defaulting owner to collect any sums due for the cost of the work performed, plus all costs and attorney's fees incurred in enforcing this Agreement. Dated: [Signature Blocks] [Notary Blocks] ["Drafted by" Statement} 114 4\1bertville • Smwl Tomm Lint. Mg aw Uh. MEMORANDUM Date: August 16, 2006 To: City Council From: Larry R. Kruse, City Administrator Re: General Update CITY HALL CONSTRUCTION AUDIO VISUAL AND TECHNICAL EQUIPMENT Elert has circulated the AV Package for bids. Will Craig is still working on a podium design and will be submitting something very soon. The bid package has the basic AV components for the Council Chambers and a TV broadcast component. The bid package is designed to give the City flexibility to do all or a portion of the AV project. FURNITURE AND FIXTURES Finance Director Lannes will be presenting a recommendation to award the furniture bid. We received four bids, however; two of the bidders proposed substandard quality; did not meet the bid specifications and have been eliminated from consideration. Bidders S&T and Marco are very close, and staff will be recommending awarding the bid to the low bidder, which is S &T. Your consideration of this recommendation is appreciated. RAILROAD LAND PURCHASE AGREEMENT The agreement has been signed and BMI has been authorized to proceed with the ALTA survey. I-94 PROJECT IMPLEMENTATION TASK FORCE MEETING The workgroup has met once and has put together a Cooperative Agreement between the three cities and County. We are refining a worksheet that summarizes work components of the three interchange projects. Further, we are going to put together an "issues map", which identifies the issues and challenges surrounding each project. This document should give everyone a better understanding of all three interchanges and where the group is headed. More information on this will be forthcoming. I believe the staff working group will have work product that will make the full 1-94 Implementation Task Force feel good about making progress on these transportation issues. The Environmental Assessment comment deadline is/was August 16th and I will update you on those comments in my next report. We will need to have Elwyn Tinklenberg come and meet with us 115 in September to discuss his services working with the I-94 Implementation Task Force. Everyone has agreed it has been helpful to have a facilitator assist with these transportation issues. • FRASER STEEL PROJECT We have been working with Fraser Steel on a 25,000 square foot, $2 million dollar expansion. The City is proposing to sell Fraser a lot for the cost of improvements ($2.25-$2.50) plus about $2.00 per square foot for the land. The City would capture about $2.00 per square foot for the land and/or improvements through Tax Increment Financing (TIF), resulting in a net cost of $2.25 to $2.50 for Fraser. Without the TIF, Fraser states they could not proceed. We have a number of complicated issues we are dealing with such as the re -platting of the industrial park, vacating and creating easements, vacating streets and dealing with multiple property owners. Plus Fraser needs to combine their lot with the one they are purchasing from the City, so their bank needs to sign too. City Attorney Couri can explain how complicated this gets. I would like to request the City have our contractor do some additional building pad corrections prior to having a Purchase Agreement with Fraser. Normally, we don't take any financial risk with developers; however, I believe this project merits our assistance. Having our contractor who is on site now complete the work as they balance out the site is the most cost effective way to get the job done. Assistant City Engineer Nafstad will have the estimated cost at the meeting. This additional soil correction work would be assessed to this specific property. I believe the Fraser project has a 95% chance of being successfully completed. It is a wonderful industrial project providing a significant tax base and good jobs. If you look at the worst case scenario and the deal falls apart, the soil corrections will be an investment, which will benefit any future owner of our lot. City Attorney Couri and Assistance City Engineer Nafstad are familiar with the details and will explain more. In closing, I believe the City proceeding with these soil corrections is in the best interest of all involved. VACATION As per my previous report, I will be back on August 29th. I will be calling in regularly to check on things. Bridget is the go to person in my absence and she has direction to contact the Mayor if there is a need for direction in my absence. Bridget has contact information should you need to get in contact with me. There may be a few days while I'm in Poland when I will not be available. • 116