2000-06-21 Development Agreement
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CITY OF ALBERTVILLE DEVELOPER'S AGREEMENT
Cedar Creek South Fourth Addition
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THIS AGREEMENT, entered into this ;i-/~t day of June, 2000 by and
between Pilot Land Development Company, Inc., referred to herein as "Developer"; and the
CITY OF ALBERTVILLE, County of Wright, State of Minnesota, hereinafter referred to as
"City";
WITNESSETH:
WHEREAS, Developer is the fee owner and developer of a parcel or parcels of land
described in Exhibit A, attached hereto and incorporated herein by reference, which
parcel(s) ofland are proposed to be subdivided and platted for development, and which
subdivision, which is the subject of this Agreement, is intended to bear the name "Cedar
Creek South Fourth Addition" and may sometimes hereinafter be refelTed to as the "Subject
Property" or "Said Plat"; and
WHEREAS, the City has given preliminary approval of Developer's Development
Stage plan of Cedar Creek South Fourth Addition contingent upon compliance with certain
City requirements including, but not limited to, matters set forth herein; and
WHEREAS, the City requires that certain public improvements including, but not
limited to, grading, sanitary sewer, municipal water, stOlID sewer and streets (hereafter
. "Municipal Improvements") be installed to serve the Subject Propelty and, further, to be
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financed by Developer;
WHEREAS, the City further requires that certain on- and off-site improvements be
installed by the Developer within the Subject Property, which improvements consist of
boulevards, top soil and sod, grading control per lot, bituminous or concrete driveways,
parking lot, drainage swales, benning, street signs, street cleanup during project.
development, erosion control, and other site-related items; and
WHEREAS, this Agreement is entered into for the purpose of setting forth and
memorializing for the parties and subsequent owners, the Wlderstandings and agreements of
the parties concerning the development of the Subject Property; and
WHEREAS, the City and Developer have previously entered into a Developer's
Agreement titled "City of Albertville Developer's Agreement Cedar Creek Golf Course
Planned Unit Development Concept Plan Master Agreement" ("Master Agreement") under
which the City granted concept plan approval to the plan for the area covered by said Master
Agreement; and
WHEREAS, the City and Developer desire to supplement the Master Agreement
with the site specific details applicable to Cedar Creek South Fourth Addition, as evidenced .
by the execution of this Agreement; and
WHEREAS, the City and Developer desire to have this Agreement and the Master
Agreement read together as if the entire Master Agreement were recited herein;
NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY
AGREED, in consideration of each party's promises and considerations herein set forth, as
follows:
1. Concept Plan Master Agreement.
A. That certain Developer's Agreement entitled "City of Albertville Developer's
Agreement Cedar Creek Golf Course Planned Unit Development Concept Plan
Master Agreement" ("Master Agreement") between Pilot Land Development
Company, Inc. and the City of Albertville, dated February 27, 1998 is hereby
incorporated herein the same as if the text of said Agreement were contained within
this document.
B. It is the intent of the parties that this Developer's Agreement ("Developer's
Agreement") supplement the Master Agreement as to the specific development .
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issues related to Cedar Creek South Fourth Addition, and that these two documents
be read together to determine the rights and obligations of the parties with respect to
the property contained within the Cedar Creek South Fourth Addition. In the event
of a conflict between the terms of the Master Agreement and this Developer's
Agreement, the terms of this Developer's Agreement shall control with respect to
any conflicting issues within Cedar Creek South Fourth Addition, but any such
conflicts shall not alter the terms of the Master Agreement as they apply to other
plats, now existing or to be platted in the future, within the remaining land area
subject to the Master Agreement.
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2. Construction of Municipal Improvements. The Developer shall construct those
Municipal Improvements located on and off Said Plat as detailed in the Plans and
Specifications for Cedar Creek South Fourth Addition, as prepared by Meyer-Roblin,
Inc. dated May 5, 2000 as on fIle with the City Clerk, said improvements to include
installation of water mains, sanitary and storm sewers, storm water ponding, site
grading, curb and gutter, and paved streets. All such improvements shall be constructed
according to the standards adopted by the City, along with all items required by the City
Engineer. Unless the City Engineer specifies a later date, said improvements shall be
installed by October 31 st, 2000 with the wear course of bituminous pavement to be
installed after May 15th, 2001 but before August 31~1 ,2001.
3. Construction of On- and Off-Site Improvements. Developer shall construct all on-
and off-site improvements including installation of 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, belming, and like items as necessary, street
cleanup during project development, and erosion control, all as required by City
ordinance. Front and side yards shall be sodded. Backyards may be seeded or sodded.
In all cases permanent turf or grass must be established over all areas of the lot not
covered by a hard or impervious surface. Said on- and off-site improvements shall be
installed no later than October 31,2003, with the exception of erosion control, drainage
swales and berming, which shall be installed upon initial grading of Said Plat.
4. Intended Use of Subdivision Lots, Requirements. It is the Developer's and City's
intent that single-family detached dwelling units be constructed on the lots in Said Plat
(one unit on each lot). Developer agrees that it shall not constmct any Wlits other than
said single-family detached dwelling units on the land in Said Plat. Lots located in Said
Plat may have varying front yard setbacks, provided that no front yard setback may be
less than thirty (30) feet. The fmal plat must show the minimum front yard setbacks and
these setbacks must remain in force throughout the life of the Planned Unit
. Development. Finally, Developer must provide one (1) deciduous or coniferous tree per
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lot within Said Plat.
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 Wlder this contract shall be performed. Said letter of credit or
surety shall be in the amount of $75,000, representing the sum of 100% of the
estimated cost of the Municipal Improvements ($69,000) and 50% of the on
and off-site improvements ($6,000). Said letter of credit or surety must meet
the approval of the City attorney as to form and issuing bank. If a bond is
used for up to 25% of the surety arnoWlt, said bond shall be in an amount at
least 1.5 times the percentage of the required surety which the bond
represents.
B.
The City may draw on said letter of credit or surety to complete work not
performed by Developer (including but not limited to on- and off-site
improvements, Municipal Improvements described above, erosion control,
and other such measures), to pay liens on property to be dedicated to the City,
to reimburse itself for costs incurred in the drafting, execution, administration
or enforcement of this Agreement, to repair or COlTect 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.
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C. In the event that any cash, irrevocable letter of credit, or other surety referred
to herein is ever utilized and fOWld to be deficient in amount to payor
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 incwTed 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
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in the amount required above within 30 days of mailing of written request by
the City. Should the City assess Developer's property for said costs, .
Developer agrees not to contest or appeal such assessment and waives all
statutory rights of appeal under Minnesota Statutes, including Minnesota
Statute 429.081.
E. That portion of said cash, irrevocable letter of credit or other surety with
respect to the performance of Site Improvements shall be released upon
certification of the City Engineer and approval of the City Council that all
such items are satisfactorily completed pursuant to this Agreement.
F.
In the event a surety referred to herein is in the form of an irrevocable letter of
credit, which by its terms may become null and void prior to the time at
which all monetary or other obligations of the Developer are paid or satisfied,
it is agreed that the Developer shall provide the City with a new letter of
credit or other surety, acceptable to the City, at least forty-five (45) days prior
to the expiration of the original letter of credit. If a new letter of credit is not
received as required above, the City may without notice to Developer declare
a default in the terms of this Agreement and thence draw in part or in total, at
the City's discretion, upon the expiring letter of credit to avoid the loss of
surety for the continued obligation. The f01m of any irrevocable letter of
credit or other surety must be approved by the City Attorney prior to its
Issuance.
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6. Surety Release.
A. Periodically, as payments are made by the Developer for the completion of
portions of the Municipal Improvements and/or On- and Off-site
Improvements, and when it is reasonably pmdent, the Developer may request
of the City that the surety be proportionately reduced for that portion of the
Municipal Improvements which have been fully completed and payment
made therefor. All such decisions shall be at the discretion 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:
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1.
When another acceptable letter of credit or surety is furnished to the
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City to replace a prior letter of credit or surety.
11. When all or a portion of the MWlicipal Improvements or the on- and
off-site improvements have been installed, the letter of credit or surety
may be reduced by the dollar amount attributable to that portion of
improvements so installed, except that the City shall retain the letter of
credit or surety in the amount of 10% of the estimated construction
price of the Municipal Improvements during the fIrst year of the
warranty period and 5% of the estimated construction price of the
Municipal Improvements during the second year of the warranty
period.
111. As to all requests brought Wlder this paragraph B, the City COWlcil
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 thiIty (30) days of billing.
D. If the Developer utilizes a bond for a portion of the surety (not to exceed 25% of the .
surety requirement), the bond shall be released prior to the release of any portion of
the letter of credit or other surety.
6. Sanitary Sewer Trunk Line Fees. Developer agrees that the City's Sanitary Sewer
Trunk Line Fee Ordinance requires the Developer to pay $1,400.00 per acre in sanitary
sewer trunk line fees. There are 3.82 acres in Said Plat. However, per the agreement
outlined in Parks ide 3rd Addition Developer's Agreement, paragraph 2, pages 2-5, the
developer will be credited $900.00 per acre prior to the installation of a sanitary sewer
trunk line. Therefore, the Developer shall be required to pay $1,910 ($500.00 x 3.82
acres). Developer will pay said fee prior to the release of the fmal plat by the City.
7. Erosion and Siltation Control. Before any grading is stm1ed on any site, all erosion
control measures as shown on the approved erosion control plan shall be strictly
complied with as set forth in the attached Exhibit B. Developer shall also install all
erosion control measures deemed necessmy by the City Engineer should the erosion
control plan prove inadequate in any respect.
8. Ditch Cleaning. Developer shall comply with all requirements set forth for drainage
into any county ditch or other ditch through which water from Subject Property may
drain, and shall make any necessary improvements or go through any necessary .
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procedures to ensure compliance with any legally enforceable federal, state, county or
city requirements, all at Developer's expense. The City may elect to (but shall not be
required to) refund to the Developer expenses incurred by Developer for machine
operator time spent cleaning the ditch beyond the boundaries of Said Plat.
9. Miscellaneous.
A. This Contract shall run with the land and shall be recorded against the title to the
property (or shall be recorded via a short-form companion document referencing
this Agreement). Upon the Developer's request the City will execute and deliver
to the Developer a release discharging Developer's obligations under this
Agreement, provided the Developer has completed all work and met all
obligations required under this Contract, and after expiration of the warranty
period.
B. The Developer represents to the City that Said Plat complies with all City,
county, state and federal laws and regulations, including but not limited to,
subdivision ordinances, zoning ordinances, and environmental regulations. If the
City determines that the plat does not comply, the City may, at its option, refuse
to allow construction or development work in Said Plat lmtil the Developer so
complies. Upon the City's demand, the Developer shall cease work until there is
compliance.
C. Prior to the execution of this Agreement and plior to the stm1 of any construction
on the Subject Property, Developer shall provide the City with evidence of good
and marketable title to all of Subject Property. Evidence of good and marketable
title shall consist of a Title Insurance Policy or Commitment from a national title
insurance company, or an abstract of title updated by an abstract company
registered under the laws of the State of Minnesota.
D. Developer shall comply with all legally enforceable water, ponding and wetland
related restIictions as contained in the letter dated November 18, 1999, from the
Wright County Soil and Water Conservation District (said letter is on file with
the City Clerk).
E. Developer shall not place any structure at an elevation such that the lowest grade
opening is less than two feet above the highest known surface water level or
ordinary high water level or less than one foot above the 100-year flood level of
any adjacent water body or wetland. If sufficient data on high water levels is not
available, the elevation of the line of permanent aquatic vegetation shall be used
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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.
F. The Albertville City COWlcil reserves the right to allocate wastewater treatment
capacity in a manner it fmds 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 and that such
delay in capacity availability may also delay the issuance of building permits for
some lots within Said Plat.
10. Dedications to the City.
A. The Developer, upon presentation to the City of evidence of good and marketable
title to Subject Property, and upon completion of all construction work and
certification of completion by the City Engineer, shall dedicate all roads, road
right of ways, sewers and water mains to the City. Upon acceptance of
dedication, Developer shall provide to the City "As- Builts" of all sewers, water
mains, and roads. Acceptance by City of any dedication shall occur upon
passage of a resolution to such effect by the City Council.
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B. Developer acknowledges and agrees that a total of .382 acres of park land (3.82
acres of residential land x .10) are required to be dedicated to the City under the
City's CUlTent park dedication ordinance, or the Developer must pay the City a
park dedication fee of$I,300.00 per buildable lot being platted. The Developer
and City agree that no park land is being dedicated within Said Plat. Developer
and City thus agree that the park dedication requirement shall be met via the
payment of$13,OOO.OO in cash to the City (10 lots x $1,300.00), minus any credit
for trail construction and dedication which may be applicable from trails
constructed on other plats within the Master PUD. Developer shall make any
payments due to the City Wlder this paragraph at such time as the City directs.
11. 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 payor incur in consequence of such claims,
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including attorney's fees. Third parties shall have no recourse against the City under
this contract.
12.
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 watennain,
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 occWTing 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 ftllther 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 undertake making or causing it to be cleaned up, repaired or
maintained. When the City undertakes such activity, the Developer shall reimburse
the City for all of its expenses within thirty (30) days of its billing to the Developer.
If the Developer fails to pay said bill within thirty (30) days, then the City may
specially assess such costs against the lots within Said Plat and/or take necessary
legal action to recover such costs and the Developer agrees that the City shall be
entitled to attorneys fees incurred by the City as a result of such legal action.
Developer knowingly and voluntarily waives all rights to appeal said special
assessments under Minnesota Statutes section 429.081.
13.
Assignment of Contract. The obligations of the Developer Wlder this Contract
cannot be assigned without the express written consent of the City Council through
Council resolution.
14.
Agreement Effect. This agreement shall be binding upon and extend to the
representatives, heirs, successors and assigns of the parties hereto.
CITY OF ALBERTVILLE,
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PILOT LAND DEVELOP
STATE OF MINNESOTA)
) ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this 5 day of
~ & ' 2000, by John Olson, as Mayor of the City of Albertville, a .
Minnesota mWlicipal corporation, on behalf of the city and pursuant to the authority of the
City Council. ~J ~..--
Notary Public ./
CAROL M. SEVERSON
STATE OF MINNESOTA) NOTARYPUBUC-MINNESOTA
My COmmission ExpIres .Ian. 31, 2005
) ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this ~ day of
:x ti ' 2000, by Linda Goeb, as Clerk of the City of Albertville, a
Minneso municipal corporation, on behalf of the city and pursuant to the authority of the
City Council. l~ ~
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Notary Public
CAROL M. SEVERSON
NOTARY PUBUC . MINNESOTA
My Commission Expires Jan. 31, 2005
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STATE OF MINNESOTA )
) ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this ~/~t day of
J 1/ n e , 2000, by Kent Roessler, as President of Pilot Land Development
Company, Inc. (;JMn.JJ2 ~
Notary Public t:
DRAFTED BY:
Couri & MacArthur Law Office
P.O. Box 369
705 Central A venue East
St. Michael, MN 55376
(612)497-1930
~
· e-~ PAM:LA A. BROUCEK
'"L' Notary Public
· Minnesota
· My Commission EKpires Jan. 31. 2005
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