HomeMy WebLinkAboutLate comer Agreement with Lochsa Falls, LLC for Ten Mile Lochsa Falls
ADICOUNTY RECORDER J. DAVID NAVARRO AMOUNT .00 13
801 E IDAHO 01/19/05 04:17 PM
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Mer dian Cily 105007249
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TEN MILE ROAD WATER LINE EXTENSION
LATE COMERS AGREEMENT
This Agreement made and entered into this ~g1:h.. day of ß('c'('l'/'\bu- , 2004, by
and between LOCHSA FALLS LLC, an Idaho Limited Liability Company, hereafter referred to
as "Lochsa", and the CITY OF MERIDIAN, hereinafter referred to as "City." This
Agreement supersedes and replaces in its entirety a similar Agreement made and entered into on
the 29th day of September, 2004, by and between LOCHSA FALLS LLC, an Idaho Limited
Liability Company and the CITY OF MERIDIAN, and recorded by the Ada County Recorder
at 9:01 a.m. on the 18th day of October, 2004, under the number 104132299.
WITNESSETH:
WHEREAS, the City limits extend North of McMillan Road, but prior to this Agreement
and the construction referred to herein, such area was not provided water service by the City;
and
WHEREAS, Lochsa constructed a water line ITom an existing water line to an area North
of McMillan Road and in Ten Mile Road as shown in Exhibit "A", which water lines are able to
provide service to land North and South of McMillan Road to the land shown in Exhibit "A"
which is attached hereto and by this reference incorporated as if set forth in full; that the Total
Service Area is approximately 212.37 acres which, if developed under the land use density
projections shown on Exhibit "8", which is attached hereto and by this reference incorporated
herein as if set forth in full, with land use densities shown on Exhibit "B", there would be a total
of 467 equivalent residential units (ERU) in the 212.37 acres; and
WHEREAS,
Lochsa and E.L. Bews, owners of another development within the
aforementioned Total Service Area, have already made separate arrangements for E.L. Bews to
reimburse Lochsa for a share of the cost of construction of the aforementioned water line, and to
share in the amounts collected by Lochsa under this Late Comers Agreement, such that Lochsa
and E.L. Bews properties shall be collectively referred to herein as "Lochsa Properties" for
convenience purposes, which properties collectively consist of 88 ERU and that on the land not
included in the Lochsa Properties, there would be 379 ERU; and
TEN MILE WATER LINE LATE COMERS AGREEMENT
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WHEREAS, the water line constructed by Lochsa will benefit land other than only the
Lochsa Properties; that the land that can be served by the said water line is shown in Exhibit
"A"; that the developable land that can be served by the water line could contain 467 ERU's;
that the existing developed areas that eventually connect to the water line serviced by the City
will be subject to the latecomer fees described herein; that seventy-eight percent (78%) of the
land not included in the Lochsa Properties would be developed in ten years, the term that a
Latecomers Agreement is allowed to run by law, and
WHEREAS, the total cost of constructing the said water line borne by Lochsa was,
$104,286.97; and the water line will benefit the Lochsa Properties which could contain 88
ERU's, or 18.84% of the total area to be benefited by the construction of the water line; therefore
the cost to Lochsa to construct the water line to and through his own subdivision(s) would be
$19,650.92; .that by subtracting this amount as the total Lochsa's cost share, the total cost to all
latecomers is $84,636.05; and then dividing by 78% of the remaining number of ERU's that
could be served by the water line; and then adding 10% for City Administration Cost, there
should be a latecomers fee of$315.59, plus interest, per ERU as shown in Exhibit "C"; and
WHEREAS, Section 9-1-13 of the Water Ordinance provides that the City may enter into
water line extension and reimbursement agreements and that section further provides that water
users who subsequently connect to the extended water line(s) shall be charged an eight (8) inch
diameter water line equivalency fee; said fees are in addition to the connection and user charges
normally assessed a user due to the fact the user has not contributed to the cost of the extended
line; the bove fee is hereafter referred to as "Late Comer Fee"; the above ordinance section
provides that the late comers fee may be used to reimburse the person or persons so extending
the water line(s).
WHEREAS, pursuant to Section 9-1-12 of the Water Ordinance, the City is required to
charge a Water Construction Equivalency Fee to any person or property owner who has not
otherwise paid for, or contributed proportionately toward, the costs and expenses of constructing
a water line, whether that construction has been performed by the City, a local improvement
district or a private entity, or combination thereof, and who subsequently desires to connect to
TEN MILE WATER LINE LATE COMERS AGREEMENT
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the City water system, shall be required to pay an additional connection charge which shall be
known and referred to as the "Water Construction Equivalency Fee".
NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:
1. The above recitals are contractual and are incorporated herein as if set forth in
full.
2. That Lochsa has paid or will pay for engineering, planuing and construction of the
water line shown in Exhibit "A", and which will benefit the land also shown in Exhibit "A".
3. Lochsa has contributed or will contribute $104,286.97 to total construction costs
of the said water line, of which Lochsa is entitled to be reimbursed the sum of $84,636.05 plus
interest, which represents land that could be served by the water line but is not included in
Lochsa Properties.
4. That for all land in Exhibit "A" subsequently connecting to the water line referred
to in Exhibit "A", except the land in the Lochsa Properties, the City will charge the sum of
$315.59 plus interest, per ERU as shown in Exhibit "C"; such users shall hereafter be referred to
as "LATE COMERS"; that the charge is the Water Construction Equivalency Fee authorized in
section 9-1-12 and established by this Agreement, which fee shall herein be referred to as
"LATE COMERS FEE"; the fee is in addition to any other water charges for connection to the
water system; the computation of the Late Comers Fee is shown on Exhibit "c" attached hereto
and by this reference incorporated herein.
5. That all the late comer fees assessed above in Paragraph 4 shall be set aside and
deposited to a special account to be designated the "TEN MILE WATER LINE EXTENSION
PROJECT REIMBURSEMENT ACCOUNT" and shall reflect interest at a rate of 6% to be
accrued on the unpaid balance once a year at the City's Fiscal Year End (9/30) each year for the
term of the agreement, and shall be distributed quarterly to Lochsa.
6. That the latecomer fees assessed, which will go into the TEN MILE WATER
LINE EXTENSION PROJECT REIMBURSEMENT ACCOUNT, shall increase at a rate of
6% per annum as shown in Table 1 of Exhibit "C".
TEN MILE WATER LINE LATE COMERS AGREEMENT
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7. That the late comer fees shall be collected by the City ITom all users subsequently
connecting to the water line shown in Exhibit "A" for the land also shown in Exhibit "A", except
the land in the Lochsa Properties.
8. That the City shall charge the TEN MILE WATER LINE EXTENSION
PROJECT REIMBURSEMENT ACCOUNT the 10% fee authorized by 9-1-13.
9. That the City shall have prepared on an annual basis an audit of all funds
collected pursuant to this Agreement, which audit shall coincide with the general audit of the
City; that the cost of this audit shall be paid by the City as part of its administrative costs.
10. That the water line(s) referenced in Exhibit "A" is the property of the City and
shall henceforth be maintained by the City at its sole cost and expense.
11. The term of this Agreement shall be until Lochsa has been reimbursed the
principal sum of $84,636.05, plus interest, as determined in Paragraph 6 or, if this is not
achieved, for a period of ten (10) years or, until such time the water line described herein is
abandoned. If Lochsa has not been reimbursed the principal sum plus interest less administrative
fees after ten (10) years ITom the date of this Agreement, the Agreement may be renewed by
mutual Agreement of the City and Lochsa, at such time as the City ordinance allows for
extension of a ten year time ITame. If the City does not amend this ordinance, then this
agreement shall have a ten year life span.
TEN MILE WATER LINE LATE COMERS AGREEMENT
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12.
This Agreement shall be binding on the assigns and successors of the parties
hereto.
DATED this
\\
day of t\~U.I)l~, 200f.
BY:
ATTEST:
Approved By City Council the ---1L- day of ~ \M \\ ~-t
,20¡'
(corporate seal)
Lochsa Falls, LLC.
By $/~'~
Marty G I smtIh, Member
TEN MILE WATER LINE LATE COMERS AGREEMENT
Page 5
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STATE OF IDAHO)
}ss.
County of Ada, )
On this ¡¡+k day of M,wtr , 20ll before me, the undersigned, a Notary
Public in and for said State, personall appeared TAMMY DE WEERD and WILLIAM G.
BERG, JR., known to me to be the Mayor and City Clerk of the CITY OF MERIDIAN, Idaho,
and who executed the within instrument, and acknowledged to me that the CITY OF
MERIDIAN executed the same.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the
day and year first above written.
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STATE OF IDAHO )
}ss.
County of Ada )
On this ~ßtI!- day of flt.uJV1bfr , 2004, before me, the undersigned, a Notary
Public in and for said State, personally appeared MARTY GOLDSMITH, known and identified
to me to be the member of LOCHSA FALLS LLC. that executed the instrument or the person
who executed the instrument on behalf of said limited liability company, and acknowledged to
me that such limited liability company executed the same.
(SE
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NOTARY PUBLIC FOR IDAHO
Residing at:
Commission expires:
TEN MILE WATER LINE LATECOMERS AGREEMENT
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Ten Mile Road Water Line Extension
Late Comers Agreement
Exhibit "A"
N
W*E
0
,
1000
s
2000
3000 Feet
,
.. Latecomer's Area
.. Developer's Area
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EXHtBIT B
LATECOMER'8AREA
to PARCEL OWNER
1511180427141800' JANtCEKPROPERTtE8LLC
15112 S0427142323 JOHN80N MICHAEL L &
15148 80426233815 GOL08MITH MARTY
1511480427410000 . BEW8EL
1512480427430000 . BEWSEL
. Denotes portion of parcel within tatecomers area
Note: Any parGet tess than 1.0 acre not considered for redevelopment and assigned 1 ERU
ACREAGE ZONECOOE
27.740 RUT
2.265 RUT
25.42 RUT
40.000 RUT
40.000 RUT
135.43
TEN MtLE WATERLtNE LATECOMERS AGREEMENT
ERU's
per acre
2.80
2.80
NA
2.80
2.80
Projecled
ERU's
78
6
71
112
112
379
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ID
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PARCEL
50426336000 BEW5 E L
EXHIBIT B - CONT.
DEVELOPER'S AREA
DWNER
ERU's Projected
ACREAGE ZONECODE per acre ERU's
76.940 1.14 66
. Denotes portion of parcel will1in develop.~s area
TEN MILE WATERLINE LATECOMERS AGREEMENT
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EXHIBIT B . CaNT.
SUMMARY:
Developer's Area Only:
Latecomer's Area Only:
Total Net Benefit Are (incl. Developer's area)
Acreage
76.94
135.43
212.37
Area Basis
Percentage Developer's: 36.23%
Percentage Latecomer's: 63.77%
ERU's
88
379
467
ERU Basis
18.84%
81.16%
TEN MILE WATERLINE LATECOMERS AGREEMENT
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EXHIBIT B - CONT.
Parcels Expected to Develop Within 10 Years
ERU's Projected
ID PARCEL OWNER ACREAGE ZONECODE per acre ERU's
15148 S0426233815 GOLDSMITH MARTY 25.42 RUT NA 71
15114 SO427410000' BEWS E L 40.000 RUT 2.80 112
15124 SO427430000' BEWS E L 40.000 RUT 2.80 112
Totals of parcels expected to develop within the next 10 years: 105.42 295
% of parcels to develop within the Total Service Area within the next 10 years: Area Basis ERU Basis
(excluding the Develope~s Area) 77.84% 77.83%
. Denotes only part of parcells included.
TEN MILE WATERLINE LATECOMERS AGREEMENT
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EXHIBIT C
ERU DETERMINATION:
Total Service Area = 212.37 Gross Acres
Latecomer's Service Area = 135.43 Gross Acres
TOTAL SERVICE AREA:
DEVELOPERS AREA:
LATECOMER'S AREA:
FEE COMPUTATION:
DEVELOPER'S CONTRIBUTION (verified from billings):
PORTION ATTRIBUTABLE TO DEVELOPER'S SUBDIVISION:
(Develope(s % of projected total ERU's) X (Develope(s Contribution)
18.84% X $104,286.97
Projected
ERU's
467
88
379
PORTION OF DEVELOPER'S CONTRIBUTION ELIGIBLE FOR REIMBURSEMENT:
(Latecome(s % of projected total ERU's) X (Developer's Contribution)
81.16% X $104,286.97
LATECOMER FEE PER ERU:
(Eligible Reimbursement)
$84,636.05
(Latecome(s ERU's)
379.01
REIMBURSEMENT BASIS:
(Latecomer fee per ERU)
(% Developed During Payback Period)
Payback Period (years)
Development Percentage
78%
$223.31
ADMINISTRATIVE FEE:
(Reimbursement Basis)
$286.90
x
X
(110% - (10% Administrative Fee))
110%
TEN MILE WATERLINE LATECOMERS AGREEMENT
Percent of
Total ERU's
100.00%
18.84%
81.16%
$104,286.97
$19,650.92
$84,636.05
$223.31
10
78%
$286,90
$315.59
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EXHIBIT C . CONT.
REIMBURSEMENT SCHEDULE:
The developer paid the costs of installing the sewer line, The Latecomer fee paid
by each parcel, or portion thereof, who connects to the subject sewer line will be
paid per the above agreement.
The fees assessed to each latecomer shall be adjusted annually on October 1 st,
at an annual percentage rate of 6%.
The latecomer fees shall be:
Effective Date
October 1 , 2003
October 1,2004
October 1,2005
October 1, 2006
October 1, 2007
October 1, 2008
October 1, 2009
October 1, 2010
October 1, 2011
October 1, 2012
October 2,2013
Latecomer Fee per ERU
$315.59
$334.53
$347.91
$361.83
$376.30
$391.35
$407.00
$423.28
$440.22
$457.82
$476.14
TEN MILE WATERLINE LATECOMERS AGREEMENT
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