HomeMy WebLinkAboutWater Line Late Comer Agreement with Capital Development, Inc. for Baldwin Park
ADA COUNTY RECORDER J_ DAVID NAVARRO
BOISE IDAHO 02121/03 01:17 PM
DEP UTY Joan ns Hooper
RECORDED-REQUEST OF
MER IDIA N CITY
AMOUNT .00
10
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103029056
W A TEll LINE LATE CO lVIERS AGlUEMENT
BALDWIN P ARK WATER LINE EXTENSION
CAPITAL DEVELOPMENT, INC.
This Agreement made and entered into this I/""day of Fa.bt-V3.~ 2003, by and between
CAPITAL DEVELOPMENT, INC., an Idaho Corporation, hereafter referred to as l'DeveloperH,
and theCITYOF MERIDIAN, hereafter referred to as ."Cityt1
WITNESSETH:
WHEREAS, tIle City limits extend north of U stick Road, but prior to this Agreelnent and
tIle construction referred to herein, such area was not provided water service by the City; and
WHEREAS, tIle Developer constructed a water lil1e fi~onl an existing water line to an area
east and west of Linder Road and north of Ustick Road, as shown in "Exhibit A", which water
line is ableto provide service to land north of Us tick Road to the land. shown in Exhibit "A" Wl1ich
is attached hereto and by this reference incorporated as if set forth in full; that tIle Total Service
Area is approxinlately 179.75 acres whicll, if developed under the land use density projections
shoV\ll1 011 Exllibit HB U, whicll is attxhed l1ereto atld by tllis reference 11lcorp orate.:! herein as if set
fortl1 in full, with land. use densities shovvn on Exllibit "Bit, there coukl be 449 equivalent residential
Ullits (ERU) in the 179~75 acres; that the Developers subdivision(s) consists of 59 ERU; that on the
land not included III the Develope r' s subdivision, there could be 390 ERU; and
WATER LINE LA TECOMERS AGREEMENT
Page - 1 of 6
WHEREAS, t.he water litle constructed by the Developer will benefit land otller than only
tIle latld developed by Developer; that the land that Call be served by the said water line is shovvn in
Exhibit uA"; that the developable land that can be served by the water line could contain 449 ERU's;
that the existing developed areas that eventually connect to the water line serviced by tIle City will
be subject to the latecomer fees desQ4ibed l1erein; that 800/0 of the land not included in the
Developer's subdivision woukl be developed in ten years, the terlTI a late comers Agreement is
allowed to run, and
WHEREAS, tIle total cost of constructing the said water line borne by the Developer was
$109,790.00; whereas the water lU1e will benefit the Developer's Subdivision(s) which coukl
contain 59 ERU's, or 13.1% of the total area to be benefited by the construction of the water line;
therefore the cost to Developer to construct tIle water line to his own subdivision(s) would be
$14,415.83;that by subtractingthis mTI01Ult as thetotal Developer's cost share, the total cost to all
latecomers is $95,374.1.7; and then dividing by 80% of the remainingnum~r of ERU's that coukl
be served by the water IUle; and tllen adding a 5% administration fee to be included with each Late
Comer paYlrent (City Code Section 9-1-13), there should be a late comers fee of $320.69, plus
interest, per ERU as shown in Exllibit "C"; and
WHEREAS, Section 9-1-13 of tIle Water Ordinance provides that tile City may enter into
water line extension and reimburselnelt agreements and that section further provides that water
users who subsequently connect to tIle extended water line(s) shall be charged an eight (8) inch
dia.rreter water line equivalency fee; said fees are in additiol1 to tile connection and user charges
normally assessed a user due to the fact tile user has not contributed to the cost of the extended line;
WATER LINE LATE COMERS AGREEMENT
Page- 2 of 6
the above fee is hereafter referred. to as HLate Comer Peen; tIle above ordinance section provides that
the late comers fee Inay be used to reimburse the person or persons so extending the water line(s).
WHEREAS, purSu811t to Section 9-1-12 of the Water Ordinance, the City is required to
charge a Water Constru.ction 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 constructioll has been performed by the City, a local improvement district
or a private entity, or combination thereof, and who subsequently d.esires to connect to the City
water systeln, shall be required to pay an additional connection charge which shall be known and
referred to as the "Water Construction Equivalency Fee"~
NOW, TH.EREFORE, IT IS HEREBY AGREED AS FOLWWS:
1 ~ The above recitals are contractual and are illcorp orated herell1 as if set forth in full
2~ That the Developer has paid for engineering planning and construction of the water
line shovm in Exhibit HA", and which will benefit the land also shovvn III Exllibit rlAf1 ~
3. The Developer l1as contributed $1 09, 790~OO to total construction costs of the said
water lint; of which Developer is entitled to be reimbursed. the sum of $95,3 74~ 17 P Ius interest,
whicll represents land that coukl be served by the water IUle but is not included in Developer's
subdivision
4~ That for all land in Exhibit U A B subsequently connecting to tIle water line refErred to
in Exhibit uA", except the land in Developer's Subdivision(s), the City will charge the sum of
$320~69 plus interest, per ERU as Sl10\Vl1 in Exhibit "C"; SUCll users shall hereafter be referred to as
HLA TE COMERSf1; that the charge is the water construction equivalency fee authorized in 9-1-12
WATER LINE LA TE COMERS AGREEMENT
Page- 3 of 6
and established by this Agreement, which fee shall herein be referred to as HLA TE COMERS FEE";
the fee is in addition to any other water charges for connection to the water sy steIn; the computation
of th.e Late Comers Fee is shovvn on Exhibit "c" attoclled l1ereto aJ.ld by this reference incorporated
herein.
5~ That all the late co.mer fees assessed above in Paragraph 4 shall be set aside and
deposited to a sp ecial account to be designated the "BALDWIN PARK WATER LINE PROJECT
REIMBURS EMENT ACCOUNTH and shall reflect interest at a rate of 6% to be accrued on the
un.paid balance once a year at the City's Fiscal Year End (9/30) each year for tIle term of tIle
agreelnent, and sllall be distributed quarterly to the Developer.
6~ That tIle late comer fees assessed, which will go into the BALDWIN PARK
WATER LINE REIMBURSEMENT ACCOUNT, shall increase at a rate of 6% per annum as
shown in Table I of Exhibit "C".
7~ That the late com.er fees shall be collected by tlle City from all users subsequently
connectingto the water line sllown in Exhibit HA U for the land also shown in Exhibit itA H, except the
land in Developer's Subdivision~
8~ T11at the City shall charge the BALDWIN PARK WATER LINE PROJECT
REIMBURS ElVIENT ACCOUNT the 5% fee autllOrized by 9-1-13.
9. That tIle 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 oftllis audit shall be paid by the City as part of its administrative costs~
10~ It is agreed that the water line(s) referenced in Exhibit f1Att is tIle propelty of the
WATER LINE LATE COMERS AGREEMENT
Page- 4 of 6
City and shallllenceforth be maintained by the Ci ty at its sole cost and exp ense~
11 The term of this Agreement shall be until Developer has been reimbursed the
principal sumof $95,374.17, plus interest, as determined in Paragrapl16, less the 5% administrative
fee Of, if this is not acllieved, for a period of ten (10) years Of, until such time the water lin.e
described herein is abandolled. If tIle Developer has not been reimbllrsed the principal sum plus
interest less administrative fees after ten (10) years from the date of this Agreement, the Agreement
may be renevved by mutual Agreement of the City and the Developer, at such time as the City
ordinance allows for extension of a ten year time fra.rre. If tile City does not amend this ordinance,
then this agreelnent sllall have a tell y ear life sp an.
12. This Agreement shall be binding on the assigns and successors of the p arties hereto~
DA TED this I/#Jday of Fe..b'foJo.1'i ' 2003.
BY:
ATTEST:
CAPITAL DEVEL
By
ASON, President
(corporate seal)
WATER LINE LATE COMERS AGREEMENT
Page- 5 of 6
ST ATE OF IDAHO,)
ss.
County of Ada, )
. li~ .
On thlSlL day of (;, 2003, before me,theundersigtled, a Notary Public in
and for said State, personally appeared OBERT D. CORRIE and WILliAM G. BERG, JR.,
known to me to be the Mayor and City Clerk of the CITY OF MERIDIAN, Idaho, and WI10
exewted tIle within instrument, and acknowledgai to Ine that the CITY OF MERIDIAN executed
the same.
IN WITNESS WHEREOF, I havellereunto set my hand aJ.ld affLXed my offICial seal the day
and year first above written.
SEAL
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NOTARYPUBUCDRIDAHO .
RESIDING AT . . ,~({Q(;(..yctvv Jit0!/w
MY COMMISSION EXPIRES v 1-Zf{-or;-
ST A TE OF IDAHO,)
: ss.
County of Ada, )
On this 3 ~y of J:j- ~_ ,2003, before me, the undersigned, a Notary Public in and
for said State, personally appeared Ranlon YOfglson, kn0W11 to me to be the President of CAPITAL
DEVELOPMENT, INC., and who executed tIle within instrument on be]lalf of said Corporation,
and acknowledgro to me tl1at said Corporation executed the same.
IN WITNESS WHEREOF, I have herwnto set my l1and and afflXed my offlCial seal the day
and year fIrst above written.
,,1
DeVONA D. LUKE
EALNOTARY PUBLI.C
STATE OF IDAHO
dvu~ &,~
NOTARYPUBUCFORIDAHO
RESIDINGAT LJAJ-':"ft~~ ~
MY COMMISSION EXPIRES 0 8 ~ a / -o~-
WATER LINE LATE COMERS AGREEMENT
Page- 6 of 6
JAN 29 '03 10:22 FR PUBLIC WORKS
2088871297 TO 3753271
P.02/02
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EXHIBIT "A"
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N. Under Rd Water Une Extension
8 aldvAn Park SubdiVision
** TOTAL PAGE.02 **
"EXHmIT B"
CAPITAL DEVELOPMENT
BALDWIN PARK WATERLINE LATE COMERS' AGREEMENT
ERU CALCULATIONS
Total Area:
Developer's Area:1
Middle School Area:
Watersong Estates:
Remaining Area:
Projected ERU Density:
Projected Res. Latecomer ERU!s:
Middle School ERU's:
Watersong Estates ERUts;
Total Latecomer ERU's:
179.75Ac
17.97 Ac
40 Ac
40 Ac
81.78 Ac
3 ERU!s/Ac.
245.34 ERU's
20 Actual Assessment
125 Preliminary Plat
390.34
"EXHIBIT e"
CAPITAL DEVELOPMENT
BALDWIN PARK WATER LINE LATE COMERS' AGREEMENT
FEE COl\lPUT A TIONS
AREA DETERIvIINATION:
Total Service Area =
179.75 Gross Acres
Latecomers Area = Total Service Area - Developer's Area
TOTAL SERVICE AREA PROJECTED ERU's: I
449
%OF
TOTAL
100.0
DEVELOPER'S AREA PROJECTED ERU's: I
59
%OF
TOTAL
13.1
LATE COMER'S PROJECTED ERU's: I
390
%OF
TOTAL
86~9
FEE COMPUTATION:
DEVELOPER'S CONTRIBUTION:
$
109,790.00 Verified from Billings
PORTION ATTRIBUTABLE TO DEVELOPER'S SUBDIVISION:
13.1% x $109,790.00 $14,415.83
PORTION OF DEVELOPER'S CONTRIBUTION ELIGIBLE FOR REIMBURSEMENT.~
Total Service Area (100%) - Developees Percentage = Percentage Eligible = 86.9%
86.9% x $ 109,790.00
=
$95,374.17
LA-TE COMER FORMULA..
(Eligible Reimbursement/Late Comer's Service AreaERUs = Late Corner Fee per ERU)
$ 95,374.17 = $244.34
390.34
REIMBURSEMENT BASIS:
Assume payback period of ten years and an overall growth rate of 80%
within the Late Comer area over that ten years~ The Adjusted Late Comer
fee per ERU =
$ 244.34
80%
=
$305~42
ADMINISTRATIVE FEE:
An administrative fee will be added to the latecomer fee to cover costs to the 5%
Latecomer Fee wi City Administration Cost:
$305.42 x 5% = $320~69
REIMBURSEivIENT SCHEDULE:
The Developer paid the costs of installing the water line. The Late
Comer fee paid by each parcel, or portion thereot: who connects to the
subject water 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 60/0
The latecomer fees shall be:
Effective Date Latecomer Fee per ERU
October 1, 2002 $320.69
October 1, 2003 $339.93
October 1, 2004 $360.33
October 1, 2005 $381.95
October 1, 2006 $404.87
October 1, 2007 $429.16
October 1, 2008 $454.91
October 1,2009 $482~20
October 1, 2010 $511.13
October 1, 2011 $541~80
Table I