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Home My WebLink AboutLatecomers Agreement for Nelson/McAlvain Construction98805227 ~c~s~ ~c < < '98 JAN 22 P(~ ~ 3G RE~:~~~.. __ .., ,-., _ ~«QUES1 LATE COMERS AGREEMENT ~- c4~$ This Agreement made and entered into this b,-fti day of ~~-~~ ~T, by and between NELSON/McALVAIN CONSTRUCTION JOINT VENTURE, an Idaho Partnership, hereafter referred to as "DEVELOPER", and the CITY OF MERIDIAN, hereafter referred to as "CITY" WITNESSETH: WHEREAS, the City limits extend north and south of Commercial Court, and east and west of Eagle Road, but prior to this Agreement and construction referred to herein, a portion of such area was not provided water service by the City; and WHEREAS, the Developer extended a water main south in Eagle Road, from an existing water main near the intersection of Eagle Road and Florence Street, to the intersection of Eagle Road and Commercial Court, then east to the end of Commercial Court, which water main extension will be able to provide service east and west of Eagle Road and north and south of Commercial Court 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 95.35 acres, of which the Developer Area is approximately 5.16 acres or 5.41 % of the Total Service Area as shown in Exhibit "C" which is attached hereto and by this reference incorporated as if set forth in full. WHEREAS, the water main constructed by the Developer will benefit other land than just the land being developed by Developer; and WHEREAS, the total cost of constructing the water main was born by Developer; that 1 rrELVnna.H2anG~rrr.do~ portion of the cost which will-benefit land other than Developer's is $15I,246.43; whereas with a Late Comer's Area of90.19 acres and with an unpaid balance of $151,246.43 there could be a Late Comers Fee of $1,680.61- plus interest, per acre, and/or portion thereof; that the water main will benefit land owned by the Developer and the benefit to the Developer's land Has been reflected in this Agreement; and WHEREAS, Section 5-124B of the Water Ordinance provides that the City may enter into water main extension and- reimbursement agreements and that section further provides that water users who subsequently connect to the extended water mains shall be charged a ten (10) inch diameter water main 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 main; the above 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 mains. WHEREAS, pursuant to 5-124A, 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 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 the Developer has engineered, planned, and constructed the water main described in Exhibit "B, and which will benefit the land shown in Exhibit "A". 2 NELVAIN.H20.AGREIIv1ENT.doc 3. The Developer has contributed $151,574.47 in construction costs for that portion and size of the above main, which represents land that could be served that is not included in Developers land 4. That for all development of the land described in Extubit "A", except the land owned by the Developer, the City will charge the sum of $1,680.61 plus interest, per acre, and/or portion thereof as shown on Table III of Exhibit "C"; such users shall hereafter be referred to as "LATE COMERS"; that the charge is the water construction equivalency fee authorized in 5-124B 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 "NELSON/McALVAIN CONSTRUCTION JOINT VENTURE WATER PROJECT REIMBURSEMENT ACCOUNT" and shall be distributed monthly to the Developer. 6. That the late comer fees which go into the "NELSON/McALVAIN CONSTRUCTION JOI1V'I' VENTURE WATER PROJECT REIlVIBURSEMENT ACCOUNT" shall reflect interest which the Developer would have earned on the funds expended for the total cost of construction had they been invested in U.S. Government Securities with a ten year Constant Maturity Rate of 5.87% as published by the Federal Reserve for the week ending December 12, 1997; the late comer fees for years 1 through 10 are shown in Table III of Exhibit "C"; 7. That the late comer fees shall be collected by the City from all users subsequently connecting to the main in Exhibit "B" for parcels of land described in Exhibit "A", except the land 3 r~LVa,aa.ruan~x~rrr.~ owned by the Developer. 8. That the City shall charge the "NELSON/1VIcALVAIN CONSTRUCTION JOINT VENTURE WATER PROJECT REIMBURSEMENT ACCOUNT" the 10% administrative chazge as authorized under 5-124B. 9. That the City shall have prepazed 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. It is agreed that the water main referenced in Exhibit "B" 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 Developer has been reimbursed the sum of $151,574.47 plus interest, as determined in Pazagraph 6, less the 10% administrative fee, or, if this is not achieved, for a period often (10) yeazs. If the Developer has not been reimbursed the principal sum plus interest less administrative fees after ten (10) yeazs from the date of this Agreement, the Agreement may be extended by mutual Agreement of the City and the Developer, at such time as the City ordinance allows for extension of a ten yeaz time frame. If the City does not amend this ordinance, then this agreement shall have a ten yeaz life span. 12. This Agreement shall be binding on the assigns and successors of the parties hereto. ~ rR98 DATED this ~? day of fah ~a ~`~ , }~'7' 4 rr~.vnirr.Fnaa,GRS~rn'.aa CITY OF MERIDIAN ~~~ 3 SQL ,,~ .,~~~~~ T t~ , ~,tQ ~~~~Hr~to ~~ ~tq~~4~~~~~. T D. CORRIE, MAYOR ILLIAM G. BERG, JR., ~T~ CLERK pproved By City Council on 7/6/98 NELSON/McALVAIN CONSTRUCTION JOINT VENTURE By; President By, ~• Secretary 5 NELVAIN.H2QAGREEMENT.doc STATE OF IDAHO,) County of Ada, ss. On this ~° day of ~.J0.ww.d/~, 1994, before me, the undersigned, a Notary Public in and for said State, personally appeared ROBERT D. CORRIE 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. ~~~~~nrnr.... ~•~~G E L . ~'•., .~ q• 7~ e®i ~ ~~ SEAL a -~ ~g1.~ ~ J• ~ , ,,,,~~~~II' ®~j1,`~,,~, STATE OF IDAHO,) County of Ada, ss. DING AT t' ~ ~- COMMISSION EXPIRES D~ D~ On this ~~ day of ~~~ 6~ ti , 1997, before me, the undersigned, a Notary Public in and for said State, personally appeared ~~ ~ ~.....~ J . ~ G ~.s.~ ~ ,and ~M• pa.1r."a. ~`~~~A~ti ,known to me to be the President and the Secretary of NELSON`McALVAIN CONSTRUCTION, J.V., and who executed the within instrument on behalf of said partnership, and acknowledged to me that said partnership executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year first above written. ~,`~,p,! 911rr1~~1 fnn/~lS•O - ~`~ ~r ~caae-w-q, ~~ ~/ ~ ~:~` --~- '"- ~ t ~ a~ Et, ~r~5~~~~. -; ~~- OT Y PUBLIC FOR IDAHO o - ~~ MY COMMISSION EXPIRES 3 ~f ~/ vas r.- ~'U13LZ - ~~~-I11 M p 117 M-,1`D 6 NELVAIN.H20.AGREEMENI.doc "EXHIBIT A" NELSON/McALVAIN CONSTRUCTION J.V. -COMMERCIAL CT. WATER MAIN EXTENSION LATE COMER'S AGREEMENT "EXHIBIT B" NELSON/McALVAIN CONSTRUCTION J.V. -COMMERCIAL CT. WATER MAIN EXTENSION LATE COMER'S AGREEMENT "EXHIBIT C" NELSON/McALVAIN CONSTRUCTION J.V. -COMMERCIAL CT. WATER MAIN EXTENSION LATE COMER'S AGREEMENT FEE COMMUTATIONS AREA DETERMINATION: PARC'.F.T, NTTMRF.R DEVELOPER ~ AREA ZONE ACREAGE % OF TOTAL 81527260182 (Reference # 10) I-L 2.65 2.78 81527260202 (Reference # 11) M-1 2.51 2.63 TOTALS 5.16 5.41 Table I PARC:F.T. NTIMRF,R LATE COMER 5 AREA ZONE ACREAGE % OF TOTAL S 1109212467 "Portion" (Reference # 1) I-L 11.15 11.69 83073770010 "Portion" (Reference # 2) I-L 18.13 19.01 S 1109233945 (Reference # 3) I-L 13.76 14.43 S 1108417232 "Portion" (Reference # 4) I-L .12.42. 1-3.03 81527260110 (Reference # 5) RT 4.01 4.21 81527260122 (Reference # 6) I-L 1.34 1.41 81527260145 (Reference # 7) I-L 0.85 0.89 81527260157 (Reference # 8) M-1 2.00 2.10 81527260160 (Reference # 9) I-L 2.82 2.96 81527260025 (Reference # 12) RT 4.24 4.45 81527260042 (Reference # 13) I-L 2.53 2.65 81527260041 (Reference # 14) I-L 2.53 2.65 81527260060 (Reference # 15) I-L 4.03 4.23 81527260080 (Reference # 16) M-1 4.00 4.20 51109325465 "Portion" (Reference # 17) I-L 6.38 6.69 TOTALS 90.19 94.59 Table II (Developer's Area Total + Late Comer's Area Total =Total Service Area) 5.16 Acres + 90.19 Acres = 95.35 Acres Page 1 of 2 .~ w DEVELOPER'S CONTRIBUTION: $160,246.43 Verified from Billings PORTION OF DEVELOPER'S CONTRIBUTION ELIGIBLE FOR REIMBURSEMENT (Developer's Contribution -Developer's Percentage of Total Area =Eligible Reimbursement) $160,246.43 - 5.41 % ($ 8,671.96) _ $ 151,574.47 LATE COMER FORMCTLA: (Eligible Reimbursement /Late Comer's Service Area =Late Comer Fee) $ 151,574.47 / 90.19 Acres = $ 1,680.61 per Acre REIMBURSEMENT SCHEDULE: The Developer paid the costs of installing the water line. The Latecomer Fee paid by each parcel, or portion therof, who connects to the subject water line will be paid to Nelson/McAlvain Construction Joint Venture per the above agreement. The fees assessed to each latecomer shall be adjusted annually on October 1st. At an annual percentage rate of 5.87%. The latecomer fees shall be as follows: Effective Date Latecomer Fee per acre October 1, 1997 $1,680.61 October 1, 1998 $1,779.26 October 1, 1999 $1,883.70 October 1,.2000 $1,994.27 October 1, 2001 $2,111.33 October 1, 2002 $2,235.27 October 1, 2003 $2,366.48 October 1, 2004 $2,505.39 October 1, 2005 $2,652.46 October 1, 2006 $2,808.16 Table iii Page 2 of 2 .~' crrY of ~'!I_ ~ i ~ ~`~, C~~~Yl~lcn ~, ~ IDAHO j tiF ~F ~~ ~ER ~~` TREASURE VN'~~Y SINCE 1903 MAYOR Tammy de Weerd CITY COUNCIL MEMBERS Keith Bird Joseph W. Borton Charles 1VI. Rountree Shaun Wardle CITY DEPARTMENTS City Attorney/HR 703 Main Street 898-5506 (City Attorney) 898-5503 (HR) Fax 884-8723 Fire 540 E. Franklin Road M8-1234 /fax 895-0390 Parks & Recreation 11 W. Bower Street 888-3579/fax 898-5501 Planning 660 E. Watertower Lane Suite 202 884-5533 /fax 888-6844 I'ol i ce 1401 E. Watertower Lane M8-6678 /fax 846-7366 Public Works 660 E. Watertower Lane Suite 200 898-5500/fax 895-9551 ADA COUNTY RECORDER J. DAVID NAVARRO AMOUNT .00 ' BOISE IDAHO 03!09106 02:08 PM DEPUTY Neava Haney II I I I II II I II I II I II I II I II I I I'II' I II III RECORDED-REQUEST OF 10693~6~7 Meridian Cily RELEASE OF AGREEMENT For: LATECOMERS AGREEMENT Agreement between CITY OF MERIDIAN NELSON/McALVAIN CONSTRUCTION JOINT ~'I"sNTURE. The agreement entered into January 6, 1998 by and between the CITY of MERIDIAN, a municipal corporation of the State of Idaho, and Nelson/McAlvain Construction Joint Venture has been satisfied by the City of Meridian e ' , request you release the agreement recorded 1/22/1998 under youf~il~ent-. number #98005227. ~/ _ ~ 6~ ,~~° ~ ' E' i ~:'. STATE OF IDAHO ) County of Ada 3S William G. Berg, Jr. - Ci y ls1-k F¢ d..t ~' A { 1 ,, /mar .~9 '°° .,, .r„ ~ ~... ~y r '~ 1, ~ ,~°•° '~rrPftlyt4F6Y3k't' On this~_ day of ~ rC~'1 , 2006, before me, a Notary Public, personally appeared William G. Berg, Jr., know or identified to me to be the City Clerk, respectively, of the City of Meridian, who executed the instrument or the person that executed the instrument of behalf of said City, and acknowledged to me that such City executed the same. - Building 660 E. Watertower Lane Suite 1.50 887-221.1 /fax 887-1297 - Wastewater 3401 N. Ten Mile Road 888-2].91 /fax 884-0744 - Water 2235 N.W. 8th Street 888-5242/fax 884-1159 (SEAL, ~ ldi : G~,•. • :~~;-~ oTA~~;~'~': : ! ~ ~` i • , , • ^ ~ E • • `~ : • • ~ • . ,, ~ ,~a. ~~ ~~•. '~CTBLZ ~~ ___' • •~~ OF~~• ary PUbIiC,€or I ah0 Residing at: ("~ ~ (~. Commission expires: ~ -~ ~ - ~ ~ CITY HALL 33 EAST IDAHO AVENUE MERIDIAN, IDAHO 83642 -(208) 888-4433 CITY CLERK -FAX 888-4218 FINANCE & UTILITY BILLING -FAX 887-4813 MAYOR'S OFFICE -FAX 884-8119 Printed on recycled paper