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HomeMy WebLinkAboutLatecomers Agreement Western States Equipment;~, AGREEMENT AMBROSE, FIT2GERALD 8 CROOKSTON Attorneys and Couneelora P.O. Box 127 Meridian, Idaho 83842 Telephone 888.4181 This Agreement made and entered into this`~~ day of ~----- ~l~, , 1987, by and between the CITY OF MERIDIAN, a municipal corporation of the State of Idaho, hereafter referred to as CITY, and WESTERN STATES EQUIPMENT COMPANY, hereafter referred to as COMPANY. W I T N E S S E T H: WHEREAS, the City limits extend south of Interstate 84 and prior to this Agreement such area was not provided sewer and water service by the City; and WHEREAS, the Company owns land south of Interstate 84 and is developing its prq~aerty for its own use ,~,nd 7ao~: for resale and desires to have sewer and water service; and WHEREAS, the Company and City have previously mutually agreed to share the cost of extending sewer and water from the north side of Interstate 84 to the south side of Interstate 84; and WHEREAS, the sewer and water lines constructed by City and Company will benefit land other than that owned by Company; and WHEREAS, the total cost of constructing the sewer and water lines was $293,741.22; and whereas the cost will be born 80$ by the City and 20$ by the Company; and WHEREAS, Sections 7-527B of the Sewer Ordinance and 5-124B of the Water Ordinance provide that the City may enter in to AMSROSE, FITZGERALD &CROOKSTON Attorneys end Counaelora P.O. Box 427 Merldlen, Idaho (13842 Telephone 8884481 co-operative sewer and water line extension and re-imbursement agreements and those sections further provide that sewer and water users who subsequently connect to the extended sewer and water lines shall be charged an eight (8) inch diameter sewer, line equivalency fee and an additional connection fee for water; 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 above two fees are hereafter referred to as "Late Comer Fees"; the above ordinance sections provide that the late comer fees may be used to reimburse the person or persons so extending the water and sewer lines; and WHEREAS, Sections 7-527B and 5-124B indicate that normally a user extending a sewer or water line will not be re-imbursed the total cost of extending the line due to the fact the line or lines will have some benefit to the land owned by the user but in this case Company will be connecting as a late comer and thus pay a late comers fee but it is a true contributor and eligible for re-imbursement. WHEREAS, the City does not own any land that will be benefited by the extended sewer and water lines but whereas may be a beneficiary of a re-imbursement agreement and whereas Company has requested that the City enter into a late comers agreement for its benefit and for the City's. NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS: r 4 AMBROSE, FITZGERALD & CROOKSTON Attorneys and Counselors P.O. Box 427 Merldlen, Idaho 83842 Telephone 8884481 1. That City has engineered, planned, and constructed the trunk sewer line and water line described in Exhibit A and Exhibit B, respectively; 2. That City has contributed $234,992.98 and Company will contribute $58,748.24 to the total construction costs which amounts to 80$ of the total by the City and 20$ by the Company; that, if it has not previously paid its share of the total construction costs to the City the Company will do so upon execution of this agreement. 3. That the City will charge all users subsequently connecting to the sewer and water lines referred to in Exhibits A and B, which such users shall hereafter be referred to as "LATE COMERS", the sewer and water construction equivalency fees authorized in 7-527B and 5-124B; which fees shall herein be referred to as "Late Comer Fees". 4. That from late comer fees assessed pursuant to Sections 7-5276 and 5-124B, for each equivalent single family residential connection to the sewer and water lines referreneed in Exhibits A & B, ONE HUNDRED EIGHTY AND NO/100 DOLLARS ($180.00) and ONE HUNDRED TWENTY AND NO/100 DOLLARS ($120.00), respectively, for each sewer and water connection, shall be set aside and deposited to a special account to be designated the "City of Meridian/Western States Equipment Company Re-imbursement Account", which shall hereinafter be referred to as the "Re-imbursement Account"; that from the funds accumulated in the re-imbursement account the City shall receive five percent of the total accummulated for administrative expenses of this Agreement; that the balance in the account shall be divided Eighty percent (80$) to the City and Twenty percent (20$) to the Company; that if there is an accummulation in the account the account shall be 3isbursed monthly. 5. That even though Company was an original contributor to the lines referred to in Exhibit A & B, the Company is requesting to be re-imbursed for the full 20~ it contributed to the sewer end water line extensions, and therefore Company will pay, upon execution of this Agreement, a fee of TWO. THOUSAND SIX HUNDRED BEN AND NO/100 DOLLARS ($2,610.00); that this is based upon an equivalency of six and one-half for sewer and twelve for water at ?180.00 per equivalent connection for sewer. and $120.00 per equivalent connection for water. That since the Company is a true original contributor to those lines it shall not be assessed the Eull fees authorized in 7-527A and 5-124A. 6. That the $180.00 and $120.00 portions of the late comer AMBROSE, FITZGERALD S CROOKSTON Attorneys and Counaelora P.O. Box 427 Merldlan, Idaho 83842 Telephone 888.4461 :ees and which go into the Re-imbursement Account shall be adjusted annually on October 1st, to reflect then current cost of :onstructing said lines and to reflect interest which the City end Company would have earned on the funds expended for the total :ost of construction; the interest rate shall be based upon the >rime rate of First Security Bank of Idaho, N. A., as of the -nnual date of adjustment. 7. That the late comer fees shall be collected by the City from all users subsequently connecting to the lines in Exhibit A and B. 8. 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. 9. That the total amount to be re-imbursed to the Company shall be the sum of $58,748.24 as annually adjusted for increases in then current costs of construction engineering and interest, less its proportion of the 5$ administrative fee. 10. It is agreed that the sewer and water lines referrenced in Exhibit A and B are 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 last until the Company has been re-imbursed the amount determined as set forth in paragraph 9 above but not longer than twenty-five years. 12. This Agreement shall be personal to the Company and may not be assigned by the Company without the written consent of the City, which the City covenants not to withhold unreasonably. 13. This Agreement shall be binding on the assigns and successors of the parties hereto. DATED this 17th day of June, 1987. AMBROSE, FITZGERALD &CROOKSTON Attorneys and Counselors P.O. Box 427 Merldlan, Idaho 83842 Telephone888-4481 ~~1 Y CITY OF MERIDIAN G NT P. KIN FO , MAYOR CITY CL ATES EQUIPMENT COMPANY n P ~p~V/cE SiD~N? ~ rIQE~¢Sv~¢62 AMBROSE, FITZGERALD BCROOKSTON Attorneys and Counseiore P.O. Box 427 Meridian, Idaho 83842 Telephone888d181 STATE OF IDAHO,) ss. County of Ada, ) On this ~/S~ day of , 1987, before me, the undersigned, a Notary Public in and for aid S ate, personally appeared, `Q~~~ and _ President and ,P r~i ~~,~~tates Equipment Company and who subscribed die r n mes a within instrument and acknowledged to me that they executed the same for said Company. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year first above written. SE~iL ~ Not ry Publi for Idaho Residing at , -STATE OF IDAHO,) . ss. County of Ada, ) On this ~ day of , 1987, before me, the undersigned, a Notary Publi for said State, personally appeared Grant P. Kingsford and Jack Niemann, known to me to be the Mayor ~- ''c 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 bove written. {I In l / l/,~~', `~~~ S SEAL ~ OAR ~ Notary Public for Idaho ~ y Residing at Meridian, Idaho ~: =* AV B I.~G ~rrtllllll{1{~ AMBROSE, FITZGERALD BCROOKSTON Attorneys and Counselors P.O. Box 427 Merldlan, Idaho 83842 Telephone 88&4181 ~ r. -~~ Lei ~. i ~ "~, + ~ a N 0 _ ~ •1 ~ tiT P ~ Q i~ r ~ ~~ r u1f , \ O C ' ~. _ <~ ~•• ~ ~ ~~ c __ r rlfj (~~ jail- 1 I I i-~SP C ~^ IL_ ~ ~ ~' '~ " ~ FRANKLIN ~ ROAD ~~ /: 1~ ~,,, - - - - - , ..., ..,., . _. ~...,. - _ egin Sonito~y Sewer _ -~ i . ~M-t~ - - S w M N/ofe~ ine Canst ~ ~~ 18~~Dia. : W ,: To.~n S ~ _1 - Dia. ~ - _ _ " _, \ ~~ ~ ~ N . - ~ - I ¢ ~ - V • ~ i~ O wa~7MAU ~N. ~ ..7 15~~Dia: NfN1 Y ~~ 30 55 , ~ 4 -_`---~ ~ ~--- - -- --- o~d N ; - ~ -- .` 12~~DIa. IQ~~D10. S W I - ~ ' } TI HY a SUB. _ 3 a L _ , © ,, ~; ~f ~ -- .~ ~ . 9 ~~ 69 ~ ~ ;" c - I~.'- RIDIAN ~ ~ G FENS EDMONDS es~LrN - o ~ • SUB. - ~ =;-. K HIS -- ESTATES ~9t ~ • SUB. EXHIBITS «A&B„ VICINITY MAP