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HomeMy WebLinkAboutWater Line Late Comers Agreement with Sundance Investment Limited Partnership for Five Mile RoadWATER LINE LATE COMERS AGREEMENT FIVE MILE ROAD WATER LINE EXTENSION SUNDANCE INVESTMENTS LIMITED PARTNERSHIP This Agreement made and entered into this 8th day of October 2002, by and between SUNDANCE INVESTMENTS LIMITED PARTNERSHIP, an Idaho Limited Partr~ership, hereafter referred to as "Developer", and the CITY OF MERIDIAN, hereafter referred to as "City" WITNESSETH: WHEREAS, the City limits extend east of Eagle Road, but prior to this Ageemerrt and the construction referred to herein, such area was not provided water service by the City; and WHEREAS, the Developer consinicted a water line from an existing waterline to an area east and 'vest of Eagle Road and south of Overland Road, as shown in "Exhibit A", which water line is able to provide service to land north and south of Overland 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 460.98 acres wrhich, if developed under the land use density projections shown on Exhibit "B", 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 could be 637 equivalent residential units (ERLl) in the 460.98 awes; that the Developers subdivisiou{s) consists of 98 ERt7; that on the land not included in the Developer's subdivision, the could be 539 ERU; and WATER LINE LATE COMERS AGREEMENT Page - I of 6 OCT 83 '82 16 12 FR PUBLIC WORKS 2088871297 TO 32273D7 P.03i10 WHEREAS, the water line constructed by the Developer will benefit land other than only the land developed by Developer; 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 637 ERU's; tha# the existing developed areas that eventually connect to the water line serviced by the City will be subject to the latecomer fees descn~ed herein; that 68% of the land not included in the Developer's subdivision would be developed in ten years, the term a Late corners Agrcernent is allowed to run, and WHEREAS, the total cost of constructing the said weer line borne by the Developer was $304,743.00; whereas the water line wall benefit the Developer's Subdivision{s) which could contain 98 ERU's, or 15.4% of the total area to be benefited by the construction of the water line; therefore the cost to Developer to construct the water line to his own subdivision(s) wound be $4b,8$3.54; that by subtracting this amount as the total Developer's cost share, the total cost to all late comers is $257,89.46; and then dividing by 68% of the remaining number ofERU's that could be served by the water line; and then adding a 5% administration fee to be included with each Late Comer payment (City Code Section 9-1-]3), there should be a Late comers fee of $733.90, plus interest, per ERU as shown in Exhibit "C"; and WHEREAS, Section 9-1-13 of the Water Ordinance provides that the City may entef izrto 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 waxer 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 comributed to the cost of the extended line; the above flee is hereafter referred to as "Late Corner Fee"; the above ordinance section provides that the late WATER LING LATE COMERS AGR;EiEMENT Page - 2 of 6 ~nlUals i ~i ,`~ ~~ OCT 83 '82 16 12 FR PUBLIC WORKS 2088871297 TO 3227307 P.84i10 comers fee may be used to reimbwse the person or persons so extending the water fines}- WHEREAS, pursuant to Section 9-1-12 of the Water Ordinance, the City is required to charge a Water Construction Equivalency Fee to arty 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 disp-ict or a private entity, or combination thereof, and who subsequently desires to connect to the City water systerr~ shall be required to pay art additional connection charge which shall be known and referred to as the "Water Construction Equivalency Fee". NOW, THEREFORE, TT IS HEREBY AGREED AS FOLLOWS: l . The above recitals are coribractual and are. incorporated herein as if set forth in full. 2- That the Developer has paid for engineering, pig and cortstrttction of the water line shown in Exhr`bit ^A", and which will benefit the land also shown in Exhibit "A". 3- The Developer has contributed $304,743.00 to total constnrction costs of the said water line, of which Developer is entitled to be reimbursed the sum of X257,859.46 plus interest, which represents land that could be served by the water line but is not included in Developer's subdivision. 4. That for all land in Exhibit "A" subsequently corsnec-ling to the water line referred to in Exlu~bit "A", except the land in Developer's Subdivision(s), the City will charge the sum of $733.90 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 ar.ithorized in 9-1-12 and established by this Agreement, which fee shall herein be refierred to as "LATE COMERS FEE"; the fee is in addition to suy other water charges for connection to the water system; the computation of the WATER LINE LATE COMERS AGREEMENT Page - 3 of b initials ~~, ~~ OCT 83 '82 16 12 FR PUBLIC LJORKS 2088871297 TO 32273D7 P.05i10 Late Comers Fee is shown on Exhibit "C" attached hereto and by this reference incotpot ated 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 "FIVE 1MILE ROAD WATER LINE EXTENSION (SYJNDANCE) PROJECT REIMBURSEMENT ACCOUNT" and shall reflect interest at a rate of 6% to be a~ccnaed 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 dism'buted quarterly to the Developer. 6. 'What the late comer fees assessed, which will go into the FIVE MILE ROAD WATER LIl1TE EX'Y'EN,y-ION PROJECT (SUNDANCE) I~EIlI,IBURSEME~. ACCOUN'T', shall increase at a rate of 6% per annum as shown in Table I of Exhibit "C". 7- That the late comer fees shall be collected by the City from all users subsequently connecting to the water line shown in Exhibit "A" for the Land also shown in Exhibit "A", except the land in Developer's Subdivision- 8. That the City shall charge the FNE N1(ITaE ROAD WATER LIlVE EXTENSION (SITNDANCE) PROJECT REIIU~URSEIIIENT ACCOUNT the 5% fee authorized by 9-1-13. 9. That the City shall have prepared on an annual basis an audit of all fiends 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. i 0. It is agreed that the water line(s) refer-enced in ,~-brt "A" is the property of the City and sltalI hencefoit}t be maintained by the City at its sole cast and expense. 11 The term ofthis Agreement shall be until Developer has been reimbursed the principal sum of $232,328.82., plus Interest, as determined in Paragraph 6, less the 5% administrative fee or, if ~niti s ~~ j WATERLINE LATE COMERS A ~~~. ~,~- > . Page - 4 of 6 OCT 83 '82 16 12 FR PUBLIC WORKS 2088871297 TO 3227307 P.06i10 this is not achieved, for a period often (10) years or, until such time the wafer line described herein is abandoned. If the Developer has not begirt reimbursed the principal sum plus interest less administrative fees after ten (10) years from the date of this Agreemer~ the Agreement may be renewed by mutant Agreement of the City and the Developer, at such time as the City ordinance allows for extension of a ten year time frame, If the City does not amend this ordinance, then this ~reement sha11 have a ten year life span. 12. This Agreement shat] be binding on the assigns and successors oftee parties hereto. DATED this ~ day of 0 c} gib ~~ , 2002. BY' C OF MEI2IDIAlY \,`t~~~i~ttiniuri~, `\\\~.~y pF MkRjp~ %,,~~~ OBERT D. CORRIE, MAYOR G~ \'~GOFtPORgT~ ~~L '~ ATTEST: SL~~L = .c=~G-- -~~ oM WII,LIAM G. BERG, JR., CLERK =,. " °-~ " ,,city council: l d -l5 -0~ ,; SUNDANCE rNVES111~iENTS LIl1'IITED pARTNERSH]P (corporate seal) By -- R Andersen, Vice president of e Sundance Cem}~arry, an authorized agent of Sundance Investments Limited partnership WATER I-INE Z-ATE COMERS AGREEMENT Page - 5 of 6 initials l~`~. i i ~. -._ ti '82 16 12 FR PUBLIC WORKS STATE OF IDAHO,) County of Ada, ) ~. 2088871297 TO 322730'7 P.07i10 w On this ~kday of ~~ 4~~ , 2002, before me, the undeasi and for said State, personally appeared ROBERT D. CORRIE and WII.LIAM BERG,, JR.~Imown to me to be the Mayor and City Clerk of the CITY OF MERIDIAN, Idaho, and who ~~~ the within insirv~nent, and ackrnowledged to me that the CITY 4F MERIDIAN executed the same. IN WITNESS WHRRRpF~ ~ have hereunto set my hand and affaced my official seal the day and Y~ first above written. SEAL s ~ ~ ~ . . • ~ / . i ~`. / ~ ;s1,.~Igi,1G~0: ~•: ~.' o~F1S~ .•' •...... STATE OF IDAHO,) County of Ada, ) ss. ~.~1 ~~~, N~pTARY PEJBLIC FQR IA O RESIDING AT ~}- ~,L ~,~ MY co~vusszoN E~~s - -~ - On this ~ day of ~~~ ,~, 2002, before mes the undersigiLed, a Notary Public in and for said Ststea personally apP~ Ryan Anderson, known to me to be the President of THE SUNDANCE IlYVESTMENTS LINITI'ED PARTN~RSHlp, and who executed the within ~s'trument on behalf of said Limited Partnership, and acknowledged to me that said Limited Partnership executed the same. IA1 ~TNESS VVIiEREOF, i have hereunto set my hand and affixed my official seal the day and year lx~ above written. ~OTARp~, . ~ *. * . ~.. G '. PUgLt or • NOTARY PUBLIC FOR IDAHO RESIDING AT ~ ~ ~~~ 1 ~-~i MY CONIhIISSION FJ~P]7tES 1 Z - ~ 1~--~~~~ r` Page ~ 6 of 6 ~~ WATER LINE LATE COMERS AGREEMENT lplti )s ,/'~ - , OCT 83 '82 16 12 FR PUBLIC WORKS 2088871297 TO 3227307 Sundance Investments Limited Partnership Latecomer`s Agreement Exhibit "A" Latecomer's Area 0 1000 2000 3000 4000 Feet i-84 ~nl~a/s ~ ~F P.08i10 N W E S "EXHIBIT C" SUNDANCE INVESTMENTS L.P. SILVERSTONE WATER LINE LATE COMERS' AGREEMENT FEE COMPUTATIONS AREA DETERMINATION• Total Service Area = 460.98 Gross Acres Latecomers Area =Total Service Area -Developer's Area OF TOTAL TOTAL SERVICE AREA PROJECTED ER U's: 63 7 100.0 OF TOTAL DEVELOPER'S AREA PROJECTED ERU's: 98 15.4 OF TOTAL LATE COMER'S PROJECTED ERU's: 539 84.6 FEE COMPUTATION• DEVELOPER'S CONTRIBUTION.• $ 304,743.00 Verified from Billings PORTIONATTRIBUTABLE TO DEVELOPER'S SUBDIVISION.• 15.4% x $304,743.00 = $46,883.54 PORTION OF DEVELOPER'S CONTRIB UTION ELIGIBLE FOR REIMB URSEMENT.• Total Service Area (100%) -Developer's Percentage =Percentage Eligible = 84.6% 84.6% x $ 304,743.00 = LATE COMER FORMULA: (Eligible Reimbursement/Late Comer's Service AreaERU's =Late Comer Fee per ERLn $ 257,859.46 = $478.40 539.00 $257,859.46 ~nitia(o ,1~~ Meridian City Council Meeting October 15 2002 The Regular Meeting of the Meridian City Council was called to order at 7:00 P.M. on Tuesday, October 15, 2002, by Mayor Robert D. Corrie. Members Present: Mayor Robert Corrie, Tammy de Weerd, Keith Bird, Cherie McCandless, and William Nary. Others Present: Bill Nichols, Brad Hawkins-Clark, Gary Smith, Brad Watson, Ken Bowers, Dean Willis, and Will Berg. Item 1. Roll-call Attendance: X Tammy de Weerd X Bill Nary X Cherie McCandless X Keith Bird X Mayor Robert Corrie Corrie: All right. I'm going to open the Meridian City Council Regular Meeting on Tuesday, October 15, 2002, at 7:00 P.M. Would you, please, have roll call attendance, please, Mr. Clerk? Item 2: Adoption of the Agenda: Corrie: Okay. Item Number 2 is the Adoption of the Agenda. Council, any additions, or corrections to the agenda? Bird: I have none. Corrie: Okay. Hearing none, I'll entertain a motion to adopt the agenda as written. Bird: Mr. Mayor? Corrie: Mr. Bird. Bird: I would move that we adopt the agenda as published. McCandless: Second. Corrie: Okay. Motion has been made and seconded to adopt the agenda as published. Any further discussion? Hearing none, all those in favor of the motion say aye. All ayes. Motion carried. MOTION CARRIED: ALL AYES Item 3. Consent Agenda: A. Approve minutes of October 1, 2002 City Council Regular Meeting: