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HomeMy WebLinkAbout1997-074 . . . RESOLUTION NO. 97-74 APPROVING COST SHARING AGREEMENT FOR STUDIES RELATED TO NEWLY ANNEXED AREAS BE IT RESOLVED by the City Council of Stillwater, Minnesota, that the Cost Sharing Agreement for studies related to newly annexed areas, hereto attached as Exhibit A, is hereby approved, and the appropriate city staff is authorized to sign said Agreement. Adopted by Council this 18th day of March, 1997. ATTEST: ~4 Jay i e or Mo~*n~~~ ;' . AGREEMENT THIS AGREEMENT made this day of , 1997, between the City of Stillwater, Washington ounty, Minnesota, a Home Rule City of the Third Class and Municipal Corporation organized under the laws of Minnesota (City), The Pemtom Land Company, a Minnesota corporation, Westwood Profes ional Building, 14180 Highway 5, Eden Prairie, Minnesota 55344 (Pemtom), Contractor Property Develope s Company, a Minnesota corporation, 9110 - 83rd Avenue North, Brooklyn Park, Minnesota 55445 (CPD ), James H. Bradshaw, 1310 Hillcrest Drive, Stillwater, Minnesota 55082 (Bradshaw), and Independent chao I District No. 834, 1875 South Greeley Street, Stillwater Minnesota 55082 (834), collectively, (the evelopers). RECITALS 1. On August 16, 996, the City entered into an Agreement (Orderly Annexation Agreement) . with the Town of Stillwater, Wa hington County, Minnesota for the Orderly Annexation of portions of the To\vn of Stillwater to the City. 2. Pursuant to the Orderly Annexation Agreement and on October 4, 1996, Phase I of the property described in the Orderl Annexation Area became part of the City. 3. The Developer have requested that the City conduct planning, engineering and environmental studies within the rderIy Annexation Area preparatory to and in anticipation of the extension of municipal utilities into the Or erly Annexation Area and to property owned by the Developers. 4. At the request 0 the Developers, the City has contracted with the State of Minnesota to. study the Long Lake Watershed ( ong Lake Study) and to pay one-half of the costs of the study, estimilted to be eighteen thousand and no 100 dollars ($ 18,000.00); the City has authorized Short, Elliott and Hendrickson, Inc., its' consulting ng,ineer, to conduct a feasibility study under Minnesota Statute 9429 to determine whether a project consis ing of the extension of municipal utilities into the Orderly Annexation . is feasible (Feasibility Study) and he estimated costs of this feasibility study is fifty thousand and nolI 00 " dollars (550,000.00); and the City entered a contract \vith Dahlgren, Shardlow and Uban, Inc., consulting . planners. landscape architects, 300 First A venue NOl1h, Suite 210, Minneapolis, Minnesota 55401, to provide an environmental study of the Orderly Annexation Area under the Alternative Urban Areav,:ide Review Process (AUAR) according to rules of the Minnesota Environmental Quality Board (EQB) and the cost of this study is estimated to be one hundred thirteen thousand eight hundred fifty and nol100 dollars ($ 113,850.00). NOW, THEREFORE, BASED UPON THE MUTUAL PROMISES OF THE PARTIES, THEY AGREE AS FOLLOWS: 1. The Developers will pay a portion of the costs incurred by themselves or by the City in connection with the Long Lake Study, the Feasibility Study and the AUAR including, but not limited to, any legaL planning, engineering or inspection expenses incurred by the City in connection with these studies (Study Costs), based upon the following formula: . BASIS FOR ALLOCATION STUDIES COSTS SI8,000.00 BENEFITTED AREA Long Lake Gross Developable acres - 288.03 acresl Feasibility S50,000.00 Gross Developable acres - 262.53 acres1 AUAR 5113,850.00 Gross Developable OA Area - 766.31 acres] IGross Developable acres for Long Lake Srudy includes CPDC (171.67), ISO 834 (16.11), Pemtom (74.75) and Bradshaw (25.5). lGross Developable acres for Feasibility Study includes CPDC (171. 67), ISO 834 (16.11), and Pemtom (74.75). 3Gross Developable OA Area for AUAR Study includes CPDC (171.67). ISO 834 (16.11). Pemtom (74.75), Bradshaw (25.5), and the following which is reserved for furure hook-up charge: Bergmann (101.40), Gadient (33.58), Trailhe3d (131.0), Rivard (24.0), Palmer (173.3) and Nev,:man . (15 .00 ) :2 ,- --.- ~. . . . .. ALLOCATION FORIVlULA STUDIES PER ACRE ALLOCATION $62.49 $ I 90.45 PER ACRE OA ALLOCATION Long Lake Feasibility AUAR $148.56 ALLOCATION DEVELOPER ACREAGE COST CPOC 171.67 $62.49 +$190.45 +$148.56 =$401.50 5401.50 x 171.67 = S68,925.50 ISO 834 16. 11 $62.49 +$190.45 +$148.56 =$401.50 5401.50 x 16.11 = S6,468.16 Pemtom/Statoch 74.75 $62.49 +$190.45 +$148.56 = $401.50 5401.50 x 74.75 = 530,012.12 Bradshaw 25.5 $62.49 + $148.56 = $211.05 $211.05 x 25.5 = $5,381.77 The following acreage is reserved for future hook-up charge: Bergmann 101.4 5148.56 x 101.4 =515,063.98 Gadient 33.58 5148.56 x 33.58 = 54,988.64 Trailhead 131.0 5148.56 x 131.0 = 519,461.36 Rivard 24.0 5148.56 x 24 = 53,565.44 Palmer 173.3 5148.56 x 173.3 = $25,745.45 Newman 15.0 S148.56 x 15.0 = $2,228.40 '/ For the payment of these costs, each Developer, upon execution of this Agreement, will provide the City with a cash deposit (Deposit) equal to their share (Initial Share). If study costs exceed the 3 deposit, additional amounts will be billed to each Developer immediately upon payment by the City of any costs in excess of the amounts on deposit. 3. The Developers will pay the Initial Share by March 28, 1997. If the Initial Share is not paid by that time, the City may halt all work on any of these studies until all Initial Shares are paid in full. 4. Ifit should be determined, based upon studies done by the City, and in the discretion of the City:, that the City actually collects by Agreement or through assessments for local improvements levied under Minnesota Statutes S429 or other means study costs from third parties, the City will, consider providing to the Developers credit against future assessments or hook-up charges to be paid by the Developers pro rata. All interest that accrues on any sums on deposit with the City pursuant to this Agreement will remain property of the City. The City, however, will be under no obligation to give a credit to a Developer because ofthe uncertainty of future projects and changes in land ownership that may present conflicting claims to any credit. 5. The Developers hereby hold the City and its officers and employees harmless from claims made by itself and third parties for damages sustained or costs incurred resulting from these studies. The Developers also agree to indemnify the City and its officers and employees for all costs, damages, or. expenses which the City may payor incur in consequence of any such claims including, reasonable attorney's fees. 6. Nothing in this Agreement or the payment of money to the City by the Developers pursuant to this Agreement will be deemed approval of any development request or approval that might otherwise be needed by the Developers as part of any City development review requirement. 7. The instrument may be executed in counterparts and will become final and binding as one instrument \vhen all of the parties have signed a copy. 4 .. '", . . . , . . . .. TERl\UNATION This Agreement will terminate once payment has been made for all of the studies and any amounts have been reimbursed to the Developers. IN WITNESS WHEREOF, the parties have set their hand this _ day of 1997. CITY OF STILL WATER Jay L. Kimble, Its Mayor A TrEST: Modi Weldon, Its Clerk THE PEMTOM LAND COMPANY By Its CONTRACTOR PROPERTY DEVELOPERS COMPANY By Its JAMES H. BRADSHA W James H. Bradshaw INDEPENDENT SCHOOL DISTRlCT NO. 834 By Its 5 Subscribed and sworn to before me this day of and Morli Weldon, the Mayor and Clerk of the City of Stillwater. Subscribed and sworn to before me this , the , 1997, by Jay L. Kimble Notary Public day of , 1997, by of The Pemtom Land Company. Notary Public Subscribed and sworn to before me this _ day of , the Company. Subscribed and sworn to before me this _ day of Bradshaw. Subscribed and sworn to before me this , the 834. This Document was Drafted By: David T. Magnuson (#66400) Magnuson Law Firm 333 North Main Street Suite 202 P.O. Box 438 Stillwater, rvfN 55082 612/439-9464 , 1997, by of Contractor Property Developers Notary Public , 1997, by James H. Notary Public day of , 1997, by ofIndependent School District No.. Notary Public 6 .. . " . . .