Loading...
HomeMy WebLinkAbout2004-167 Council Resolution• CITY OF LINO LAKES RESOLUTION NO. 04 -167 RESOLUTION APPROVING DEVELOPMENT CONTRACT FOR CRYSTAL COVE. WHEREAS, the Planning and Zoning Commission approved the final plat of Crystal Cove on August 11, 2004, and WHEREAS, the Developer is requesting approval to commence construction of single family dwellings; and, WHEREAS, the City's subdivision ordinance and conditions of approval require the execution of a development contract, between the Developer and the City of Lino Lakes, prior to commencement of site construction activities and final plat approval to insure satisfactory completion of improvements. NOW, THEREFORE, BE IT RESOLVED THAT the Lino Lakes City Council approves the Development Contract with the Developer for Crystal Cove and authorizes the Mayor and City Clerk to execute such agreement on behalf of the city. Adopted by the Lino Lakes City Council this 25th day of October, 2004. • Ann J. , City Clerk • Joh J. Ber on, I ayor AGENDA ITEM 6K STAFF ORIGINATOR: James E. Studenski, City Engineer COUNCIL MEETING DATE: October 25, 2004 TOPIC: Resolution No. 04 -167, Approving Development Contract, Crystal Cove Vote Required: Simple Majority BACKGROUND: The Planning and Zoning Commission approved the final plat of Crystal Cove on August 11, 2004. The Developer, North Suburban Development, Inc. is requesting approval to allow for developing Outlot B of Highland Meadows East, located on the south side of 79th Street, just west of Lake Drive. The 0.64 acre parcel will essentially be split into 3 single - family residential lots. In accordance with the preliminary plat approval and City policy staff has prepared a Development Contract. The contract provides for the following: 1. Submittal by the developer of a Letter of Credit in the amount of $27,600 representing 150 percent of the development improvement costs and a Letter of Credit in the amount of $4,800 representing 35 percent of the City improvement costs to insure completion of the project in accordance with the approved plans. 2. Deposit of a cash escrow in the amount of $12,700 to reimburse the City for costs incurred by the City related to the development and improvements of the site and developer improvements. North Suburban Development, Inc. has reviewed the contract and is aware of the conditions set forth. OPTIONS: 1. Return to staff for further review. 2. Adopt Resolution Number 04 -167, Approving Development Contract, Crystal Cove. 3. Not adopt Resolution Number 04 -167. RECOMMENDATION: Option No. 2 - Staff recommends that Resolution Number 04 -167 be adopted. • • • DEVELOPMENT CONTRACT Crystal Cove THIS AGREEMENT made this 25th day of October, 2004, is by and between the City of Lino Lakes, whose address is 600 Town Center Parkway, Lino Lakes, Minnesota, 55014, a municipal corporation organized under the laws of the State of Minnesota, hereinafter referred to as the "City ", and North Suburban Development, Inc. whose address is 1333 Osborne Road, Spring Lake Park, Minnesota 55432 hereinafter referred to as the "Developer ". WHEREAS, the Developer has received preliminary plat approval from the City Council for a plat of land within the corporate limits of the City known as Crystal Cove, hereinafter called "Subdivision ", said land is legally described to -wit Outlot B, HIGHLAND MEADOWS EAST, Anoka County, Minnesota. WHEREAS, the Developer requested that the City construct and finance certain improvements to service the subdivision; and WHEREAS, the Developer is to be responsible for the installation and financing of certain private improvements within the subdivision; and WHEREAS, Minnesota Statute 429 provides a method for assessing the cost of City installed improvements to the benefited property. WHEREAS, the City Subdivision Ordinance and Minnesota Statute 462.358 authorize the City to enter into a performance contract secured by cash escrow or other security to guarantee completion and payment of such improvements following final approval and recording of final plat; and • Development Contract Crystal Cove NOW, THEREFORE, in consideration of the mutual promises of the parties made herein, IT IS AGREED BY AND BETWEEN THE PAR1JES HERETO: that the I. DESIGNATION OF IMPROVEMENTS A. Improvements to be installed at the Developer's expense by the Developer as hereinafter provided are hereinafter referred to as "Developer Improvements ". B. Improvements to be installed by the City and financed by the Developer are hereinafter referred to as "City Improvements ". II DEVELOPER IIVIPROVEMENTS A. The Developer's Engineer shall prepare, at the Developer's expense, a grading plan, street and utility plan, and a surface water management plan. The Developer shall secure a contractor to install these improvements; said contractor shall be approved by the City at its ABSOLUTE discretion. All Developer Improvements shall require City inspection and approval and, where appropriate, the approval of any other governmental agency having jurisdiction. The Developer will construct and install at Developer's expense the following improvements according to the following terms and conditions: 1. Grading Plan a) A final site grading plan, including certified wetland delineation, with maximum two -foot contours and cross sections as necessary shall be submitted and approved by the City prior to commencement of any site grading. 2. Erosion Control Plan a) The Developer shall submit an erosion control plan, detailing all erosion control measures to be implemented during construction. Said plan shall be approved by the City prior to the commencement of site grading or construction. b) The Developer shall submit a turf establishment plan which details topsoil placement, seeding, sodding, mulching, fertilizing and watering. Said plan shall be approved by the City prior to the commencement of site grading or construction. • Development Contract Crystal Cove 3. Grading and Erosion Control Construction & Maintenance a) Prior to the commencement of site grading and erosion control, the Developer shall complete items ILA.' and lI.A.2 as listed above. b) The Developer shall grade the site to within 0.2 foot of the grades shown on the approved grading plan. No deviations will be allowed unless a revised plan is submitted and approved by the City and all other regulatory agencies. c) All development shall conform to the natural limitations presented by the topography and soil of the subdivision in order to create the best potential for preventing soil erosion. d) Erosion and siltation control measures shall be coordinated with the different stages of development. Appropriate control measures as required by the City shall be installed prior to development when necessary to control erosion. e) Where the topsoil is removed, sufficient arable soil shall be set aside for respreading over the developed area. The topsoil shall be restored to a depth of at least four (4) inches and shall be of a quality at least equal to the soil quality prior to development. f) The Developer shall install four (4) inches of topsoil on all boulevards and seed or sod as approved by the City. The Developer shall make all necessary adjustments to the curb stops to bring them flush with the topsoil prior to occupancy. g) All disturbed areas shall be seeded. h) Protect streets from erosion deposits. This should include a combination of roadside silt fences, roadside sod strips, catch basin rock bale inlet protection, rock construction entrances, straw mulch, and/or street sweeping. 4. Final street grading, subbase, gravel base, bituminous binder course, and concrete curb and gutter. • 5. Sanitary sewer, laterals or extensions, including all necessary building services and other appurtenances. • • Development Contract Crystal Cove 6. Water, laterals or extensions, including all necessary building services, hydrants, valves and other appurtenances. 7. The Developer shall place iron monuments at all lot and block corners and at all other angle points on boundary lines. Iron monuments shall be placed after all street and lawn grading has been completed in order to preserve the lot markers for future property owners. Lot corner irons on the back property line shall be installed so that the top of the iron corresponds to the finished ground elevation in accordance with the approved grading plan - guard stakes shall be appropriately installed to mark these irons. 8. The Developer shall promptly clear dirt and debris, within public right -of- ways, and drainage and utility easements, resulting from construction by the Developer, its purchasers, builders and contractors within five (5) days after notification by the City. The Developer or its assigns shall be responsible for all necessary street and storm sewer maintenance including street sweeping, storm sewer cleaning, ditch cleaning and pond dredging, resulting from the accumulation of said dirt and debris, until all Certificates of Occupancy are issued. Warning signs shall be placed when hazards develop in streets to prevent the public from traveling on same and directing attention to detours. If and when the streets become impassable, such streets shall be barricaded and closed. The Developer shall maintain a smooth, hard driving surface and adequate drainage on all temporary streets. 9. The Developer shall dedicate to the City, prior to approval of the final plat, at no cost to the City, all permanent or temporary easements necessary for the construction and installation of the Developer Improvements. All such easements required by the City shall be in writing, in recordable form, containing such terms and conditions as the City shall determine. 10. The Developer shall be responsible for securing all site grading and development approvals and permits from all appropriate Federal, State, Regional and Local jurisdictions prior to the commencement of site grading or construction and prior to the City awarding construction contracts for public utilities. 11 The Developer shall make provision that all gas, telephone, cable TV and electric utility designs be submitted to the City for review and approval prior to construction of the streets. Following review and approval by the City, the Developer shall insure that all installations comply with applicable City, County and State design standards and show proof of security arrangements with said utility companies. • 12. Cost of Developer Improvements, description and completion dates are as shown on Attachment A. page 4 - 102 - • • • Development Contract Crystal Cove 13. Construction of Developer's Improvements: a) The construction, installation, materials and equipment shall be in accordance with the plans and specifications approved by the City. b) All of the work shall be under and subject to the inspection and approval of the City and, where appropriate, any other governmental agency having jurisdiction. c) Prior to the acceptance of Developer Improvements by the City, the Developer shall obtain final plat approval and record the fmal plat which will dedicate all permanent easements necessary for the construction and installation of the Developer and City Improvements as determined by the City. d) All construction debris and trash shall be properly disposed of at the Developer expense and in a timely manner as determined by the City. 14. Guarantee a) Faithful Performance of Construction Contracts and Letters of Credit (1) The Developer will fully and faithfully comply with all terms and conditions of any and all contracts entered into by the Developer for the installation and construction of all Developer Improvements and hereby guarantees the workmanship and materials for a period of one year following the City's final acceptance of the Developer's Improvements. Concurrently with the execution hereof by the Developer, the Developer will furnish to, and at all times thereafter maintain with the City, a cash deposit, certified check, or Irrevocable Letter of Credit, based on one hundred fifty (150 %) percent of the total estimated cost of Developer's Improvements. An Irrevocable Letter of Credit shall be for the exclusive use and benefit of the City of Lino Lakes and shall state thereon that the same is issued to guarantee and assure performance by the Developer of all the terms and conditions of this Development Contract and construction of all required improvements in accordance with the ordinances and specifications of the City. The City reserves the right to draw, in whole or in part, on any portion of the Irrevocable Letter of Credit for the purpose of guaranteeing the terms and conditions of this contract. The • • • Development Contract Crystal Cove Irrevocable Letter of Credit shall be automatically extended for additional periods of one year from present or future expiration dates unless thirty (30) days prior to such the City Clerk or Administrator is notified in writing by certified mail that the Letter of Credit will not be renewed. b) Reduction of Escrow Guarantee. (1) The Developer may request reduction of the Letter of Credit, or cash deposit based on prepayment or the value of the completed improvements at the time of the requested reduction. Prior to the final acceptance of the Developer Improvements the City shall require a Performance Bond or Cash Escrow to cover the one -year warranty provisions of the agreement. The amount shall be determined by the City Engineer. III. CITY IMPROVEMENTS A. Required Payment of Special Assessments by Developer. 1. Developer, its heirs, successors or assigns hereby agrees that within thirty (30) days after the issuance of a certificate of occupancy for a residence on a lot located within the Subdivision which is assessed for the cost of such City Improvements, the Developer, its heirs, successors or assigns, agrees, at its own cost and expense, to pay the entire unpaid Cost of City Improvements whether assessed or to be assessed under this agreement against such property. 2. If a certificate of occupancy is issued before the special assessments have been levied, the Developer, its heirs, successors or assigns shall pay the City the sum of cash equal to one hundred twenty percent (120 %) of the Engineer's estimate of the special assessments for such City Improvements that would be levied against the property. Upon such payment the City shall issue a certificate showing the assessments are paid in full. Notwithstanding the issuance of said certificate, the Developer shall be liable to the City for any deficiency and the City shall pay the Developer any surplus arising from the payment based upon such estimate. Developer will be paid interest on all assessments paid before the levy of such assessments by the City at the bond interest rates paid by the City. B. Acceleration Upon Default. 1. In the event the Developer violates any of the covenants, conditions or agreements herein contained to be performed by the Developer, violates any page 6 - 1 0 4 - • • • Development Contract Crystal Cove ordinance, rule or regulation of the City, County of Anoka, State of Minnesota or other governmental entity having jurisdiction over the Subdivision, or fails to pay any installment of any special assessment levied pursuant hereto, or any interest thereon, when the same is to be paid pursuant hereto, the City at its option, in addition to its rights and remedies hereunder, after ten (10) days', written notice to the Developer, may declare all of the unpaid special assessments which are then estimated or levied pursuant to this agreement due and payable in full, with interest. The City may seek recovery of such special assessments due and payable from the security provided herein. In the event that such security is insufficient to pay the outstanding amount of such special assessments plus accrued interest the City may certify such outstanding special assessments in full to the County Auditor pursuant to M.S. 429.061, Subd. 3 for collection the following year. The City, at its option, may commence legal action against the Developer to collect the entire unpaid balance of the special assessments then estimated or levied pursuant hereto, with interest, including reasonable attorney's fees, and Developer shall be liable for such special assessments and, if more than one, such liability shall be joint and several. Also, if Developer violates any term or condition of this agreement, or if any payment is not made by Developer pursuant to this agreement the City, at its option, may refuse to issue building permits for any parcel with the Subdivision for which the assessments have not been paid. IV. RECORDING AND RELEASE A. The Developer agrees that the terms of this Development Contract shall be a covenant on any and all property included in the Subdivision. The Developer agrees that the City shall have the right to record a copy of this Development Contract with the Anoka County Recorder to give notice to future purchasers and owners. This shall be recorded against the Subdivision described on Page 1 hereof. City shall provide to Developer upon payment of all the special assessments levied against a parcel, a release of such parcel from the terms and conditions of this Development Contract subject to provisions contained in this contract. V. REIMBURSEMENT OF COSTS A. The Developer agrees to establish a non - interest bearing escrow account with the City in an amount determined by the City Administrator or his designee for the payment of all costs incurred by the City related to the development of the Subdivision and the Developer Improvements including, but not limited to, the following (See Attachment B for breakdown of costs): 1. Plat Review Fee 2. Planner Review Fee page 7 -105- • • Development Contract Crystal Cove 3. Administration - 3% Construction Cost 4. Engineering a) Administration 5. Legal - Plat Review 6. Publications 7. Park Dedication Fee 8. Tree Preservation Policy 9. Boulevard Tree Planting 10. Street - Storm Sewer - Pond Maintenance Sealcoating Fund 12. Aerial Photo Recovery Cost B. If the above escrow amounts are insufficient, the Developer shall make such additional deposits as required by the City. The City shall have a right to reimburse itself from the Escrow upon notice to the Developer, with suitable documentation supporting charge. VI. BUILDING PERMITS A. The Developer agrees that building permits may be issued upon approval of the Final Plat by the City Council at which time all required Financial Security shall be in place with the City. B. The Developer further agrees that City Sewer, Water, Storm Sewer, and Bituminous Base Construction of the Streets, temporary street signs, gas, electric, and telephone will be completed prior to the issuance of building permits. C. The Developer further agrees that an as-built survey certifying that all the grading complies with the grading plan prior to issuance of building permits. D. Each lot must comply with erosion control measures to prevent any material from leaving the lot. The City of Lino Lakes will not perform any requested inspections on the lot until it complies to the erosion control requirements. E. Each lot must have a City approved Certificate of Grading showing the as -built survey prior to an issuance of a Certificate of Occupancy. It shall be the responsibility of the Developer, its purchasers, builders or contractors to ensure compliance with the grading plan. • Development Contract Crystal Cove VII. HOURS OF CONSTRUCTION ACTIVITY A. All construction activity shall be limited to the hours as follows: Monday through Friday 7:00 a.m. to 7:00 p.m. Saturday 9:00 a.m. to 5:00 p.m. Sunday and Holidays No working hours allowed VIII. OWNERSHIP OF IMPROVEMENTS A. Upon completion of the work and construction required by this contract and acceptance by the City, the improvements lying within the public easements shall become City property without further notice or action. IX. INSURANCE A. Developer or all its subcontractors shall take out and maintain until one (1) year after the City has accepted the Developer Improvements, public liability and property damage insurance covering personal injury, including death, and claims for property damage which may arise out of the Developer's work or the work of his subcontractors or by one directly or indirectly employed by any of them. Limits for bodily injury and death shall be not less than Five Hundred Thousand and no /100 ($500,000.00) Dollars for one person and One Million and no /100 ($1,000,000.00) Dollars for each occurrence; limits for property damage shall be not less then Two Hundred Thousand and no /100 ($200,000.00) Dollars for each occurrence; or a combination single limit policy of One Million and no /100 ($1,000,000.00) Dollars or more. The City, its employees, its agents and assigns shall be named as an additional insured on the policy, and the Developer or all its subcontractors shall file with the City a certificate evidencing coverage prior to the City signing the plat. The certificate shall provide that the City must be given ten (10) days advance written notice of the cancellation of the insurance. The certificate may not contain any disclaimer for failure to give the required notice. X. REIMBURSEMENT OF COSTS FOR DEFENSE A. The Developer agrees to reimburse the City for all costs incurred by the City in defense of enforcement of this contract, or any portion thereof, including court costs and reasonable engineering and attorneys' fees if the City prevails in such action. XI. VALIDITY A. If a portion, section, subsection, sentence, clause, paragraph or phrase in this contract is for any reason held to be invalid by a court of competent jurisdiction, such decision shall not affect or void any of the other provisions of the Development Contract. • Development Contract Crystal Cove XII. GENERAL A. Binding Effect 1. The terms and provisions hereof shall be binding upon and insure to the benefit of the heirs, representatives, successors and assigns of the parties hereto and shall be binding upon all future owners of all or any part of the Subdivision and shall be deemed covenants running with the land. B. Notices 1. Whenever in this agreement it shall be required or permitted that notice or demand be given or served by either party to this agreement to or on the other party, such notice or demand shall be delivered personally or mailed by United States mail to the addresses hereinbefore set forth on Page 1 by certified mail (return receipt requested). Such notice or demand shall be deemed timely given when delivered personally or when deposited in the mail in accordance with the above. The addresses of the parties hereto are as set forth on Page 1 until changed by notice given as above. C. Final Plat Approval 1. The City agrees to give final approval to the plat of the Subdivision in accordance with section VII upon execution and delivery of this agreement and all required petitions, bonds, security, and documents including the following: a) Review and approval of a Homeowner's Association agreement, which includes provisions for the operation and maintenance of all signage and buffer areas. b) Review and approval of informational brochure including Best Management Practices with regard to buffer and wetland area requirements. c) Receipt of warranty deeds or dedication of all outlots proposed to be conveyed to the City. d) A total of 0.64 acres of MUSA shall be allocated for the project. X01. VIOLATIONS/BUILDING PERMITS A. In the event that Developer violates any of the covenants and agreements contained in this Development Contract and to be performed by the Developer, the City, at its option, in addition to the rights . and remedies as set out hereunder may refuse to issue building permits and/or Certificate of Occupancies to any property within the • • • Development Contract Crystal Cove Subdivision until such time as such default has been corrected to the satisfaction of the City. XIV. PARK DEDICATION A. Park dedication in an amount of $4,995 shall be paid by the Developer to the City. XV. PROPERTY TAXES A. Should the recording of the Final Plat occur after July 1, any and all property taxes on any public property dedicated as a part of this plat shall be the responsibility of the Developer. Dollars shall be incorporated into the escrow agreement to cover the cost of said property taxes. page 11 -109- • Development Contract Crystal Cove DEVELOPER CITY OF LINO LAKES By Developer STATE OF MINNESOTA ) ) SS COUNTY OF ANOKA ) AI TEST: On this day of , 20_ before me, a Notary Public within and for said County, • personally appeared • (Mayor) and (Clerk), to me known to be respectively the Mayor and Clerk of the City of Lino Lakes, and who executed the foregoing instrument and acknowledge that they executed the same on behalf of said City. Notary public • Development Contract Crystal Cove STATE OF MINNESOTA ) SS COUNTY OF ANOKA ) On this day of , of 20_, before me, a Notary Public within and for said County, personally appeared (Developer), to me known to be the , of , a corporation under the laws of the State of Minnesota, and that they executed the foregoing instrument and acknowledged that they/he executed the same on behalf of said corporation. Notary Public ATTACHMENT A SUMMARY OF IMPROVEMENT COSTS • DEVELOPER INSTALLED IMPROVEMENTS PROJECT NAME: Crystal Cove APPLICANT: North Suburban Development, Inc. ITEM NECESSARY IMPROVEMENTS 1 SITE GRADING 2 EROSION CONTROL 3 SITE ENGINEERING & SURVEYING 4 LANDSCAPING 6 STREET CONST, 7 STORM SEWER CONST. A. Trunk Estimate B. Lateral Estimate C. Surface Water Mgmt. Charge (s.f.) $0.093 8 SANITARY SEWER CONST. A. Trunk Area Charge (ac.) $2,340 B. Trunk Credit •C. Trunk Unit Charge (REU) $1,015 D. Lateral Estimate 9 WATERMAIN CONST. A. Trunk Area Charge (ac.) $2,495 B. Trunk Credit C. Trunk Unit Charge (REU) $1,640 D. Lateral Estimate SUBTOTALS: BUDGET COST Estimate Estimate Estimate Estimate Estimate Trunk Credits TOTALS See Attachment B for security amounts to be posted NOTE: • a: Cost by City policy b: Estimated Cost or Budget by City c: Previously Assessed d: Cash Requirement per Agreement with Park Board e: Provided by Developer f: Estimate by Feasibility Study 10/20/04 NUMBER OF REU's: 3 ASSESSED AREA (ac.): 0.64 DEVELOPER CITY ESCROW NOTE IMP. (X) IMP. (Y) AMOUNT (Z) e $0 e $1,150 e $5,000 e $1,000 e $3,170 e e a a e a a e - 1 1 2 - $0 so $6,100 $580 $17,000 $2,593 $1,498 $3,045 $1,597 $4,920 $13,653 $0 $13,653 so attachments 10 -1 -04 ATTACHMENT B CITY FEES • DEVELOPER INSTALLED IMPROVEMENTS PROJECT NAME: Crystal Cove APPLICANT: North Suburban Development, Inc. ITEM NECESSARY IMPROVEMENTS 1 PLANNING /REVIEW A. Plat Review Fee B. Planner Review Fee 2 ENGINEERING A. Plan/Plat/Grading Review B. Preparation of Plans & Specs. C. Construction Services D. Construction Staking E. City Engineering 3 ADMINISTRATION A. Administration Fee - 3% of const. B. Legal C. Publications 4 DEVELOPMENT FEES •A. Park Dedication B. Sealcoating Fee C. Aerial Photo Fee 5 BOULEVARD TREE PLANTING 6 DEVELOPMENT SECURITIES A. Tree Preservation B. Street Lighting - installation C. Street Lighting - operation D. Traffic Signing E. Street, St. Swr., Pond Maint. F. Other - Property Tax, FEMA TOTALS: NUMBER OF REU's: ASSESSED AREA (ac.): BUDGET DEVELOPER CITY COST NOTE IMP. (X) IMP. (Y) $500 b $500 b $0 b $0 b $0 b $0 b $0 b 3% of const. a $1,000 b $1,000 b 1665 /each d a 90 /unit a b b b- b b b b 80 /unit $1,590 $225 $3,000 SECURITY AMOUNTS TO BE POSTED X = DEV. IMPROVEMENT COSTS X 1.5 (LETTER OF CREDIT) Y = CITY IMPROVEMENT COSTS X 0.35 (LETTER OF CREDIT) Z = CITY FEE COSTS X 1.0 (CASH ESCROW) NOTE a: Cost by City policy b: Estimated Cost or Budget by City c: Previously Assessed • d: Cash Requirement per Agreement with Park Board e: Provided by Developer f: Estimate by Feasibility Study - 1 1 3 - 10/20/04 $1,400 $1,400 $0 Att. A Att. B $25,500 $2,100 $4,800 $0 $0 $12,700 3 0.64 ESCROW AMOUNT (Z) $500 $500 $1,000 $0 $1,500 $0 $500 $300 $500 $500 $4,995 $1,565 $270 $0 $320 $0 $0 $0 $0 $250 $12,700 Total $27,600 $4,800 $12,700 attachments 10 -1 -04