SIASUBDIVISION IMPROVEMENT AGREEMENT
THIS AGREEMENT, made and entered into this 444h day of Xou 2003, by and between
the CITY COUNCIL, City of Kalispell, Party of the First Part and hereinafter referred to as the CITY,
and
RIO Arizona Holdings, LLC a Corporation, located at 7590 East Gray Road, Suite 105, Scottsdale,
Arizona 85260, Party of the Second Part and hereinafter referred to as DEVELOPER.
WITNESSETH:
THAT WHEREAS, the Developer is the owner and developer of a new subdivision known as
Glacier Commons, located at SW'/4, NW1/4, Section 31, T 29N, R 21W, Flathead County, Montana
and,
WHEREAS, the City has conditioned its approval of the final plat of Glacier Commons
upon the conditions as set forth in the Preliminary Plat of the Subdivision being completed and all
improvements as cited in "Exhibit A" have not been completed at this time, and the Developer wishes to
bond for the completion of those improvements set forth in "Exhibit A"; and
WHEREAS, the City's Subdivision Regulations require that a subdivider shall provide a
financial security of 125% of the estimated total cost of construction of said improvements as evidenced
by an estimate prepared by a licensed public engineer included herewith as "Exhibit B"; and
WHEREAS, the estimated total cost of construction of said improvements is the sum of
$123,324.00.
NOW, THEREFORE, in consideration of the approval of the final plat of said Subdivision by
the City, the Developer hereby agrees as follows:
1. The Developer shall deposit as collateral with the City a Certificate of Deposit, in the amount
of $154,155.00. Said Certificate of Deposit has an expiration date of at least sixty (60) days following
the date set for completion of the improvements, certifying the following:
Flathead County Subdivision Regulations Page 1 of 5
a. That the creditor guarantees funds in the sum of $154,155.00, 125% of the estimated cost
of completing the required improvements in Glacier Commons.
b. That if the Developer fails to complete the specified improvements within the required
period, the creditor will pay to the City immediately, and without further action, such funds as
are necessary to finance the completion of those improvements up to the limit of credit stated in
the letter.
2. That said required improvements shall be fully completed by August 30, 2004.
3. That upon completion of the required improvements, the Developer shall cause to be filed
with the City a statement certifying that:
a. All required improvements are complete;
b. That the improvements are in compliance with the minimum standards specified by the
City for their construction and that the Developer warrants said improvements against any and all
defects for a period of one (1) year from the date of acceptance of the completion of those
improvements by the City;
c. That the Developer knows of no defects in those improvements;
d. That these improvements are free and clear of any encumbrances or liens;
e. That a schedule of actual construction costs has been filed with the City; and,
f. All applicable fees and surcharges have been paid.
4. The Developer shall cause to be filed with the City copies of final plans, profiles, grades and
specifications of said improvements, with the certification of the registered professional engineer
responsible for their preparation that all required improvements have been installed in conformance with
said specifications.
Flathead County Subdivision Regulations Page 2 of 5
IT IS ALSO AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS,
TO -WIT:
That the Developer shall provide for inspection of all required improvements by a registered
professional engineer before the Developer shall be released from the Subdivision Improvement
Agreement.
That if the City determines that any improvements are not constructed in compliance with the
specifications, it shall furnish the Developer with a list of specific deficiencies and may withhold
collateral sufficient to insure such compliance. If the City determines that the Developer will not
construct any or all of the improvements in accordance with the specifications, or within the required
time limits, it may withdraw the collateral and employ such funds as may be necessary to construct the
improvement or improvements in accordance with the specifications. The unused portions of the
collateral shall be returned to the Developer or the crediting institution, as is appropriate.
IN WITNESS WHEREOF, the Parties have hereunto set their hands and seals the day and year
herein before written.
RIO Arizona, Holdings, LLC
t
I
by
f (Title)
Flathead County Subdivision Regulations Page 3 of S
COUNTY OF Flathead
On this 1 4th day of November 20 03 , before me, a Notary Public for the
State of Montana, personally appeared Norm Shaw ,
known to me to be the member/manager of RIO Arizona Holdings, LLC ,
whose name is subscribed to the foregoing instrument and acknowledged to me that he/she executed the
same.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my Notarial Seal this day
and year first above written.
r-
Notary Public for the State of Montana
Residing at Kalispell
My Conxnission Expires November 10, 2007
MAYOR, CITY OF KALISPELL
Im
ATTEST:
�................. By:
Finance Director
Flathead County Subdivision Regulations Page 4 of 5
MA, 261re
Conditions of approval as fixed to the preliminary plat by the City Council, Kalispell, Montana.
EXHIBIT B
This agreement specifically includes the following improvements, their projected construction
completion date and estimated construction costs.
CHECK CONSTRUCTION ESTIMATED
APPROPRIATE COMPLETION CONSTRUCTION
IMPROVEMENTS BOX DATE COSTS
Sidewalks 5/30/04 $ 18,130.00
Manhole Paving Risers 5/30/04 $ 490.00
Seeding 5/30/04 $ 680.00
Granrud Lane Upgrade 8/30/04 $104,024.00
TOTAL COLLATERAL (TOTAL COST x 125%)
SUBTOTAL
FEES
TOTAL COST
$123,324.00
$123,324.00
$154,155.00
Flathead County Subdivision Regulations
�ti 1 3 C?�
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