MOU/Developer and Juniper BendUN 2 4 1999
.IU IPER BEND II01 EtJTV ERS A.S VOCIq TI+!3t!%
P.O. BOX 8673
KALISPELL, MT 59904
June 24, 1999
TO: City of Kalispell
P.O. Box 1997
Kalispell. MT 59903-1997
A'i "1;`v: FRDO- Narda Wilson
City Manager- Chris Kukulski
City Attorney- Glenn Fleier
Director of Public Works- Jinn Hansz
Dear Madanv Sirs,
t am writing this letter as the President of the Juniper Bend Homeowners Association (JBHOA)
which was incorporated in September of 1995. The JBHOA Board represents the homeo«7zers of
the Juniper Bend subdivision and all members of the Board are also homeowners at Juniper Bend.
In the past several years numerous problems have arisen with the developers, Dan Mitchell -
General Partner. The Association has repeatedly attempted to work with the developer to address
these problems through a variety of calls, letters, and discussions. To that end a meeting was meld
on January 25th, 1999 between the JBHOA and the developers to move the resolution process
forward. The meeting was attended by the JBHOA Board of Directors -Bev Braig, Toni Laux,
Toni Stufft, our secretary -Fran Korpela, homeowners- John McMillan and Wayne Jensen,
attorney -Steve Berg, our engineer -Andy Hyde of Carver Engineering, developers -Dan Mitchell
and Jim Swoish, developer's engineer- Michael Fraser of TD&H, and developer's attontev- Randy
Snyder. The purpose of the meeting was to address the problems and promote better
communication with the developer. 'The outcome of the meeting was a mutual agreement between
the JBHOA and the developers to have the JBHOA prepare a Memorandum of Understanding
(MOU). The MOU would be sent to the developers for their changes and comments with the
final goal being to create a signed MOU between the JBHOA and the developers. The MOU
was prepared and sent to the developers in Febi99. A copy is attached for your information. To
this date we have had no response whatsoever from the developers regarding the MOU.
The .1BHOA Board of Directors has carefully prepared the MOU to be a thorough description of
the problems which exist within the Juniper Bend subdivision. As you can see a number of the
problems relate to unkept promises made to the City of Kalispell, FRDO, and homeowners
regarding the tinting and the manner to which certain improvements were to be performed. Mr.
Mitchell's only response to the problems presented is that he intends to complete the subdivision on
his timetable and that at a later date these issues will be addressed. This disregard for the original
timetable of the subdivision agreements and for promises made to homeowners irho purchased
homes at Juniper Bend is unacceptable.
Recently, on June 16th,/99, the developer met with a homeowner, Mr. Jensen, and the to briefly
explain his plans for the new unit,-,, slated for immediate construction. While the JBHOA
supports Mr. Mitchell's desire to complete construction at.funiper Rend, the JBHOA does
not agree that new construction should commence before full resolution is reached on the
issues as set forth by the MOU.
The issues described in the MOU will affect both the new units as well as the existing 22 units
presently occupied. For example, one issue that has been brought to our attention is the
incomplete curb and Putter on Grandview Lane. The position of the 110A is that we feel The
original storm drainage system plan, as approved by the City of"Kalispell, should be completed by
the developer, which does includes the installation of curb and gutters. If the developer wishes to
make a change to that approved plan, then another complete plan would need to be submitted to
be reviewed and approved by the City Engineers which would clearly show how that change
would affect and be compatible with the total storm drainage system of the development.
If the developer were not so delinquent in his completion of the project the JBHOA would request
that the City of Kalispell take no action on the new plans submitted by the developer until the
issues presented by the MOU are resolved, however, the JUHOA respectfully requests that the
approval of any new plans or the issuance of any building permits be expressly conditioned
on the Developer providing the City of Kalispell a bond to complete the items enumerated
on the attached MOU.
We thank you for your assistance in. bringing this development to completion. If you require any
further information or involvement from the JBHOA please contact me at the number below.
Sincerely,
Beverly J. Braig
President, Board of Directors of JBHOA
752-8265
A
FRDO, 723 5th Ave E, Kalispell, NIT 59901
2
Feb/99
BETWEEN
JUN IER BEND HOMEOINNERS ASSOCIATION
AND JUNIPER BEND, INC.
I WIIEREAS Juniper Bend; Inc. and JBHA (the parties to this agreement) desire to cooperate in
order to complete the Juniper Bend Development in accordance with design plans and
commitments made to homeowners.
H WHEREAS the parties desire to avoid future risk exposures and liability through such
completion and wish to be released from such liability.
The following is a MOU of issues discussed at a meeting between JBHA and Juniper Bend, Inc.
on January 25th, 1999:
A. TIME SCHEDULE: Juniper Bend; Inc. agrees that it will complete the landscaping of all
common areas by Sept 30, 1999. This would include north end, south end, bank side of
Grandview Lane, area by automatic gate, lower park area, and common area surrounding all
undeveloped lots. ( Lower park area. may be exempted according to H-2)
R. WALK THROUGH : Juniper Bend, Inc. , JBHA, and Engineers for both parties, will
conduct a detailed walk through: of development to specifically observe bank stability, erosion,
drainage problems, retaining wall, cart path erosion, driveway and sidewalk settling, park area,
fence area; curb and g?utters on, Grandview Lane, and landscaping on bank side of Grandvie«
Lane. This walk-through is to be completed no later than March 10th, 1999.
Coordination of schedules for walk through will be done by Fran Korpela, Secretary for JB11k
C. DRALNTAGI SYS T ENI: The comcziete drainage system of the development will be
readdressed by Juniper Bend. Inc., and iViike Fraser of TD & H to the satisfaction of JBHA. A
written report from Juniper Bend, Inc. will be given to JBHA no later than March 3.1, 1999, and
final construction must be agreeable io .BHA and JBHA Engineer. All the following areas are to
be addressed, and others may be added to list:
I. Drainage off of Golf Coarse south of unit 9258 (McMillan).
2. Runoff on the southwest side of Grandview Lane due to no curb and gutter
3. Drainage between the r� 123i 129 (Semitool) and 133 (Nau) units.
4. Drainage causing erosions of golf canpaths and disturbed embankment.
5. Drainage off garages and eavestroughs causing driveways and sidewalk settling and cracking.
G. Verify resolution of Depression: on the loop roadway (NE) and surrounding the rnan bole, and
"depressed" soil adjacent to curb.
7. Any other area observed.
D. ROOF S T O DRAIN SYSTEM : Juniper Bend, Inc. will determine that all roof drains
are operable per system design, and if necessary take steps to repair any roof drains. To be
completed by Sept 30, 1999.
E. EMBANKL MIENT: Juniper Bend, Inc. will restore and revegetate embankment/bluff with
prior approval and to the satisfaction of JBHA. Specific areas to be addressed are:
- embankinnent from unit #218, 212, 208, 202, 198, and 192.
- settling by unit #232 (Sargent)
- Stor i drainage area to park-
- N-W property embankment (unit # 154/154 and unit# 164/166)
- Certificate fro.: TD & H that the entire embankment on east and west side of development
meets the applicable City and County standards.
E. CART PATH: JBHA requests the Developer completely finish the cart path to golf course
and path to lower park area, including construction and restoration and revegetation of disturbed
areas. Cart path is to be completed by Sept 30, 1999.
G. l-AINLNv'-VASE: Juniper Bend, Inc. will submit Engineer's plan documents and will.
construct a new retaining wall to the satisfaction of JBHA and Engineers f9r both parties (with
repar, footing, ete ), without farther disturbance to embankment, and existing retaining wail, the
length of the disturbed area from units #208 to # 192. This is to be completed by Sept. 30, 1999.
H. LANDSCAPE COMMON AREA:
I. IIESIGTIN: All landscaping plans for Common Area must be approved by JBHA aind not
be inconsistent. with the original landscape plans presented to the City.
2. PARK/ PAVILION/ TENNIS COUWrS: In consideration of the inability to construct
tennis courts and t,uviiio.n ule developer will. pay S
M J131 IA,, and t e oe --1.0per
will then be released from performing any further work on the lower area property.
3. RESPOI SIBILITY: .-BHA will accept control and maintenance for all Common Areas
landscaped by Juniper Bend, Inc. after completion of all items noted in this MOU.
I. FENCE: Juniper Bend, Inc. will build a split rail_ fence, or similar strtletu_re, by Sept 30,
1999, on the East side along the entire length of the embankment. The design must be to the
satisfaction: of BBHA.
J. TREE THINNING: Juniper Bend, Inc. will complete thinning, removal and/or limbing of
trees to east of unnits #2 i 8, 2 i 2 208, and 202, but all work must be approved in advance by each
homeowner..
2
K. ENGINEER CEIRaIEICATION: Juniper Bend, Inc. will provide MHA with
documentation of existing road completion and construction according to city standards for
Juniper Bend Drive. `I'D & H will also provide a certificate of compliance to standards on items
C, D, E, F, and Gr as set forth above in this MCiJ.
L. NEW CONSTRUCTION POLICY:
1. Juniper Bend, Inc. will enforce thatt all future constriction activity be limited to the
impacted lot or adjacent road area only. No driving, parking, or construction materials would be
on Common Area. Juniper Bend, Inc. and JBHA will meet together to determine other policies
governing the impact of new construction on existing homeowners, (eg. construction hours.)
2. As noted in Article X! of the Juniper Bend Covenants, any and all designs for any future
units must he approved by the JBI-Ln. Architectural Committee prior to the start of construction
and/or any presale arrangements.
M. ASSESSMENT PERIOD: Juniper Bend, Inc. will inform JBHA when a unit is completed to
begin the period of no assessinent.
N. MODIFICATIONS TO 1f. OU: Any subsequent modifications to this MOU between the
parties will be made by written addendum.
Dated on the day of 1999
4 i
BV
Pros -Id nE
iiCtC'St
Vice Presideiit
Attest
Secretary
.JUNIPER BEND, FNLC
BV
Developer
Attest
Developer
I, G. Daniel Mitchell, President of Juniper Bend, Inc., a Montana corporation, hereby
certify that said corporation adopted the following resolution at a regularly called meeting,
for the purposes of discussing said resolution, on May 7, 1998. The resolution adopted
is as follows:
RESOLVED, that the corporation executed a subdivision improvement
agreement with the City of Kalispell for the installation of an auxiliary
generator, automatic transfer switch, and alarm system;
FURTHER RESOLVED, that the corporation secure and execute a
performance bond with the City of Kalispell as contractor in the sum of
$17,290.00 U.S. to guarantee performance of the above -described
construction and installation;
AND FURTHER RESOLVED, that G. Daniel Mitchell as president of the
corporation be authorized to execute all required documents for the
foregoing purposes.
DATED May 7, 1998.
4G.araf(eIMWitch5ll.,President
Juniper Bend, Inc.
27
First Interstate Bank
Kalispell Office
2 Main Street
P.O. Box 7130
Kalispell, MT 59904-0130
406-756-5200
Fax:406-756-5260
Internet Website: www.firstinterstatebank.com
Internet E-Mail: fib@firstinterstatebank.com
IRREVOCABLE STANDBY LETTER OF CREDIT
DATE OF ISSUE: 5/15/98
BENEFICIARY:
City of Kalispell
Kalispell Montana
UP TO AN AGGREGATE OF
CREDIT NUMBER: 2309600060
DATE AND PLACE OF EXPIRY:
September 15, 1998
First Interstate Bank
APPLICANT:
Juniper Bend Development #1
PO Box 7233
Kalispell MT 59904
USD ********** $17,290.00
Seventeen Thousand Two Hundred Ninety and No/100 Dollars
Dear Sirs:
We hereby issue in your favor this Standby Letter of Credit. Funds under this Letter of Credit
are available to you upon presentation of the following:
Your signed draft indicating that the funds are "drawn under First Interstate
Bank Letter of Credit No. 2309600060, dated May 15, 1998.
This Letter of Credit No. 2309600060 may be automatically extended without
amendment for 120 days from the present or any future expiration date hereof,
unless 30 days prior to such expiration Bank shall notify the beneficiary, by
registered mail, that it elects not to extend the Letter of Credit for such
additional period, in which case, this Letter of Credit #2309600060 will expire
on September 15, 1998.
Partial drawings permitted. All bank charges other than those of First Interstate Bank
are for account of Beneficiary. We hereby engage with drawers, endorsers and bona fide
holders that drafts and/or documents drawn in conformity with the terms of this credit
will be duly honored on presentation to: First Interstate Bank at the above address.
Except so far as otherwise expressly stated, this Documentary Credit is subject to the Uniform
Customs and Practice for documentary credits (1993 revision) International Chamber of
Commerce Publication No. 500. ("UCP").
Very Truly Yours,
First Inter to a1JkA
BY �-
Authokiztd Signature
orized Signature
First Interstate Bank
Kalispell Office
2 Main Street
First
P.O. Box 7130
Kalispell, MT 59904-0130
Fwj.1n&vsfaft
406-756-5200
Fax:406-756-5260
/�
8c�%)1'\
Internet Website: www.firstinterstatebank.com
Internet E-Mail: fib@firstinterstatebank.com
AMENDMENT
U ; LT T Z T T i E W,i 1 WX
#2309600060
DATE: September 14, 1998
APPLICANT: Juniper Bend Development #1
PO Box 7233
Kalispell MT 59904
BENEFICIARY: City of Kalispell
Kalispell MT 59901
AMENDMENT: The date of expiration is hereby extended to September 30, 1998.
All other terms and conditions as outlined in the original Standby Letter of Credit, dated
May 15, 1998, remain unchanged.
Yours very truly,
FIRST WTERSTATE BANK
Bv.
Xulgorize8 Signer
I
By:
Authorized Signer