SIA (Recorded)THIS AGREEMENT, made and entered into this day of Ju, 1998, by and
between the CITY COUNCIL, CITY OF KALISPELL, MONTANA, Party of the First Part and
hereinafter referred to as the CITY, and , ,
ate'
��� �z, // �� z, (Name of Developer)
,
located at
(Street Address/P.O. Box)
(City, County,
Party of the Second Part and hereinafter referred to as DEVELOPER.
WI'Y NESSE i H:
Zip)
THAT WHEREAS, the Developer is the owner and developer of a new subdivision
known as Southfield Park located at Former Haven Field site, Highway 93 South, Kalispell, MT
and,
WHEREAS, the City has conditioned its approval of the final plat of Southfield Park
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
$219,000.
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 Letter of Credit, or other
acceptable collateral as determined by the City Council, in the amount of $273,750. Said Letter
of Credit or other collateral shall have an expiration date of at least sixty (60) days following the
date set for completion of the improvements, certifying the following:
a. That the creditor guarantees funds in the sum of $273,750, the estimated cost
of completing the required improvements in Southfield Park.
\\BOB\D-DRIVE\ClientFiles\1995-96 Active in 97\0utlaw-Haven\961211-
1\Correspondence\Sub1mpAg. dcc
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 June 15, 1999.
3. That upon completion of the required improvements, the Developer shall cause to be
filed with the City a statement certifying that:
and,
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;
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 responsible for their preparation that all required
improvements have been installed in conformance with said specifications.
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 form 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
\\BOB\D-DRIVE\ChentFiles\1995-96 Active in 97\Outlaw-Haven\96121I-
1\Correspondence\Sub1mpAg. doc
iggs s W30
.cr
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.
SOUTHFIELD PARK
By
(Title)
STATE OF MONTANA
COUNTY OF FLATHEAD
On this day ftk 1998, before e, a Notary Public for the State of Montana,
personally appeared , known to be to
be the of whose name is
subscribed to the foregoing instrument and acknoAkledged to me that he executed the same.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my Notarial Seal
v "`and year first above written.
llubli6 for tl6 State of Montana
at Kalispell, MT
Vision Expires /O /�-
. v r _-
MAYOR, CITY OF KALISPELL
Wml .bahar5k1.
Mayor
�,�:�11tNr7kAt''lt�rff11j�1y���.. �
�0d u 00 ,-
ATTEST:
t }
�R.K of C'ouX�Cl t,
\\BOB\)-DRIVE\CfientFiles\1995-96 Active in 97\Outlaw-Haven\961211-
1\Correspondence\Sub1mpAg. doc
Minimum Required Improvements
3rd Ave East R.W.
$
30,600.00
18th St. R.W.
$
13,950.00
8 Lighting Poles
$
24,000.00
Storm Drainage
$
75,950.00
Water Extension
$
10,100.00
Sewer Extension
$
11,400.00
Signage
$
8,000.00
Utilities
$
40,000.00
28 Trees
$
5,000.00
Sub Total
$
219,000.00
125% Bonding Requirement
$
273,750.00
9,
IRREVOCABLE STANDBY LETTER OF CREDIT BanliWest
NAT 10 NAL ASSOCIATION
444 WEST IDAHO P.O. BOX 7070
TO: The City of Kalispell KAUSPELL, MONTANA 59904
ATT: William Boharski, Mayor (406) 758-2265
FROM:
RE:
AMOUNT:
EFFECTIVE DATE:
EXPIRATION:
Dear Mayor Boharski:
BankWest, N.A.
444 West Idaho
P.O. Box 7070
Kalispell, Montana 59904
Irrevocable Standby Letter -of -Credit No. 98-1002.
$273,750.00
July 20,1998
June 15,1999
We hereby establish a standby Irrevocable Letter of Credit in your favor for the sum not
exceeding a total of $273,750.00 for the account of RICH 4RD A. DASEN dba
SOUTHFIELD PARK. The required improvements for which this letter applies are
enumerated as exhibit "A", attached. Draws on the Letter of Credit shall be made by
City of Kalispell upon its written statement signed by a City Commissioner and in the
following form:
RE: BankWest, N.A.
Irrevocable Standby Letter of Credit No. 98-1002.
Dated July 20,1998.
The City of Kalispell hereby draws under said Letter of Credit No. 98-1002 in the
amount of $ . . Said amount is being drawn to pay for the cost of
stated specific improvements at Southfield Park, which were to be completed as set
forth in the attached Development agreement dated _ ,1998 and signed
by William Boharski, Mayor. The City has given written notice to Richard Dasen of
its failure to timely complete said improvements and has set forth the particular
improvements not so completed, a copy of which written notice is attached."
Such draft and supporting documents shall be presented at BankWest, 444 West Idaho,
P.O. Box 7070, Kalispell, Montana 59904.
Page 1 of 2
1(1
This Letter of Credit shall terminate and expire either: (a) upon the delivery to the Bank
of the written certificate by the City of Kalispell stating that Southfield Park has
satisfactorily completed the improvements for said Southfield Park Subdivision, as
above referred to, or (b) June 15,1999, whichever date is the sooner.
The amount of this Letter of Credit may be reduced, from time to time, as improvements
as listed on exhibit "A" are completed and verified by a Certificate of Completion by the
Public Works Department of the City of Kalispell.
This Letter of Credit is subject to the Montana Uniform Commercial Code and the
Uniform Custom and Practice for the Documentary Credits (1983 Revision)
International Chamber of Commerce Document No. 400.
Bank t, N.A.
By (I ,
Dale W. Haarr, V.P.
RE: Richard A. Dasen dba Southfield Park Letter of Credit No. 98-1002.
APPROVAL
The foregoing Letter of Credit is hereby approved and accepted. .
DATED This aay of 1998. � 1,
4rv' ►si
CITY OF KALISPELL s ,�
dodNo:)BY WMI
;�.
j�
William Boharski, Mayor y� •,(•j �'� ''
Page 2 of 2
EXHIBIT "A"
Minimum Required improvements
3rd Ave East R.W.
$
30,600.00
181h St. R.W.
$
13,950.00
8 Lighting Poles
$
24,000.00
Storm Drainage
$
75,950.00
Water Extension
$
10,100.00
Sewer Extension
$
11,400.00
Signage
$
8,000.00
Utilities
$
40,000.00
28 Trees
$
5,000.00
Sub Total
$
219,000.00
4M Bonding Requirement
273,750.00 .
5 !f /3V
Attachment to: Irrevocable Standby Letter of Credit No. to C0o'?—
dated July 20, 1998.
STATE OF MONTANA,
ss
County of Flathead
Recorded at the request f W V1
i
thisc day of , 19
the records of Flathead C*ouState of ontana.
Fee $ w 9S� 5 1,1130
RECEPTION NO. _
RETURN TO
at / 1 °°d-� o'clockCLM and recorded in
(Flathead County
J
IRREVOCABLE STANDBY LETTER OF CREDIT BanliWest
N A T I O N A L A S S O C I A T I O N
444 WEST IDAHO P.O. BOX 7070
TO: The City of Kalispell KALISPELL, MONTANA 59904
ATT: William. Boharski, Mayor (406) 758-2265
FROM: BankWest, N.A.
444 West Idaho
P.O. Box 7070
Kalispell, Montana 59904
RE: Irrevocable Standby Letter -of -Credit No. 98-1002.
A.-L\40'_TNT: $273.750.00
EFFECTIVE DATE: July 20,1998
EXPIRATION: June 15,1999
Dear Mayor Boharski:
We hereby establish a standby Irrevocable Letter of Credit in your favor for the sum not
exceeding a total of $273,750.00 for the account of RICHARD A. DASEN dba
SOUTHFIELD PARK. The required improvements for which this letter applies are
enumerated as exhibit "A", attached. Draws on the Letter of Credit shall be made by
City of Kalispell upon its written statement signed by a City Commissioner and in the
following form:
RE: BankWest, N.A.
Irrevocable Standby Letter of Credit No. 98-1002.
Dated July 20,1998.
The City of Kalispell hereby draws under said Letter of Credit No. 98-1002 in the
CiT - t —, $—__----_._-- Said ariosint is being drawn to pav for the cost of
stated specific improvement» at Southfield Park, which, w0r, to l-;e cor ipic ted as tint
forth in the attached Development agreement dated__ %.___,1998 a-r signed
by William Boharski, Mayor. The City has giver? written notice to Richard Dasen of
its failure to timely complete said improvements and has set forth the particular
improvements not so complie ed, a copy of which written notice is attached."
Such draft and supporting documents shall be presented at BankWest, 444 West Idaho,
P.O. Box 7070, Kalispell, Montana 59904.
Page 1 of 2
This Letter of Credit shall terminate and expire either: (a) upon the delivery to the Bank
of the written certificate by the City of Kalispell stating that Southfield Park has
satisfactorily completed the improvements for said Southfield Park Subdivision, as
above referred to, or (b) June 15,1999, whichever date is the sooner.
The amount of this Letter of Credit may be reduced, from time to time, as improvements
as listed on exhibit "A" are completed and verified by a Certificate of Completion by the
Public Works Department of the City of Kalispell.
This Letter of Credit is subject to the Montana Uniform Commercial Code and the
Uniform Custom and Practice for the Documentary Credits (1983 Revision)
International Chamber of Commerce Document No. 400.
bank Ifst, N.A.
,/7
B i €1 ii
Y t`
Dale W. Haarr, V.P.
ATTE
RE: Richard A. Dasen dba Southfield Park Letter of Credit No. 98-1002.
APPROVAL
The foregoing Letter of Credit is hereby approved and accepted.
DATED this day of L4 1998. = „V*
U1 t
CITY OF KALISPELL 'a-t A.
BY
William Boharski, Mayor
Page 2 of 2
EXHIBIT "A"
Minimum Required Improvements
3rd Ave East R.W.
$
30,600.00
18th St. R.W.
$
13,950.00
8 Lighting Poles
$
24,000.00
Storm Drainage
$
75,950.00
Water Extension
$
10,100.00
Sewer Extension
$
11,400.00
Signage
$
8.000.00
Utilities
$
40,000.00
28 Trees
$
5,000.00
Sub Total
$
219,000.00
125% Bonding Requirement
273,760.00
Attachment to: Irrevocable Standby Letter of Credit No.
dated July 20, 1998.