Coldwell Banker Peformance Bond Improvement AgreementSeptember 21, 25
MEMO
O: Carol Kostman
FROM: Mike Baker
Carol,
Regarding the Sub -division agreements -letters of credit the following projects for the
'arks and Recreation Department can a taken of
. Wind River Development, Leisure Heights — phase I
-�
The projects that can be takenof the Performance Bonds e:
I. Distillery Square Landscaping on 45 e Ave W
Coldwell Banker of Wacholz and Company
Thank you and if you have any questions please call m, 758-7716.
Mike Baker
PERFORMANCE BOND IMPROVEMENT AGREEMENT
TIHS AGREEMENT., T, made and entered into this 1.7 dayof Deicembimtoo _ _ T ... I by
and between the CITY of KALISP , M NTANA, Party of the First Past and hereinafter referred to as
the CITY, and
l cal I kp-,,- War-hhnl z an6 Cnmpany
...........................................
(Name of Developer)
..............
(Individual, Company or Corporation)
i n m i t p� K I ape11 MT
_
located at ,
(Street Address/P. 0. Box) (City, County, State, Zip)
Part' of the Second Part and hereinafter referred to as DEVELOPER.
WTNSSTH:
THAT WHEREAS, the Developer is the owner and or developer of
Main t q 9
4 Kal- � spel(Name of Project)
located at
(Address or Location of Project)
and,
WHEREAS, the City has conditioned ies final approval of the aforementioned project upon the
completion of improvements as cited in "Exhibit A" which have not been completed at this time. The
Developer wishes to bond for the completion of those improvements set forth in "Exhibit A"; and
WHEREAS, the City will allow bonding for those improvement but will require that the Developer
shall provide a financial security of 12 % of the estimated total cost of construction of said improvements as
evidenced by an estimate prepared by contractor, subcontractor or engineer included herewith as "Exhibit ";
and
WHEREAS, the estimated total cost of construction of said improvements en.ts is the sin of
C
NOW THEREFORE, in consideration of the final approval of the aforementioned project by the
City, the Developer hereby agrees as follows. -
The Developer shall deposit as collateral with the City a Letter of Credit, or other acceptable collateral in the
amount of $ 1 8 J 000
Said Letter of Credit or other collateral shall have an expiration date of at least sixty days following the
date set for completion of the improvements, certifying the following;
a. That the creditor guarantees funds in the sum of $ �� the estimat d st of
m l tin the reaulred improvements in 1. 1.. 47 S., maifi Stre.et
(Name of Project)
b. That if the Developer fails to complete the specified improvements within the required period, the
creditor will Fay to the City immediately, and without further action, such funds as are nec ssk.try to
finance the completion of those improvements up to the limited of credit .stated in the letter;
That said required improvements shall be fully completed by I �. , 2005--.
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.
C. That the Developer knows of no defects in. those improvements;
d. That these improvements are Free and clear of any encnbrances or liens;
C. That a schedule of actual construction cosh has been filed with the City; and,
f All applicable fees and surcharges have been paid..
ALSO AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS,TO-WIT:
That the Developer shall provide for inspection of all required improvements prior to release from this
Agreement and 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 fmids as
may be necessary to construct the improvement or improvements in accordance with the specifications. The
unused portions of the collateral shall be retumed to the Developer or the crediting institution, as i
appropriate.
EXRW
This agreement specifically includes the fallowing improvements, their projected construction completion
date and estimated construction casts.
Check appropriate improvement and estimated remaining costs:
/Grad] . a in 1 .. 100 #
00
Sidewalks
Curbs and Gutters
Sanitary Sewers
Mains
Other
On -Site Sewage
Facilities
Water Systems
.mains
Other
Fire Hydrant
Stagy Sever or
Drainage Facilities
Street Signs
Street Lighting
Street Monument
Survey monument Boxes
Landscaping $3 3 0 [3 = 0 0
Other ( j
SUBTOTAL
TOTALS COSTS SIJj400
TOTAL COLLATERAL {TOTALS COSTS X 125%} $ 1 8 )0 0 0
FirsT
:,Jnterstate
Bank
First Interstate .dank
Main St.
P. Box 7130
Kalispell, MT -1 0
- 6- 0
Fax:406-756-5260
IRREVOCABLE STANDBY LETTER OF CREDIT
DATEIPLACE OF ISSUE# December 20, 2004
Kalispell MT
BENEFICIARY.
City of Kalispell
Kalispell MT 59901
'UP TO AN AGGREGATE
Eighteen thousand and no/00 ---------------------dol tar
Dear Sirs:
CREDIT NUMBER: 2309600280
DATE OF EXPIRY: July I, 2005
C l well Banker Wachholz and Company
1205 South amain Street
Kalispell MT 59903
USIA $1 ,000. 0
We hereby establish. this Irrevocable Letter of Credit in favor of Beneficiary, above, and is available by
Beneficiary's drafts at sight drawn on First .interstate Banff., Kalispell N4T and bearing the clause
":brawn under First Interstate Bank, Letter of Cred it #230 002 8 0" and accompail j ed by the fol low in
documents. -
Beneficiary's sI ned statement indicating the . ,etter of Credit number andstating:
"The undersigned hereby certifies that Gold en Banker Wachholz and Company has failed to perform
under the terms and conditions set forth in the PERFORMANCE BOND IMPROVEMENT AGREEMENT
dated December 17, 2004, for improvements (outlined in Exhibit A) to property at 1147 S. Main Street,
Kalispell MT"'
Partial drawings permitted. We hereby engage with drawers, endorsee's and bona fide holders that drafts
and/or documents drawn in eon ` rrn.1ty with the terms of this .fetter of Credit will be duly honored upon
presentation to First Interstate Bank., at the address shown above, on or before the expiry.
Except so far as othemise expressly stated, this Documentary Credit is subject to the Uniform Custorns
and Practice for documentary credits (1993 revision) International Chamber of Commerce Publication
No. 500. ("MP").
Sincerely Yours,
First Interstate Bank
BY
Aqthori�..S'gnature
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