Irrevocable Letters of Credit�99 1
City of Kalispell Public
Post Office Box
MEMORANDUM
February 2, 2007
To: Deb Deist, Treasurer
From: Frank Castles, P.E., Deputy Public Works Director/Assistant City Engineer
RE: Ashley Park, Phase 8
Attached is a copy of the request by the developer to reduce the amount of the
subdivision improvement financial security to $14,595.02, and extend the Subdivision
Improvement completion date to July 1, 2007. A recent examination of the referenced
project was performed recently. We concur that the items remaining to be constructed
are as they appear in EXHIBIT B (dated 02/02/07). Attached is a Letter of Credit from
Valley Bank in the amount of $14,595.02.
Please return the prior letter of credit to the issuer.
Cc w/o attachments:
Dennis F. Carver
Somers Land Company
1995 Third Avenue East
Kalispell, MT 59901
C! CARVER ENGINEERING, INC.
1995 Third Avenue East
Kalispell, MT 59901
(406) 257-6202 fax 756-1093
February 1, 2007
Frank Castles, P.E.
Assistant City Engineer
City of Kalispell PWD
312 1 st Ave. E.
Kalispell, MT 59903-1997
Re: Ashley Park, Phase 8 — Subdivision Improvement Agreement
Dear Mr. Castles:
Somers Land Company would like to extend the letter of credit for the Ashley Park,
Phase 8 subdivision. All improvements except landscape trees and sidewalks are
complete. The amount of remaining work prior to bonding is $11,676.02, and the
bond amount at 125% is for $14,595.02. The remaining improvements will be
completed by July 1 st, 2007, and the bond will expire August 30t", 2007.
The boulevard tree quantity has been reduced from the amount shown in the
previous Exhibit "B". The reduction is necessary to comply with setbacks specified
in the City of Kalispell tree ordinance.
Please accept the revised letter of credit and extended expiration date, and at your
earliest convenience return the original letter of credit.
Sincerely,
Somers Land Company
Dennis F. Carver
VALLEY BANK OF KALISPELL
wout�-�!-
February 2, 2007
k
TO:
FROM:
AMOUNT:
EFFECTIVE DATE
EXPRIATION:
Dear Mayor Kennedy:
The City of Kalispell
ATTN: Pam Kennedy, Mayor
Valley Bank of Kalispell
41 Third Street West
PO Box 48
Kalispell, MT 59903-0048
Irrevocable Standby Letter of Credit No. 1275
$14,595.02
February 2, 2007
September 1, 2007
I
We hereby establish a Standby Irrevocable Letter of Credit in your favor for the sum not
exceeding a total of $14,595.02 for the account of Dennis Carver, Somers Land
Company, Inc. and Ashley Park, Phase 8 Subdivision. The required improvements for
which this letter applies are enumerated as exhibit "A", attached. Draws on the Letter of
Credit shall be made by the City of Kalispell upon its written statement signed by a City
Commissioner and in the following form:
RE: Valley Bank of Kalispell
Irrevocable Standby Letter of Credit No. 1275,
Dated February 2, 2007
The City of Kalispell hereby drawn under said Letter of Credit No. 1275 in the amount of
$14,595.02. Said amount is being drawn to pay for the cost of stated specific
improvements which were to be completed as set forth in the attached Development.
Agreement. The City has given written notice to, Dennis Carver, Somers Land Company,
Inc. of its failure to particular improvements not so completed, a copy of which written
notice is attached.
Such draft and supporting documents shall be presented at Valley Bank of Kalispell, 41
Third Street West, P.O. Box 48, Kalispell, Montana 59903-0048.
P.O. Box 48 a KALISPELL, MT 59903-0048
406-752-7123 s FAX 406-752-7320 - WWW.VALLEYBANKMT.COM
MEMBER FDIC
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 Dennis Carver, Somers Land
Company, Inc. has satisfactorily completed the improvements for said Phase 8
Subdivision, as referred to, or (b) September 1, 2007, 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.
Valley. Bank of Kalispell
Gary M.Madison, Senior Vice President
ATTEST:
RE: Dennis Carver, Somers Land Company, Inc. Phase 8 Subdivision Letter of Credit
No. 1275
The foregoing Letter of Credit is hereby approved and accepted.
Dated this day of 2007.
CITY OF KALISPELL
MIA
Pam Kennedy, Mayor
its of Kalispell
Post Office Box 1997 - Kalispell, Montana 59903-1997 - Telephone (406)758-7700 Fax (406)758-7758
February 5, 2007
Valley Bank
PO Box 48
Kalispell, MT 59903-0048
Re: Letter of Credit No. 1263 $380,119.00
Ashley Park, Phase 8 Subdivision
Dear Mr. Aronson,
The Public Works Department has instructed me to release the above listed Letter of
Credit which I have enclosed. It has been replaced by Letter of Credit 1275 in the
amount of $14,595.03.
If you have any questions, please call me at 758-7750.
Sincerely,
Deb Deist
City Treasurer
cc: Dennis Carver
Somers Land Company
1995 Third Avenue East
Kalispell, MT 59901
VALLEY BANK OF KALISPELL
",Iva ebruary 2, 2006
TO: The City of Kalispell
ATTN: Pam Kennedy, Mayor
FROM: Valley Bank of Kalispell
41 Third Street West
PO Box 48
Kalispell, MT 59903-0048
RE: Irrevocable Standby Letter -of -Credit No. 1263
AMOUNT: $380,119.00
EFFECTIVE DATE: February 2, 2006
EXPRIATION: March 27, 2007
Dear Mayor Kennedy:
We hereby establish a standby Irrevocable Letter of Credit in your ' favor for the sum not
exceeding a total of $380,119.00 for the account of Dennis Carver, Somers Land
Company, Inc. and Ashley Park, Phase 8 Subdivision. The required improvements for
which this letter applies are enumerated as exhibit "A", attached. Drawn on the Letter of
Credit shall be made by the City of Kalispell upon its written statement signed by a City
Commissioner and in the following form:
RE: Valley Bank of Kalispell
Irrevocable Standby Letter of Credit No. 1263
Dated February 2, 2006
The City of Kalispell hereby drawn under said Letter of Credit No. 1263 in the
amount of $380,119.00. Said amount is being drawn to pay for the cost of
stated specific improvements which were to be completed as set for in the
attached Development agreement dated February 2, 2006 and signed by Pam
Kennedy, Mayor. The City has given written notice to Dennis Carver, Somers
Land Company, Inc. of its failure to particular improvements no so completed, a
copy of which written notice is attached.
Such draft and supporting documents shall be presented at Valley Bank of Kalispell, 41
Third Street West, P.O. Box 48, Kalispell, Montana 59903-0048.
P.O. Box 48 ® KALISPELL, MT 59903-0048
406-752-7123 ® FAX 406-752-7320 - WWW.VALLEYBANKMT.COM
MEMBER FDIC
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 Dennis Carver, Somers Land
Company, Inc. has satisfactorily completed the improvements for said Phase 8
Subdivision, as referred to, or (b) March 27, 2007, 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 verifies 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.
Valley Bank of Kalispell
Allan Aronson, Senior Vice President
-ATTEST:
RE: Dennis Carver, Somers Land Company, Inc. Phase 8 Subdivision Letter of Credit
No. 1263
EvUliffie-VE"
The foregoing Letter of Credit is hereby approved and accepted.
It4
Dated this day of 20,�&.
�J
Cl OF LISPELL
B
Pam Kennedy, Mayor