Phase V SIASUBDIVISION IMPROVEMENT AGREEMENT
THIS AGREEMENT, made and entered into this day of , 2003,
by and between CITY COUNCIL, CITY OF KALISPELL, MONTANA, Party of the First Part and
hereinafter referred to as the CITY, and SOMERS LAND COMPANY, a corporation located at
1995 Third Avenue East, Kalispell, MT, 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
Ashley Park, Phase V, located in Kalispell, Montana in the N 1/2, SE 1/4 of Section 19, Township
28N, Range 21W, Flathead County, Montana; and,
WHEREAS, the City has conditioned it's approval of the final plat of Ashley Park, Phase V,
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 professional engineer included herewith as
"Exhibit B"; and,
WHEREAS, the estimated total cost of construction of said remaining improvements is the
sum of $ 199,409.10 .
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 $_ 249,261.38 .
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 $ 249,261.38 , which represents
125% of the estimated cost of completing the required improvements in Ashley Park,
Phase V.
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 of Credit;
2. That said required improvements shall be fully completed by July 11, 2004.
Page I
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 plans and 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 from the Subdivision Improvement
Agreement.
That if the City determines that any improvements are not constructed in compliance with the
plans and 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 plans and specifications, or
within the required time limit(s), it may withdraw the collateral and employ such funds as may be
necessary to construct the improvement(s) in accordance with the plans and specifications. The
unused portions of the collateral shall be returned to the Developer or the crediting institution, as is
appropriate.
That as improvements are completed, the Developer may apply to the City for a release of part
of the collateral deposited with the City. The proportion of the collateral released may not exceed
the proportion which the improvements completed represent of all originally required
improvements; otherwise, said Letter of Credit may not be withdrawn until released by the City.
That this agreement shall inure to the benefit of and be binding upon any successors in interest,
heirs, or assignees.
Page 2
IN WITNESS VaIEREOF, the Parties to this agreement have hereunder set their hands and
seals the day and year herein before written.
- =aqu1= = =�m==o) N- I
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7 er
(Title)
STATE OF MONTANA, COUNTY OF FLATHEAD
On this I � A - day of V) vkCa k&S _f _, 2003, before me, a Notary Public for the
State of Montana, personally appeared F,CAQ,/e_P__ — known to me to be
the person whose name is subscribed to the foregoing instrument and acknowledged to me that he
executed the same.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my Notary Seal this day and
year first above written.
NOTARY PU12LrArAV W
- j...`..#0TAR An
511 Notary Public for the State of Montana
Residingat
My Commission Expires V1 OL�4, 1 S, at)
1
This agreement is hereby approved and accepted by the City of Kalispell this —day of
.2003.
MAYOR, CITY OF KALISPELL ATTEST:
By: By:
Mayor
Finance Director
Page 3
EXHIBIT$"
CERTIFICATION OF WORK TO BE COMPLETED
ASHLEY PARK, PHASE V
SUBDIVISION ROADS
COMPLETED TO DATE
August 11, 2003
Item No
Description
Unit
re
MeasuQuantity
Estimated
Unit Price
Total Price
QUANTITY
COMPLETED
TOTAL COST
COMPLETED
101
Unclassified Excavation
C.Y.
8,263
$ 3.00
$ 24,789.00
8,263.00
$ 24,789.00
102
Stabilization Fabric
S.Y.
6,889
$ 0.90
$ 6,200.10
6,889.00
$ 6,200.10
103
Select Sub -Bose, 3" (-) Pit Run Gravel
C.Y.
3,617
$ 9.50
$ 34,361.50
3,617.00
$ 34,361.50
104
Crushed Base, 3/4" Crushed Gravel
S.F.
68,355
$ 0.28
$ 19,139.40
34,177.50
$9,569.70
105
Hot Plant Mix Asphalt (4" - Two Ufts)
S.F.
58,590
$ 0.90
$ 52,731.00
-
$0.00
106
Curb and Gutter
LF.
3,263
$ 7.50
$ 24,472.50
$0.00
107
Sidewalk (5' Wide) w! Prepared Base
S.F.
16,035
$ 3.00
$ 48,105.00
$0.00
SUBTOTAL ITEMS 101 - 107
1
$ 209,798.50
$ 74,920.30
WATER SYSTEM
Item No
Description
Unit
Measure
Estimated
Quantity
Unit Price
Total Price
QUANTITY
COMPLETED
TOTAL COST
COMPLETED
201
Connect to Exlstin
LS
1
$ 750.00
$ 750.00
1.00
$ 750.00
202
8" PVC Water Main
LF.
1,965
$ 20.00
$ 39,300.00
1,995.00
$ 39,900.00
203
8" Gate Valves and Boxes
EACH
9
$ 825.00
$ 7,425.00
9.00
$ 7,425.00
204
6" PVC Water Main
LF.
120
$ 17.00
$ 2,040.00
120.00
$ 2,040.00
205
Fire Hydrant w/ Aux. Valves
EACH
4
$ 2,250.00
$ 9,000.00
4.00
$ 9,000.00
206
Tees & Misc. Fittings
EACH
17
$ 350.00
S 5,950.00
17.00
$ 5,950.00
207
1" Water Services
EACH
41
$ 600.00
$ 24,600.00
41.00
$ 24,600.00
SUBTOTAL ITEMS 201 - 205
$ 89,065.00
$ 89,665.00
SEWER SYSTEM
Item No
Description
Unit
Measure
Estimated
Quantity
Unit Price
Total Price
QUANTITY
COMPLETED
TOTAL COST
COMPLETED
301
8" PVC Sewer Main
LF.
1,826
$ 18.00
$ 32,868.00
1,826.00
$ 32,868.00
302
12" PVC Sewer Main
LF.
-
$ 20.00
$ -
-
$ -
303
4' Diameter Manhole w/ Ring & Cover
EACH
6
$ 1,2D0.00
$ 7,200.00
6.00
$ 7,200.00
304
Lift Station
LS
1
$ 39,500.00
$ 39,500.00
0.200000
$ 7,900.00
304
Force Main
LF.
910
$ 12.00
$ 10,920.00
910.00
$ 10,920.00
305
4" Sewer Services
EACH
41
$ 500.00
$ 20,500.00
41.00
1
$ 20,500.00
SUBTOTAL ITEMS 301 - 304
1
$ 110,988.00
1 $ 79,388.00
STORMWATER DRAINAGE
Item No
Description
Unit
Measure
Estimated
Quantity
Unit Price
Total Price
QUANTITY
COMPLETED
TOTAL COST
COMPLETED
401
8" GRAVITY STORM DRAIN
LF.
916
$ 13.00
$ 11,908.00
916.00
$ 11,908.00
402
12" GRAVITY STORM DRAIN
LF.
215
$ 18.00
$ 3,870.00
215.00
$ 3,870.00
403
8" FORCE MAIN
LE
1,665
$ 15.00
1 $ 24,975.00
1,665.00
$ 24,975.00
404
8"FITTINGS
EACH
4
$ 350.00
$ 1,400.00
4.00
$ 1,400.00
405
LIFT STATION
LS
1
$ 35,000.00
$ 35,000.00
0.20
$ 7,000.00
406
Catch Basins w/ Frames & Grates
EACH
6
$ 500.00
$ 3,000.00
6.00
$ 3,000.00
SUBTOTAL ITEMS 401 - 402
$ 80,153.00
$ 52,153.00
MISCELLANEOUS WORK
Item No
Description
Unit
Measure
Estimated
Quantity
Unit Price
QUANTITY
Total Price COMPLETED
TOTAL COST
COMPLETED
501
Topsoil
S.Y.
2,411
$ 1.90
$ 4,580.90 -
$0.00
502
Flathead Electric deposit
LS
1
$ 48,680.00
$ 48,680.00 1.00
$48,680.00
503
Northwester Energy Deposit
LS
1
$ 11,560.95
$ 11,560.95 1.00
$11,560.95
504
Street Signs
EACH
3
$ 150.00
$ 450.00 -
$0.00
SUBTOTAL ITEMS 501 - 503
1
1 $ 65,271.85
$ 60,240.95
UTILITIES
COMPLETED TO DATE
August 11, 2003
Item No
Description
Unit
Measure
Estimated
Quantity
Unit Price
Total Price
QUANTITY
COMPLETED
TOTAL COST
COMPLETED
601
Utility Trench
L.F.
2,000
$ 2.50
$ 5,000.00
2,000
$ 5,000.00
602
Furnish/Install 2" Conduit
LF.
5,040
$ 1.25
$ 6,300.00
5,040
$ 6,300.00
603
Furnish/Install S' Conduit
L.F.
3,120
$ 1.50
$ 4,680.00
3,120
$ 4,680.00
604
Furnish/Install 4" Conduit
LF.
2,960
$ 1.75
$ 5,180.00
2,960
$ 5,180.00
605
Sin le Phase Transformer Vault
EACH
5
$ 585.00
$ 2,925.00
5
$ 2,925.00
606
3 Phase Transformer Vault
EACH
1
$ 1,100.00
$ 1,100.00
1
$ 1,100.00
607
Gas Assist
LF.
2,000
$ 0.25
$ 500.00
-
$
SUBTOTAL ITEMS 601 - 607
$ 25,685.00
$ 25,185.00
TOTAL PROJECT BUDGET 1 $ 580,961.35
ORIGINAL TOTAL ESTIMATED COST OF CONSTRUCTION
$
580,961.35
AMOUNT COMPLETED PRIOR TO BONDING
$
381,552.25
AMOUNT OF REMAINING WORK
$
199,409.10
AMOUNT OF BOND (1251/6 OF REMAINING WORK)
$
249,261.38
AMOUNT OF WORK COMPLETED TO DATE
$
381,552.25
PERCENTAGE OF WORK COMPLETED TO DATE
65.68%
AMOUNT OF WORK REMAINING
$
199,409.10
ORIGINAL BOND AMOUNT
$
249,261.38
AMOUNT OF BOND TO BE RETAINED (125% OF REMAINING WORK)
$
249,261.38
BOND AMOUNT TO BE RELEASED
$
-
AMOUNT PREVIOUSLY RELEASED
$
AMOUNT TO BE RELEASED AT THIS TIME
$
AS ENGINEER OF RECORD FOR ASHLEY PARK, PHASE IV, I CERTIFY THAT THE WORK
LISTED HEREIN IS CORRECT. IN ADDITION, i CERTIFY THAT THE ASSOCIATED COSTS ARE
REASONABLY ACCURATE ESTIMATES OF THE RESPECTIVE COSTS OF THE WORK. THE
VALUE OF CONSTRUCTION AND OTHER WORK COMPLETED TO DATE IS ESTIMATED TO BE: $ 381,552.25
THE TOTAL VALUE OF THE REMAINING WORK, SERVICES AND FEES IS ESTIMATED TO BE: $ 199,409.10
SECURITY HELD AT 125% OF THE REMAINING COSTS SHOULD BE IN THE AMOUNT OF: $ 249,261.38
IEZS,. CARV
THE SUBDIVISION IMPROVEMENTS AGREEMENT
SECURITY HELD BY: $0.00
$381,552.25
IMPROVEMENTS SHALL BE COMPLETED BY JULY 11, 2004