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Staff Report/Final Plat
REPORT TO: FROM: [40:3) MEETING DATE: City of Kalispell Planning Department 17 - 2' Street East, Suite 211, Kalispell, Montana 59901 Telephone: (406) 751-1850 Fax: (406) 751-1858 Website: kahspellplanning.com Kalispell Mayor and City Council Sean Conrad, Senior Planner James H. Patrick, City Manager Final Plat for Spring Creek Estates Subdivision March 5, 2007 BACKGROUND: This is a request for final plat approval of Spring Creek Estates, a 174 lot residential subdivision comprised of single-family lots on approximately 51 acres located on the south side of Three Mile Drive. The property can be described as Assessor's Tract 4C in the N 1/2 of Section 11, Township 28 North, Range 22 West, P.M.M., Flathead County, Montana. Preliminary plat approval for this subdivision was granted by the City Council on May 2, 2005. Approximately 88 percent of the improvements have been completed which includes the water, sewer, storm water drainage and street sub base work. It should be noted that a Subdivision Improvements Agreement (SIA) has been submitted with the final plat to address the completion of the remaining improvements. A total of $553,012.94 was submitted to cover the cost of the SIA which addresses 125 percent of the remaining work to be completed. RECOMMENDATION: A motion to approve the final plat for Spring Creek Estates and to accept the Subdivision Improvement Agreement would be in order. FISCAL EFFECTS: Minor positive impacts once developed. ALTERNATIVES: As suggested by the city council. Respectfully submi d, can Conrad Senior Planner Report compiled: February 26, 2007 G;Ies H. atrick City Manager Attachments: Letter of transmittal Final plat application and supporting documents Return to: Theresa White Kalispell City Clerk P.O. Box 1997 Kalispell, MT 59903 APPENDIX E SUBDIVISION IMPROVEMENT AGREEMENT THIS AGREEMENT, made and entered into this 20th day of February , 2007, by and between the CITY COUNCIL, CITY OF KALISPELL, MONTANA, Party of the First Part and hereinafter referred to as the CITY, and NORTHSTAR ASSOCIATES L.L.C. , (Name of Developer) a LIMITED LIABILITY COMPANY , (Individual, Company or Corporation) located at 2239 Lower Valley Road, Kalispell, Montana 59901 , (Street Address/P. O. Box) (City, County, State, Zip) 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 SPRING CREEK ESTATES , (Name of Subdivision) located at NORTH %z OF SECTION 11. TOWNSHIP 28 NORTH, RANGE 22 WEST, P.M.M., FLATEHEAD COUNTY, MONTANA. , (Location of Subdivision) and, WHEREAS, the City has conditioned it's approval of the final plat of SPRING CREEK ESTATES , upon the conditions as set forth (Name of Subdivision) 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 A'; and WHEREAS, the estimated total cost of construction of said improvements is the sum of $ 442,410.35 NOW THEREFORE, in consideration of the approval of the final plat of said Subdivision by the City, the Developer hereby agrees as follows: Spring Creek Estates Subdivision Improvement Agreement Page 1 of 3 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 $ 553,012.94 . 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 $ 553,012.94 , the estimated cost of completing the required improvements in SPRING CREEK ESTATES (Name of Subdivision) 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 limited of credit stated in the letter; 2. That said required improvements shall be fully completed by August 20, 20 08 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 specifications. Spring Creek Estates Subdivision Improvement Agreement Page 2 of 3 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 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 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. On this 0 t day of 20L7, before me, a Notary Public for the State of Montana, pe lly ppeared r,r2 known to me to be the �%`� i ;r� L'.��L o� `� , whose name is subscribed to the foregoing instrument and acknowledged to me ecuted the same. `t�g��)�x P J. ADS IN WITNESS WHEREOF, I have hereunto set my hand�d'd*Xee S%j this day and year first above written. IHt{( N ( .- - SEAL ' Notary Publi r the State of Montana Residing "' ; i� d'j; ' � at My Commission Expires •, . N. ����FOF 1/111111111 MAYOR, CITY OF KALISPELL ATTEST: MAYOR CITY CLERK Spring Creek Estates Subdivision Improvement Agreement Page 3 of 3 EXHIBIT "B" CERTIFICATION OF WORK TO BE COMPLETED SPRING CREEK ESTATES SUBDIVISION ROADS & OVERLOT GRADE Completed To Date December 12, 2006 item No. Description Unit Measure Estimated Quantity Unit Price Total Price Quantity Completed Total Cost Completed 101 Topsoil Removal/Replacement C.Y. 36,626 ;1.66 $56,980.66 36,626 $66,980.66 102 Excavation / Subgrade Prep C.Y. 18,637 $1.63 $30,216.31 18,637 $30,216.31 103 Stabilization Fabric S.Y. 44,680 $1.09 $48,701.20 44,680 $48,701.20 104 Select Subbase C.Y. 11,170 $16.00 $178,720.00 11,170 $178,720.00 105 3/4" Crushed Gravel C.Y. 7,446 $19.60 $146,197.00 7,446 $146,197.00 106 4" Ash attic Cement S.Y. 38,166 $11.00 $419,716.00 31,660 $348 260.00 107 Curb & Gutter L.F. 18,386 $10.26 $188,446.26 17,617 ;179,649.26 108 Valley Gutters LF 445 $20.83 $9,269.36 446 $9,269.36 109 6' x 4" Concrete Sidewalks / Gravel S.F. 90,600 $3.66 $322,636.00 86,633 5308,413.48 SUBTOTAL ITEMS 101 -109 $1 399 781.87 ;1,305,306.1. WATER SYSTEM Item No. Description Unit Measure Estimated Quantity Unit Price Total Price Quantity Completed Total Cost Completed 201 12" Water Main L.F. 270 $36.77 $9,667.90 270 $9,657.90 202 8" Water Main L.F. 8,260 $24.06 $198,736.90 8,260 $198,736.60 203 12" Gate Valves & Boxes E.A. 1 $1,888.09 $1,888.09 1 $1,888.09 204 8" Gate Valves & Boxes E.A. 33 ;1 248.91 $41,214.03 33 $41,214.03 206 12" & 8" Ductile Iron Fittings E.A. 21 $528.06 $11,089.26 21 $11,089.26 206 Fire Hydrants w/ Tea, Pipe, Aux. Valve & Box E.A. 23 $3,600.00 $80,600.00 23 $80,600.00 207 Water Services E.A. 176 $479.31 $84,368.56 176 $84,368.66 208 Connect to Existing Main E.A. 1 $414.99 $414.99 1 $414.99 SUBTOTAL ITEMS 201 - 208 $427 858.43 $427,868.43 SEWER SYSTEM item No. Description Unit Measure Estimated Quantity Unit Price Total Price Quantity Completed Total Cost Completed 301 8" Sewer Main L.F. 8 348 $18.66 $156,773.68 8,348 $155,773.68 302 4' Diam. Manholes w/ Ring & Cover E.A. 36 $1,644.17 $69,190.12 36 $59,190.12 303 4" Sch. 40 PVC Sewer Services E.A. 176 $668.36 $100,031.36 176 $100,031.36 304 Connect to existing E.A. 1 $916.07 $916.07 1 $916.07 SUBTOTAL ITEMS 301 - 304 $315 911.23 ;316,9111.23 DRAINAGE & MISCELLANEOUS WORK Item No. Description Unit Measure Estimated Qua Unit Price Total Price Completed Total Cost Completed 401 8" PVC Storm Drain / FE L.F. 1,711 $17.37 $29,720.07 $29,720.07 402 10" PVC Storm Drain / FE L.F. 1,485 $20.40 $30,294.00 TO ;30,294.00 403 12" PVC Storm Drain IFE L.F. 605 $23.74 $14,362.70 ;14,362.70 404 Catch Basin w/ Inlet EA. 36 $1,578.24 $66,816.64 $66,816.64 406 Storm Drainage FacilityEA. 1 $150,000.00 $150,000.00 $0.00 406 Rlprap C.Y. SO $72.37 $3,618.50 0 ;0.00 407 Sift Fence LF 2,9461 $2.36 $6,960.20 2,945 $6,960.20 408 Tracking Pad LS. 1 $739.01 $739.01 1 $739.01 409 Bike Path /6" base LF 1,663 $11.73 $19,389.69 0 $0.00 410 Mail Boxes Bases W/Gravel EA. 4 $1,126.98 $4,603.92 0 ;0.00 411 CBU Mailboxes EA. 12 $1,468.74 ;17,624.88 0 $0.00 412 OPL Mailboxes EA. 4 $761.76 $3,047.04 0 $0.00 413 Traffic Control L.S. 1.00 $3,697.90 $3,697.90 100% $3,697.90 414 Mobilization L.S. 1.00 $16,984.01 $16,984.01 100% $16,994.01 416 Construction Surveying L.S. 1.00 $47,000.00 $47,000.00 100% $47,000.00 416 Seeding/Landscaping Trees L.S. 1.00 $126,000.00 $126,000.00 48% $60,000.00 417 Fencing & Landscaping for Bike/Ped Path L.S. 1.00 $30,000.00 $30,000.00 0% ;0.00 418 Park Improvements L.S. 1.00 $40,000.00 $40,000.00 0% $0.00 419 Fencing & Buffering SE Comer L.S. 1.00 $6,500.00 ;6,600.00 0% $0.00 420 Si na a L.S. 1.00 $5,000.00 $6,000.00 100% $6,000.00 SUBTOTAL ITEMS 401 - 420 $611 248.50 $271 664.63 UTILITIES - TRENCHING, CONDUIT, VAULTS & LIGHTS Completed To Date December 12, 2006 Item No. Description Unit Measure Estimated Quantity Unit Price Total Price Quantity Completed Total Cost completed 601 Common Trench LF 12,410 $ 3.69 $44,561.90 12,410 $44,661.90 602 Street LI ht Conduit Trench LF 1,090 $ 3.59 $3,913.10 1,090 $3,913.10 603 3 Phase Vaults EA 7 1,223.70 $8,666.90 7 $8,566.90 604 Sin le Phase Vaults EA 27 690.19 $18,636.13 27 $18,635.13 606 Light Pole Bases (FEC) EA 31 $ 617.17 $16,032.27 31 $16,032.27 606 4" Conduit LF 3,8611 $ 6.63 $21,737.43 3,861 $21,737.43 607 3" Conduit LF 26,104 3.28 $82,341.12 26,104 $82,341.12 608 2" Conduit LF 26,273 $ 2.32 $68,633.36 26,273 $68,633.36 609 1" Conduit LF 2,323 $ 2.03 $4,716.69 2,323 $4,716.69 610 6" Steel or Fiberglass Sweeps EA 11 249.65 $2,746.06 11 $2,746.05 611 3" Steel or Fiberglass Sweeps EA 16 $ 138.26 $2,073,90 16 $2,073.90 612 3" PVC Sweeps EA 230 $ 47.30 $10,879.00 230 $10,879.00 613 2" PVC Sweeps EA 466 $ 42.01 $19,166.56 466 $19,166.66 614 Secondary Pedestals EA 106 92.92 $9,766.60 105 $9,766.60 616 6" Sleeves for Gas Company LF 696 $ 17.20 $10,234.00 695 $10,234.00 616 4" Sleeves for Gas Conmany LF 140 $ 15.38 $2,163.20 140 $2,163.20 517 Si na a Installation LS 1 $ 4,573. $4,673.97 1 $4,573.97 SUBTOTAL ITEMS 501-617 ,$320 698.18 1 $320,698.18 Total Project 3,075,498.07 Total Construction Completed to Date $2,641,338.52 SERVICE COSTS, FEES, ENGINEERING 8, SURVEYING Item No. Description Unit Measure Estimated QuantityUnit Price Total Price QUANTITY COMPLETED TOTAL COST COMPLETED 601 Flathead Electric L.S. 1 $ 20b 466.00 $ 206 466.00 1007. $20b 466.00 602 Northwest EnergyL.S. 1 90 482.00 $ 90 482.00 100% $90 482.00 603 Centu el L.S. 1 $ 179 733.78 $ 179 733.78 100% $179 733.78 604 Engineering,Design L.S. 1 183 361.17 $ 183 361.17 100•h $183 351.17 605 Engineering, Construction L.S. 1 $ 91 676.59 $ 91 676.69 91% $83 424.79 SUBTOTAL ITEMS 601 - 605 $ 760 708.64 $742,467.74 TOTAL PROJECT BUDGET TOTAL ESTIMATED COST OF CONSTRUCTION AMOUNT COMPLETED PRIOR TO BONDING AMOUNT OF REMAINING WORK PRIOR TO BONDING AMOUNT OF BOND (125% OF REMAINING WORK) AMOUNT OF WORK COMPLETED TO DATE PERCENTAGE OF WORK COMPLETED TO DATE AMOUNT OF WORK REMAINING ORIGINAL BOND AMOUNT AMOUNT OF BOND TO BE RETAINED (126% OF REMAINING WORK) BOND AMOUNT TO BE RELEASED AMOUNT PREVIOUSLY RELEASED AMOUNT TO BE RELEASED AT THIS TIME $3,826,206.61 $ 3,826,206.61 $ 3,383,796.26 $ 442,410.36 ................................. ;...... 553,012.94 $ 3,383,796.26 88% $ 442,410.36 $ 663,012.94 $ 663,012.94 $0.00 $0.00 $0.00 AS PROJECT ENGINEER FOR THE SPRING CREEK ESTATES SUBDIVISION, 1 CERTIFY THAT THE WORK LISTED HEREIN IS CORRECT. IN ADDITION, 1 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: $ 3,383,796.26 THE TOTAL VALUE OF REMAINING WORK, SERVICES AND FEES IS ESTIMATED TO BE: $ 442,410.36 SECURITY HELD AT 126% OF THE REMAINING COSTS SHOULD BE IN THE AMOUNT OF: $ 563,012.94 THEREFORE, IT IS IN ACCORDANCE WITH THE SUBDIVISION IMPROVEMENTS AGREEMENT TO REDUCE THE TOTAL AMOUNT OF THE SECURITY HELD BY: $0.00 $3,383,796.26 BRETT W. WALL GOP No. 14872PE W BRETT WALCHECK, P.E. *ALL IMPROVEMENTS SHALL BE COMPLETED BY: 8/20/2008 GLACIER BANK IRREVOCABLE LETTER OF CREDIT Letter of Credit No. 1-07-304 Dated: February 13, 2007 Expiration Date: December 15, 2008 Amount: $553,012.94 City of Kalispell P. O. Box 1997 Kalispell, MT 59901 This Irrevocable Letter of Credit replaces Letter of Credit No.1-07-304 dated January 2007 in the amount of $457,387.94. We hereby establish in your favor an irrevocable Letter of Credit up to the aggregate amount of $553,012.94 at the request of Northstar Associates, LLC. If Northstar Associates, LLC fail to complete the specified improvements in the Subdivision off of Three Mile Drive within the time period set forth in the attached Subdivision Improvement Agreement, we will pay on demand your draft or drafts for such funds, to the limit of credit set forth herein, as are required to complete said improvements. All drafts must indicate the number and date of this Letter of Credit and be accompanied by a signed statement of an authorized official that the amount is drawn to install improvements not installed in conformance with the Improvements Agreement and specifying the default or defect in question. All drafts must be presented prior to the expiration date stated above, and this Letter of Credit must accompany the final draft for payment. This Letter may not be withdrawn or reduced in any amount prior to its expiration date except by your draft or written release. GLACIER BANK Jennifer Wheeler Assistant Vice President website: www.glacierbank.com email: glacier@glacierbank.com MEMBER FDIC AN EQUAL OPPORTUNITY LENDER City of Kalispell Planning Department 17 - 2nd Street East, Suite 211, Kalispell, Montana 59901 Telephone: (406) 751-1850 Fax: (406) 751-1858 Website: kalispellplanning.com February 26, 2007 James H. Patrick, City Manager City of Kalispell P.O. Drawer 1997 Kalispell, MT 59901 Re: Final Plat for Spring Creek Estates Dear Jim: This is a request for final plat approval of Spring Creek Estates, a 174 lot residential subdivision comprised of single-family lots on approximately 51 acres located on the south side of Three Mile Drive. The property can be described as Assessor's Tract 4C in the N 1/2 of Section 11, Township 28 North, Range 22 West, P.M.M., Flathead County, Montana. Preliminary plat approval for this subdivision was granted by the City Council on May 2, 2005. Approximately 88 percent of the improvements have been completed which includes the water, sewer, storm water drainage and street sub base work. It should be noted that a Subdivision Improvements Agreement (SIA) has been submitted with the final plat to address the completion of the remaining improvements. A total of $553,012.94 was submitted to cover the cost of the SIA which addresses 125 percent of the remaining work to be completed. COMPLIANCE WITH CONDITIONS OF APPROVAL: Condition No. 1. That the development of the site shall be in substantial compliance with the application submitted, the site plan, materials and other specifications as well as any additional conditions associated with the preliminary plat as approved by the city council. (Kalispell Subdivision Regulations, Appendix C - Final Plat) . • This condition is met. The final plat application is in substantial compliance with the approved preliminary plat. Condition No. 2. That the plans and specifications for all public infrastructure be designed and installed in accordance with the Kalispell Design and Construction Standards and a letter shall be obtained stating that they have been reviewed and approved by the Kalispell Public Works Department. (Kalispell Subdivision Regulations, Chapter 3, Design Standards, Section 3.01). • This condition is met. The Public Works Department has approved the plans and specifications for the public infrastructure in a letter to Brett Walcheck of 48 North Engineering dated November 4, 2005. Condition No. 3. An approach permit shall be obtained from the Montana Department of Transportation for the two access points onto three Mile Drive and that any needed improvements be accomplished prior to the submittal of the final plat after being reviewed and approved by the MDOT. (MDOT requirement) The Montana Department of Transportation (MDT) issued an approach permit for the two approaches onto Three Mile Drive on December 7, 2006. The necessary improvements have not been installed however the developer has provided MDT with a letter of credit to cover the improvement costs to Three Mile Drive. A letter from MDT dated February 22nd indicates the Department will still require the developer to secure a bond for the costs of improvements once the project is bid and a contractor is selected. The developer anticipates improvements to Three Mile Drive will be completed by October 1, 2007. Condition No. 4. That a minimum 20-foot buffer strip shall be established along Three Mile Drive between the road R/ W and the subdivision that would include a bike and pedestrian trail and buffering in the form of berming or landscaping or both. These improvements are to be coordinated with the Kalispell Public Works Department, Parks and Recreation Department, Flathead County Road Department and Montana Department of Transportation. • This condition is met. An 8-foot bike path is shown on the approved construction plans within the 20-foot buffer strip. The Parks and Recreation Department has approved a landscaping plan for the 20-foot buffer strip in a letter dated February 21, 2007. The developer has included funds in the SIA to complete the landscaping within the buffer area. Condition No. 5. That a letter be obtained from the Kalispell Parks and Recreation Director approving a landscape plan for the placement of trees and landscaping materials within the minimum five foot landscape boulevard developed between the curb and the sidewalk. (Kalispell Subdivision Regulations, Section 3.11). • This condition is met. A letter from the Parks and Recreation Director dated February 21, 2007, approves of the landscaping agreement for the boulevards. Condition No. 6. That the area designated on the plat as "park" shall satisfy in part the requirements for parkland dedication and shall be developed in accordance with a plan approved by the Kalispell Parks and Recreation Director that provides recreational amenities including but not limited to pedestrian access, irrigation, landscaping and play equipment so as to provide a recreational component within the development and not simply be left as passive open space. The improvements should equal the cash value of 1.493 acres or $29,860 based on a valuation of approximately $20,000 per acre. Remaining cash, if any, above this amount shall be given to the City of Kalispell as cash in lieu of parkland dedication. (Kalispell Subdivision Regulations, Section 3.19). • When the preliminary plat was approved the developer had proposed a park area in the northwest corner of the subdivision approximately 2.19 acres in size. After receiving preliminary plat approval in 2005, the developer hired an engineering firm to, among other infrastructure improvements, design a stormwater plan for the subdivision. The stormwater plan called for a retention basin in the northeast corner of the subdivision. The Preliminary plat showed 6 lots in this corner. Instead of losing the lots the developer moved the parkland to this new location. The Parks and Recreation Department recommends Council consider the new park location as an appropriate area to meet the needs for parkland on the subdivision site. The proposed parkland area in the northeast corner is slightly smaller than the parkland shown on the preliminary plat, approximately 1.8 acres, a difference of 0.39 of an acre or 16,988 square feet. The difference would be made up as part of the cash in lieu payment for improvements to the 1.8 acre parkland. The cash in lieu improvements would total $40,000 and have been included in the SIA for the subdivision. The Parks and Recreation Department has reviewed and approved a parks plan for the 1.8 acre park and are satisfied with the plan and $40,000 towards the improvements. Condition No. 7. The following requirements shall be met per the Kalispell Fire Department: Kalispell Subdivision Regulations, Section 3.20). a. Water mains designed to provide minimum fire flows shall be installed per City specifications at approved locations. Minimum fire flows shall be in accordance with the International Fire Code (2003) Appendix B. b. Fire hydrants shall be provided per City specifications at locations approved by this department, prior to combustible construction. C. Fire Department access shall be provided in accordance with International Fire Code (2003) Section 503. d. Due to project phasing it should be noted that hazardous weed abatement shall be provided in accordance with City of Kalispell Ordinance 10-8. e. It is recommended that consideration be given to annexation of Three Mile Drive and Farm to Market Road adjacent to the public right-of-way. • The water lines, hydrant locations and fire access have been reviewed by the Kalispell Fire Department. A letter from F. Ray Ruffatto, Fire Inspector, dated February 2, 2007 approves of the final plat request. Condition No. S. The roads within the subdivision shall be named and signed in accordance with the policies of the Kalispell Public Works Department and the Uniform Traffic Control Devices Manual and be subject to review and approval of the Kalispell Fire Department. A letter shall be obtained from the Kalispell Public Works Department stating the naming and addressing on the final plat have been reviewed and approved (Kalispell Subdivision Regulations, Section 3.09). • This condition is met. The roads are signed in accordance with the Kalispell Public Works Department and Uniform Traffic Control Devices Manual. A letter from Fred Zavodny, Kalispell Public Works Department, dated December 14, 2006 states that he has reviewed and approved of the road names and addressing on the final plat. Condition No. 9. Alleys shall be paved and designed with a center line crown and in no event will alleys be constructed with an inverted centerline as this concentrates drainage down the center of the alley and leads to early surface failure. (Public Works) • This condition is met. The Public Works Department has approved the plans and specifications for the public infrastructure in a letter to Brett Walcheck of 48 North Engineering dated November 4, 2005. Condition No. 10. Once completed in accordance with plans and specifications reviewed and approved by the Kalispell Public Works Department, the alleys in the subdivision shall be owned and maintained by the City of Kalispell. (Kalispell Planning Board) • This condition is met. The final plat has located the alleys within a separate right-of-way outside of individual lots. Condition No. 11. A note be placed on the plat and in the covenants that requires access from the alleys for those lots that have alley access and there will be no curb cuts or access from the street for those lots with alleys. • This condition is met. The note is shown on the face of the final plat. Condition No. 12. All existing and proposed easements shall be indicated on the face of the final plat. Utility easements for City water and sewer shall be provided to allow for the logical extension of utilities from this subdivision to adjoining properties. A five foot utility easement be placed behind the right-of-way along all lots to allow for the placement of utilities minus City sewer and water. The placement of utilities should be coordinated with the respective utility companies prior to construction. A letter from the Kalispell Public Works Department shall be obtained stating that the required easements are being shown on the final plat. (Kalispell Public Works Department). • This condition is met. The required easements are shown on the final plat and have been reviewed and approved by the Public Works Department per their letter dated November 4, 2005. Condition No. 13. After the construction and installation of utilities are completed, the developer shall insure that all property corners are replaced by a licensed surveyor that might have been disturbed during construction. In locations where there is a conflict such as an electrical pad, an offset marketer shall be placed and recorded on the final plat. (Kalispell Public Works Department). • A delayed staking certificate stating that the pins will be set by August 1, 2007 is on the face of the final plat. Condition No. 14. Lots within the subdivision on the final plat shall be consecutively numbered from 1 - 174 to assist in describing and locating lots. (Public Works Department) 0 This condition is met. The lots have been numbered consecutively. Condition No. 15. The developer shall provide a letter from the U.S. Postal Service approving the plan for mail service. The developer shall be responsible for developing the mail service program according to the approved plans. (Kalispell Subdivision Regulations, Section 3.22). • A letter from the U.S. Postal Service dated December 12, 2006 approves of the proposed mail location for the subdivision. The Central Box Units noted in the letter have been included in the Subdivision Improvement Agreement. Condition No. 16. Street lighting shall be located within the subdivision and shall be shielded so that it does not intrude unnecessarily onto adjoining properties. (Kalispell Subdivision Regulations Section 3.09(L)). • Street lighting will be installed by Flathead Electric which uses street lights that are shielded so that light does not intrude unnecessarily onto adjoining properties. The SIA for the subdivision includes the placement of street lights. Condition No. 17. All utilities shall be installed underground with the Public Works Department coordinating with the local utility companies in an effort to place the new utility installations in the alley. (Kalispell Subdivision Regulations, Section 3.17). All utilities have been installed underground. Condition No. 18. That a minimum of two-thirds of the necessary infrastructure for this subdivision or each successive phase shall be completed prior to final plat submittal. Approximately 88% of the necessary infrastructure has been completed for the subdivision as stated in the SIA and signed by Brett Walcheck, P.E. of 48 North Engineering. The remaining infrastructure is covered by the Subdivision Improvement Agreement. Condition No. 19. All areas disturbed during development of the subdivision shall be re -vegetated with a weed -free mix immediately after development. • This condition is met. Condition No. 20. A note shall be placed on the face of the final plat which waives protest to the creation of any special improvement districts for upgrade of roads in the area to City standards which are impacted by this subdivision. • This condition is met. The waiver appears on the face of the final plat. Condition No. 21. A minimum ten foot buffer shall be provided between the lots in the southeast corner of the subdivision and the lots in Aspen Knoll in the form of berming, fencing, landscaping, or a combination thereof to be coordinated with the Public Works Department, the Parks and Recreation Department, and the adjoining property owners. • This condition is met. The 10-foot landscape buffer is shown on the final plat and the Parks and Recreation Department has approved of the fencing to be used for the screening in their February 21st letter. The fencing will consist of a 6-foot vinyl fence with concrete rock faced pillars. The cost for the fencing has been included in the SIA for the subdivision. The property owner immediately south has agreed to the fencing with the stipulation that the pillars be decorative, which has been included in the approved fencing plan by the Parks Department. Condition No. 22. That preliminary plat approval shall be valid for a period of three years from the date of approval with an automatic two year extension as each phase of the subdivision plat has been completed and filed if the subdivision is phased. (Kalispell Subdivision Regulations, Section 2.04). • This condition is met. If approved, the final plat will be filed prior to the three year deadline of May 2, 2008. COMPLIANCE WITH APPROVED PRELI IINARY PLAT The final plat is in substantial compliance with the preliminary plat which was submitted and approved. COMPLIANCE WITH THE SUBDIVISION REGULATIONS: This subdivision plat has been found to be in substantial compliance with the State and City Subdivision Regulations. COMPLIANCE WITH THE ZONING REGULATIONS This subdivision complies with the Kalispell Zoning Ordinance and the R-3 zoning designation. RECOMMENDATION: All of the conditions of preliminary plat approval have been adequately addressed. The staff recommends that the Kalispell City Council approve the final plat for this subdivision. Please note that the Subdivision Improvements Agreement should be accepted along with the final plat approval. Please schedule this matter for the March 5, 2007 city council agenda if possible. You may call me at 751-1850 if I can be of assistance to you regarding this matter. Sincerely, Sean Conrad Senior Planner SC Attachments: 1 opaque Mylar of final plat 1 reproducible Mylar of final plat 1 blueline of final plat 11 x 17" copy of plat Letter from Marquardt and Marquardt Surveying, Inc. dated 1/18/07 Final plat application dated 1 / 16 / 07 Letters from MDEQ dated 11/17/05 and 11/18/05 Letters from Kalispell Public Works dated 11 / 4 / 05, 12 / 14 / 06 and 1/8/07 Letter from Kalispell Fire Department dated 2/2/07 Letter from Parks and Rec dated 2/21 /07 Letter from MDOT dated 2 / 22 / 07 MDOT Highway Approach Permit dated 12/7/06 Letter from USPS dated 12/ 12/06 Email from neighboring property owner (Pati Heath) dated 2 / 5 / 07 Subdivision Improvements Agreement dated 2/20/07 Glacier Bank letter of credit dated 2 / 13 / 07 Treasurer's certification dated 1/ 16/07 Title report # 185107-CT dated 2/ 15/07 Consent to Plat letter from Glacier Bank of Kalispell dated 1/25/06 c: Northstar Associates, 2239 Lower Valley Road, Kalispell, MT 59901 Marquardt and Marquardt Surveying Inc., 285 let Avenue E.N., Kalispell MT 59901 Narda Wilson, AICP, Land Use Planning and Consulting, 184 Midway Drive, Columbia Falls, MT 59912 Theresa White, Kalispell City Clerk 2851 st AVE. E.N. KALISPELL, MONTANA 59901 (406) 755-6285 Fax (406) 755-3055 January 18, 2007 City of Kalispell Planning Department 17 Second St. East Suite 211 Kalispell, MT 59901 Re: Spring Creek Estates, Section 11, Township 28 North, Range 22 West, P.M., M., Flathead County, Montana. Enclosed is the Final Plat application for Spring Creek Estates. Preliminary plat approval was granted on May 2, 2005. The conditions of approval have been met as follows: 1. That the development of the site shall be in substantial compliance with the application submitted, the site plan, materials and other specifications as wells as any additional conditions associated with the preliminary plat as approved by the city council. (Kalispell Subdivision Regulations, Appendix C — Final Plat). The subdivision is in conformance with the approved preliminary plat as approved by the city council. 2. That the plans and specifications for all public infrastructure be designed and installed in accordance with the Kalispell Design and Construction Standards and a letter shall be obtained stating that they have been reviewed and approved by the Kalispell Public Works Department. (Kalispell Subdivision Regulations, Chapter 3, Design Standards, Section 3.01). Plans and specifications were designed and will be installed per the Kalispell Design and Construction Standards. Please see attached approval letter dated November 4, 2005 from the Kalispell Public Works Department. 3. An approach permit shall be obtained from the Montana Department Of Transportation for the two access points onto Three Mile Drive and that any needed improvements be accomplished prior to the submittal of the final plat after being reviewed and approved by the MDOT. (MDOT requirement) A copy of the approach permit is enclosed. 4. That a minimum 20-foot buffer strip shall be established along Three Mile Drive between the road R/W and the subdivision that would include a bike and pedestrian trail and buffering in the form of berming or landscaping or both. These improvements are to be coordinated with the Kalispell Public Works Department, Parks and Recreation Department, Flathead County Road Department and Montana Department of Transportation. The buffer strip is shown on the face of the final plat. The bike and pedestrian trail and buffering are delineated in the construction plan approved by Kalispell Public Works Department letter dated November 4, 2005. 5. That a letter be obtained from the Kalispell Parks and Recreation Director approving a landscape plan for the placement of trees and landscaping materials within the minimum five-foot landscape boulevard developed between the curb and the sidewalk. (Kalispell Subdivision Regulations, Section 3.11). The developer is working with Mike Baker, Director of the Kalispell Parks and Recreation Department, to finalize the park plan. The plan has been submitted to the City of Kalispell. 6. That the area designated on the plat as "park" shall satisfy in part the requirements for parkland dedication and shall be developed in accordance with a plan approved by the Kalispell Parks and Recreation Director that provides recreational amenities including but not limited to pedestrian access, irrigation, landscaping and play equipment so as to provide a recreational component within the development and not simply left as passive open space. The improvements should equal the cash value of 1.493 acres or $29,860 based on the valuation of approximately $20,000 per acres. Remaining cash, if any, above this amount shall be given to the City of Kalispell as cash in lieu of parkland dedication. (Kalispell Subdivision Regulations, Section 3.19). The developer is working with Mike Baker, Director of the Kalispell Parks and Recreation Department, to be in compliance with this condition. 7. The following requirements shall be met per the Kalispell Fire Department: Kalispell Subdivision Regulations, Section 3.20). a. Water mains designed to provide minimum fire flows shall be installed per City specifications at approved locations. Minimum fire flows shall be in accordance with the International Fire Code (2003) Appendix B. b. Fire hydrants shall be provided per City specifications at locations approved by this department, prior to combustible construction. c. Fire Department access shall be provided in accordance with International Fire Code (2003) Section 503. d. Due to project phasing it should be noted that hazardous weed abatement shall be provided in accordance with City of Kalispell Ordinance 10-8. e. It is recommended that consideration be given to annexation of Three Mile Drive and Farm to Market Road adjacent to the public right-of-way. The plans have been reviewed by the Kalispell Fire Department. All modifications have been addressed as a condition of the Kalispell Public Work Department approval letter Dated November 4, 2005. 8. The roads within the subdivision shall be named and signed in accordance with the policies of the Kalispell Public Works Department and the Uniform Traffic Control Devices Manual and be subject to review and approval of the Kalispell Fire Department. A letter shall be obtained from the Kalispell Public Works Department stating the naming and addressing on the final plat have been reviewed and approved (Kalispell Subdivision Regulations, Section 3.09) See the enclosed letter obtained from Kalispell Public Works Department approving the road names and addresses. 9. Alleys shall be paved and designed with a center line crown and in no event will alleys be constructed with an inverted centerline as this concentrates drainage down the center of the alley and leads to early surface failure. (Public Works) The plans have been approved by the Kalispell Public Works Department. 10. Once completed in accordance with plans and specifications reviewed and approved by the Kalispell Public Works Department, the alleys in the subdivision shall be owned and maintained by the City of Kalispell. (Kalispell Planning Board The dedication is on the face of the final plat. 11. A note be placed on the plat and in the covenants that requires access from the alleys for those lots that have alley access and there will be no curb cuts or access from the street for those lots with alleys. The note has been placed on the face of the final plat. 12. All existing and proposed easements shall be indicated on the face of the final plat. Utility easements for City water and sewer shall be provided to allow for the logical extension of utilities from this subdivision to adjoining properties. A five- foot utility easement be placed behind the right-of-way along all lots to allow for the placement of utilities minus City sewer and water. The placement of utilities should be coordinated with the respective utility companies prior to construction. A letter from the Kalispell Public Works Department shall be obtained stating that the required easements are being shown on the final plat. (Kalispell Public. Works Department). The easements are shown on the face of the final plat. 13. After the construction and installation of utilities are completed, the developer shall insure that all property corners are replaced by a licensed surveyor that might have been disturbed during construction. In locations where there is a conflict such as an electrical pad, an offset marketer shall be placed and recorded on the final plat. (Kalispell Public Works). A delayed staking certificate stating that the pins will be set by July 31, 2007 is on the face of the plat. 14. Lots within the subdivision on the final plat shall be consecutively numbered from 1-174 to assist in describing and locating lots. (Public Works Department) The lots are numbered consecutively. 15. The developer shall provide a letter from the U.S. Postal Service approving the plan for mail service. The developer shall be responsible for developing the mail service program according to the approved plans. (Kalispell Subdivision Regulations, Section 3.22) The letter is enclosed. 16. Street lighting shall be located within the subdivision and shall be shielded so that it does not intrude unnecessarily onto adjoining properties. (Kalispell Subdivision Regulations Section 3.09(L)) Street lighting was designed by Flathead Electric Cooperative, which worked in conjunction with the City of Kalispell for light pole location and standards. 17. All utilities shall be installed underground with the Public Works Department coordinating with the local utility companies in an effort to place the new utility installations in the alley.. (Kalispell Subdivision Regulations, Section 3.17). All utilities have been or will be placed underground in the alley and have been coordinated with the Public Works Department and local utility companies. 18. That a minimum of two-thirds of the necessary infrastructure for this subdivision or each successive phase shall be completed prior to final plat submittal. A letter from Kalispell Public Works is enclosed approving the SIA. 19. All areas disturbed during development of the subdivision shall be re -vegetated with a weed -free mix immediately after development. Upon final completion of the development all disturbed areas will be revegetated. 20. A note shall be placed on the face of the final plat which waives protest to the creation of any special improvement district for upgrade of roads in the area to City standards which are impacted by this subdivision. The note has been placed on the face of the final plat. 21. A minimum ten -foot buffer shall be provided between the lots in the southeast corner of the subdivision and the lots in Aspen Knoll in the form of berming, fencing, landscaping, or a combination thereof to be coordinated with the Public Works Department, the Parks and Recreation Department, and the adjoining property owners. The easement is shown on the face of the final plat. 22. That preliminary plat approval shall be valid for a period of three years from the date of approval with an automatic two-year extension as each phase of the subdivision plat has been completed and filed if the subdivision is phased. (Kalispell Subdivision Regulations, Section 2.04). The plat is being submitted within three years from the date of approval. 1f you have any question please do not hesitate to call our office. Sincerely, I Debbie Shoemaker Marquardt & Marquardt Surveying Encl. Al R, Via, n' City of Kalispell Planning Department D CC0t`1E 007 17 - 2"d Street East, Suite 211, Kalispell, Montana 591AkISPELL PCANNdNG DEPARTMENT Telephone: (406) 751-1850 Fax: (406) 751-1858 FINAL PLAT APPLICATION Project /Subdivision N Contact Person: Name: M ar!�tAr,FAk �rYh�ar4�csr��' �vc Address: Y x' 's 1,701 Phone No.: 755' �. Owner( & Mailing Address: n .;1 2V_A L. oak VcA,� 11 ►�: fi- 5-yi 7 �/ Date of Preliminary Plat Approval: c5' Type of Subdivision: Residential _Industrial Commercial PUD Other Total Number of Lots in Subdivision — Land in Project (acres) _,.' Parkland (acres) Cash -in -Lieu $ Exempt No. of Lots by Type: Single Family _ t ! t Townhouse Mobile Home Park Duplex �T Apartment Recreational Vehicle Park Commercial Industrial Planned Unit Development Condominium Multi -Family Other Legal Description of the Property \ 'C a.c� i 1 `C i /t ci< U % o 1 FILING FEE ATTACHED $ � �J C� l 7 0" Minor Subdivision with approved preliminary plat $400 + $105/lot Major Subdivision with approved preliminary plat $650 + $105/lot Subdivisions with Waiver of Preliminary Plat $600 + $105/lot Subdivision Improvements Agreement $ 50 1 Attached Not Applicable (MUST CHECK ONE) Health Department Certification (Original) _ Title Report (Original, not more than 90 days old) Tax Certification (Property taxes must be paid) ►� Consent(s) to Plat (Originals and notarized) Subdivision Improvements Agreement (Attach collateral) Parkland Cash -in -Lieu (Check attached) Maintenance Agreement Plats: 1 opaque OR 2 mylars 1 mylar copy 1 signed blueline 4 bluelines 4 bluelines, unsigned 11X17 Copy 11X17 Copy **The plat must be signed by all owners of record, the surveyor and the examining land surveyor. Attach a letter, which lists each condition of preliminary plat approval, and individually state how each condition has specifically been met. In cases where documentation is required, such as an engineer's certification, State Department of Health certification, etc., original letters shall be submitted. Blanket statements stating, for example, "all improvements are in place" are not acceptable. A complete final plat application must be submitted no less than 60 days prior to expiration date of the preliminary plat. When all application materials are submitted to the Kalispell Planning Department, and the staff finds the application is complete, the staff will submit a report to the governing body. The governing body must act within 30 days of receipt of the revised preliminary plat application and staff report. Incomplete submittals will not be accepted and will not be forwarded to the governing body for approval. Changes to the approved preliminary plat may necessitate reconsideration by the planning board. I certify that all information submitted is true, accurate and complete. I understand that incomplete information will not be accepted and that false information will delay the application and may invalidate any approval. The signing of this application signifies approval for Kalispell Planning staff to be present on the property for routine monitoring and inspection during the approval and development process. **N Pleas e advised that the County Clerk & Recorder requests that all subdivision 1 plat ap lic o mpanied h a digital copy. t Owner(s) Signatu e D to **A digital copy of the final plat in a Drawing Interchange File (DXF) format or an AutoCAD file format, consisting of the following layers: 1. Exterior boundary of subdivision 2. Lot or park boundaries 3. Easements 4. Roads or rights -of -way 5. A tie to either an existing subdivision corner or a corner of the public land survey system 2 Montana Department of ENwRONMENTAL QUALITY Brian Schweitzer, Governor P.O. Box 200901 Helena, MT 59620-0901 (406) 444-2544 www.deq.mt.gov November 17, 2005 Brett Walcheck 48 North PC PO Box 651 Whitefish MT 59937 Dear Mr Walcheck: RE: Spring Creek Estates Subdivision Municipal Facilities Exclusion EQ#06-1859 City of Kalispell Flathead County This is to certify that the information and fees received by the Department of Environmental Quality relating to this subdivision are in compliance with 76-4-127, MCA and ARM 17.36.602. Under 76-4-125(2)(d), MCA, this subdivision is not subject to review, and the plat can be filed with the county clerk and recorder. Plans and specifications must be submitted when extensions of municipal facilities for the supply of water or disposal of sewage are proposed 176-4-111 (3), MCA}. Construction of water or sewer extensions prior to DEQ, Public Water Supply Section's approval is prohibited, and is subject to penalty as prescribed in Title 75, Chapter 6 and Title 76, Chapter 4. This file has been mailed to the Public Water Supply Section, Kalispell Office for their review. Sincerely, Janet Skaarland Compliance Specialist Subdivision Section (406) 444-1801— email iiskaarland cumt. cc: City Engineer County Sanitarian file Enforcement Division • Permitting & Compliance Division • Planning, Prevention & Assistance Division • Remediation Division Montana Department of ENWRONMENTALQUALITY Brian Schweitzer, Governor 109 Cooperative Way • Suite 105 • Kalispell, MT 59901-2389 • (406) 755-8985 • FAX (406) 755-8977 Brett W. Walcheck, P.E. November 18, 2005 48d" North, P.C. P.O. Box 651 Whitefish, MT 59937 RE: Spring Creek Estates Water & Sewer Extensions; EQ#06-1859. Dear Mr. Walcheck: Plans and specifications for the above -referenced project have been reviewed by personnel with the Permitting & Compliance Division utilizing the certified checklist procedure. The plans and specifications are hereby approved. One set of plans and specifications bearing the approval stamp of the Department of Environmental Quality is enclosed. Approval is based on plans and specifications received November 18, 2005 under the seal of: Brett W. Walcheck, P.E.# 14872PE. Approval is also given with the understanding that any deviation from the approved plans and specifications will be submitted to the Department for reappraisal and approval. Within 90 days after the project has been completed the project engineer shall certify to the Department that the project was inspected and found to be installed in accordance with the plans and specifications approved by the Department. This certification shall be accompanied by a set of "as -built" record drawings signed by the project engineer. It is further understood that construction will be completed within three years of this date. If more than three years elapse before completing construction, plans and specifications must be resubmitted and approved before construction begins. This three-year expiration period does not extend any compliance schedule requirements pursuant to a Department enforcement action against a public water or sewage system. Please be aware that this project may need a storm water general permit. Please contact the Water Protection Bureau at 406-444-3080 for more information. Sincerely J after u er, P.E. Environmental Engineer PE Public Water Supply Section Public Water Supply and Subdivisions Bureau cc: City of Kalispell, PAT Flathead County Sanitarian File Centralized Services Division • Enforcement Division • Permitting & Compliance Division • Planning, Prevention & Assistance Division • Remediation Division MR Y City of Kalispell Public Works Department rq Post Office Box 1997, Kalispell, Montana 59903-1997 - Telephone (406)758-7720, Fax (406)758-7831 November 4, 2005 48 North, P.C. P.O. Box 651 Whitefish, Montana 59937 Attention: Brett Walcheck, P.E. Re: Spring Creek Estates Kalispell, Montana Dear Brett: The construction plans and supporting documents for the referenced project are hereby approved with the following comments: The name of the southern road, Harding Drive, will need to be coordinated with Aspen Creek Estates and Bowser Creek Estates to the east. Fred Zavodny is coordinating this. Sidewalk crossings need to be provided at all intersections to allow for the orderly flow of pedestrian traffic. This includes the "tee" intersections. The plans show adequate crossings for the four way intersections. Stop sidewalks at bike path along Three Mile Drive at both Heaven's Peak Drive and Camp Crook Avenue. The 8" storm sewer design for Oley Ave between STA 9+80 and 8+73; Alley #3 between Oley and Camp Crook Ave; and Camp Crook Ave between STA 3+14 and 6+13; and Camp Creek Avenue from CB-C6 to CB-C7 show a slope of 0.40%. An 8 inch storm should provide at least 0.52% to provide a minimum of 2.5 fps velocity. The 12" storm sewer design for Camp Crook Ave shows a sloe of 0.22% above STA 5+95. A 12-inch storm should provide at least 0.30% slope to provide a minimum of 2.5 fps velocity. The fire department has requested that a 5" Storz adapter shall be placed on the pumper outlet of each fire hydrant for all future projects. Edit drawings to change `PROPOSED CL GROUND' to `PROPOSED CL PAVEMENT' if that is what is intended. Verify that the boulder fill in the retention/detention basin will be at or above 3010 elevation. Use City of Kalispell Standard Drawing SD-15 for the sign details. Delete sand as an optional base under sidewalks. Attached is your copy of the letter of approval sent to the Flathead City -County Health Department. We look forward to working with you on this project. Approval does not relieve you from compliance with the standards currently in effect. Sinc ely, Frank Castles, P.E. Assistant City Engineer Attachment: As Stated City of Kalispell Public Works Department Post Office Box 1997, Kalispell, Montana 59903-1997 - Telephone (406)758-7720, Fax (406)758-7831 SAY I�'�r December 14, 2006 Marquardt & Marquardt Surveying, Inc. 285 First Ave. EN Kalispell, MT 59901 Re: Spring Creek Estates Marquardt Surveying: I have reviewed the plat for the Spring Creek Estates subdivision and find all addresses and road names to be correct. Sincerely, Fred 4n)Kalispell Puic Works City of Kalispell Public Works Department Post Office Box 1997, Kalispell, Montana 59903-1997 - Telephone (406)758-7720, Fax (406)758-7831 ,I January�/,2007 Brett Walcheck, P.E. 48 North, P.C. Civil Engineering Services 151 Business Center Loop, Suite A Kalispell, Montana 59901 Re: Spring Creek Estates Kalispell, Montana A-112 O The City of Kalispell Public Works Department hereby approves the existing, completed improvements except those listed in the Subdivision Improvement Agreement, Exhibit "B", for the referenced subdivision. Approval by the City of Kalispell for the City owned and maintained improvements is granted based on the following: 1. 48 North P.C.'s letter certifying that the improvements within the referenced subdivision have been inspected and installed in accordance with the City of Kalispell standards and the approved plans and specifications. 2. Our video records of the sanitary sewer system. 3. Receipt of a Subdivision Improvement Agreement which contains the total estimated construction costs plus 25 percent covering the estimated costs for the remaining construction. The Subdivision Improvement Agreement is certified by Brett W. Walcheck, P.E., to being an accurate accounting of anticipated costs for the remaining improvements. The two year warranty period for the City owned and maintained existing, completed improvements will commence at the completion of the Subdivision Improvement Agreement. If you have any questions, please do not hesitate to contact this office. SinIlly, rank Castles, P.E. Assistant City Engineer Cc: Sean Conrad, Senior Planner Kalispell Planning Office KALISPELL FIRE DEPARTMENT 312 First Avenue East Randy Brodehl — Fire Chief Kalispell, Montana 59901 Dan Diehl — Assistant ChielYOperations (406) 758-7760 FAX: (406) 758-7952 February 2, 2007 48 North P.C. Attn: Brett Walcheck P.O. Box 651 Whitefish, MT 59937 RE: Final plat approval — Spring Creek Estates Dear Mr. Walcheck, In response to your request for approval of the above -referenced project, our department approves final plat for Spring Creek Estates, with the following information and conditions. • Fire hydrant locations are approved by this department. • Fire flow testing will be conducted by this department prior to combustible construction. • Fire department access (all-weather surface) will be verified by this department prior to combustible construction. • Street name signs are required to be installed prior to combustible construction. Please contact me if you have any questions. Sincerely, F. Ray Ruffatto Fire Inspector xc: Tom Jentz, Kalispell Planning Office Frank Castles, Kalispell Public Works "Assisting our community in reducing, preventing, and mitigating emergencies. " y. City of Kalispell Post Office Box 1997 - Kalispell, Montana 59903-1997 - Telephone (406) 758 -7000 Fax - (406) 758 - 7758 February 21, 2007 Sean Conrad Senior Planner City of Kalispell Planning Department 17 - 2nd Street East, Suite 211, Kalispell, Montana 59901 Re: Final Plat application for Spring Creek Estates Dear Sean: Narda Wilson and I met today regarding her response on behalf of her client Tim Birk's (Northstar Associates) plan for meeting landscaping final plat requirements for Spring Creek Estates, as outlined in your letter dated January 26, 2007. Enclosed you will find a copy of Ms. Wilson's letter identifying specifics for the boulevard landscaping, bike trail landscaping and development of the approximately two - acre homeowners park. I can approve the portion of the application pertaining to landscaping requirements based on the following responses to the conditions set forth in your letter. Condition 4. That a minimum 20 foot buffer strip shall be established between Three Mile Drive and the subdivision that would include a bike and pedestrian trail and buffering in the form of terming or landscaping or both. These improvements are to be coordinated with the Kalispell Public Works Department, Parks and Recreation Department, Flathead County Road Department and Montana Department of Transportation. The constriction plans submitted to the Public Works Department indicate an 8-foot wide bike and pedestrian trail within the 20 foot buffer strip however no provisions were included with regard to berming or landscaping within the buffer strip. Please provide a cross section of the 20 foot buffer strip including the terming and/or landscaping to be provided along the buffer strip. The cross section plan will need to be reviewed and approved by the Kalispell Public Works Department and Parks and Recreation Department. The berming and/ or landscaping will need to be installed or included in the Subdivision Improvement Agreement prior to final plat approval. The Parks Department can accept the proposed buffer strip as indicated on the schematic and landscaping design provided the developer identify plant materials to be used and maintenance responsibilities. Condition S. That a letter be obtained from the Kalispell Parks and Recreation Director approving a landscape plan for the placement of trees and landscaping materials within the minimum five foot landscape boulevard developed between the curb and the sidewalk. (Kalispell Subdivision Regulations, Section 3.11). • Please provide a letter from the Kalispell Parks and Recreation Director approving a landscape plan for the placement of trees and landscaping materials within the boulevards. The landscaping plan is acceptable and planting was started in fall 2006. The plan has been accepted as directed to meet city specifications. Condition 6. That the area designated on the plat as "park" shall satisfy in part the requirements for parkland dedication and shall be developed in accordance with a plan approved by the Kalispell Parks and Recreation Director that provides recreational amenities including but not limited to pedestrian access, irrigation, landscaping and play equipment so as to provide a recreational component within the development and not simply be left as passive open space. The improvements should equal the cash value of 1.493 acres or $29, 860 based on a valuation of approximately $20, 000 per acre. Remaining cash, if any, above this amount shall be given to the City of Kalispell as cash in lieu of parkland dedication. (Kalispell Subdivision Regulations, Section 3.19). The approved preliminary plat shows a park in the northwest corner of the subdivision approximately 2.19 acres in size. The final plat shows a park in the northeast corner approximately 1.8 acres in size. This deviation from the condition above constitutes a significant deviation from the approved preliminary plat layout and park condition cited above. If you choose to keep the parkland location shown on the final plat, pursuant to section 2.09(F)(4)(b) of the Kalispell Subdivision Regulations, in order to obtain final plat approval condition 6 will need to be amended The amendment process includes a hearing before the planning board. The planning board will make a recommendation based on input from city staff to the City Council. The City Council will approve or deny any proposed changes to the condition. This process will take approximately 60-90 days. An alternative would be to dedicate 2.19 acres of parkland either in the northwest corner of the subdivision as shown on the preliminary plat or locate the 2.19 acre parkland on a portion of one of the interior blocks of the subdivision. The exact location would need to be approved by the Parks and Recreation Department. The developer agrees to your condition #6 regarding the improvements in the amount of $29,869. The difference between the approved preliminary plat is a 2.19 acre park located in the NW corner and the final plat application identifies a 1.8 acre in the NE corner. The developer is proposing that the .39 acre difference be made up in cash improvements that total a value of $40,000 for the entire park. In addition, the easement along east boundary of the park will need to be included with a condition of the lands to be maintained with the park. Condition 21. A minimum ten foot buffer shall be provided between the lots in the southeast corner of the subdivision and the lots in Aspen Knoll in the form of berming, fencing, landscaping, or a combination thereof to be coordinated with the Public Works Department, the Parks and Recreation Department, and the adjoining property owners. • In the final plat application no letters were provided regarding a plan for the ten foot buffer along the southeast corner of the subdivision. Please provide an approved screening plan along with approval letters of the plan from the appropriate departments and property owners listed in the condition above. The approved screening plan will need to be installed or included in the Subdivision Improvement Agreement prior to final plat. A proposed 6' high vinyl fence with concrete rock faced pilings has been approved by the adjoining landowners and the parks department as fulfilling the requested screening requirements. If you have any questions or concerns with any of the conditions, please do not hesitate to give me a call at 758-7715. Respectfully, Michael er. Director Cc: Narda Wilson, AICP 184 Midway Drive Columbia Falls, MT 59912 Enc: Attachment 1 I!l993y;;u: Montana Depadment of 7raWo_ rtation_ Jim Lynch, Director rvayyouw"nP.�r.� Kalispell Area Office Brian Schweitzer, Governor 85 Fifth Avenue East North PO Box 7308 Kalispell, MT 59904-0308 February 22, 2007 Sean Conrad City of Kalispell - Planning P.O. Box 1997 312 1 st Avenue East Kalispell, MT 59901 Subject: Mountain Vista / Spring Creek Estates Sean, Attached are copies of a couple of letters, one from Tim Birk and one from Glacier Bank. The letter of credit is submitted to assure the City that the developer has adequate funds to complete the improvements required. MDT will still require the developer to secure a bond for cost of the improvements once the project is bid and a contractor is selected. Hopefully this will provide you the information you need so Mr. Birk can continue on toward the successful completion of his development. StephER4VHerzog, P.E. Kalispell Area Maintenance Engineer copies: Area File Phone: (406) 751-2000 An Equal Opportunity Employer TTY: (800) 335-7592 Fax: (406) 752-5767 Web Page: www.mdt.rnt.gov Northstar Associates 2239 Lower Valley Road Kalispell, MT 59901 (406) 257-3141 February 14, 2007 Stephen Herzog, Area Maintenance Chief Montana Department of Transportation P.O. Box 7308 Kalispell, MT 59904 Re: Improvements to Spring Creek Estates / Mtn. Vista Subdivision Approaches Dear Steve: Attached with this letter is an engineer's estimate prepared by Robert Peccia & Associates for the improvements within the State right-of-way along Three Mile Drive associated with the above referenced subdivisions. Along with the estimate is a letter of credit from Glacier Bank that covers the full cost of the improvements with an anticipated completion date of October 1, 2007. As you are aware, one of the conditions of approval from the City of Kalispell associated with these subdivisions is that the conditions and improvements required by MDOT for the approaches to the subdivisions have been met to the satisfaction of the MDOT. With these documents it is my understanding that the conditions of approval for the approach permit and associated improvements have been adequately addressed. Thank you for assistance in this matter. Tun Birk Northstar Associates c: City of Kalispell Planning Department 01C 241.4,0o. pro J�i� IRREVOCABLE LETTER OF CREDIT Letter of Credit No. 1-07-306 Dated: February 13, 2007 Expiration Date: September 1, 2008 Amount: $358,698.23 Montana Department of Transportation Attn: Steve Herzog 2701 Prospect Ave P.O. Box 201001 Helena, MT 59620-1001 We hereby establish in your favor an irrevocable Letter of Credit up to the aggregate amount of $358,698.23 at the request of Northstar Associates LLC. If Northstar Associates, LLC fail to complete the specified improvements in the Subdivision off of Three Mile Drive within the time period set forth in the attached Subdivision Improvement Agreement, we will pay on demand your draft or drafts for such funds, to the limit of credit set forth herein, as are required to complete said improvements. All drafts must indicate the number and date of this Letter of Credit and be accompanied by a signed statement of an authorized official that the amount is drawn to install improvements not installed in conformance with the Improvements Agreement and specifying the default or defect in question. All drafts must be presented prior to the expiration date stated above, and this Letter of Credit must accompany the final draft for payment. This Letter may not be withdrawn or reduced in any amount prior to its expiration date except by your draft or written release. GLACIER BANK Jennifer Wheeler Assistant Vice President 1. -k v 100 website: www.glacierbank.com email: glacier@glacierbank.com MEMBER FDIC AN EQUAL OPPORTUNITY LENDER STATE OF MONTANA— DEPARTMENT OF TRANSPORTATION HELENA, MONTANA 59620-1001 DRIVEWAY APPROACH APPLICATION AND PERMIT APPLICANT (Property Owner) Name: Surinu Creek Subdivision Phone: 250-8729 Address: 2239 Lower Valley Road Kalispell, MT 59901 herein termed the applicant, requests permission to construct approach(es) described and shown on attached plot plan or plan and profile and hereby made a part of this application. Please indicate if permits or approaches are required from units of government other than the Department of Transportation. Write the number of permits required in the box: ❑ Federal Government ❑ State ❑ County ❑ City ® N/A Private: XX Public: Use of Property or Facility: Subdivision —174 — Dwelling Units (Residence, Trailer Court, Gas Station, Field Access, Type of Business, etc.) City or Town: Kalispell (If rural, direction & approx. distance from nearest city or town) Street Name, if any: $424 ROADWAY OR HIGHWAY: Two Lane 50 MPH Sight Distance: Left: 875' Right: 875' Surfacing: Aephalt Width: See Plans APPROACH: Attachment for Mountain Vista & Spring Creek Estates Approaches S 424 MP 1.44 & 1.64 Sta.114+13.6,124+39.91, 1212006 A. This attachment is for three accesses two for Spring Creek Estates subdivision and one for Mountain Vista Estates subdivision. These developments have been reviewed and approved by MDT's System Impact, (see attached memorandum from Ed Ereth 10/20/06). Turn bays will be constructed on Secondary 424. The street names for Spring Creek Estates are, Heavens Peak Drive on the west and Camp Crook on the east. The Street names for Mountain Vista Estates are, Heavens Peak Drive and Mountain Vista Drive on the north edge ofproject. (Mountain Vista Drive is permitted under a separate approach permit) B. All work must correspond to the approved Construction Drawings from Robert Peccia & Associates. Dated 10/25/06. C. There will be a bond required for the project with the department listed as the holder. The value of the bond will be equivalent to the construction costs of that portion of the development taking place in the highway right of way. This bond shall be relinquished upon completion of the work to the satisfaction of MDT and the submission of three (3) sets of "as -built" plans. D. The Montana Department of Transportation will provide an inspector (Mark Cyr) to ensure compliance with permit requirements and "Standard Specifications". E. The permittee shall submit a traffic control plan and have the submitted plan approved prior to the start of construction. F. All pavement cuts in Secondary 424 shall be saw cut. A new seal and cover shall be placed the total width of the highway area affected by any striping or lane configuration changes. This seal and cover shall be completed in accordance with MDT standard specifications but shall not be constructed later than August 15, 2007. G. The permittee shall submit mix designs to MDT for approval for both the plant mix and the seal -and cover work at least 48 hours prior to the commencement of either operation. H. Permittee or their contractors are required to locate and move or protect all utilities currently buried on MDT right of way. Repair of any damage caused by construction will be the responsibility of the permittee. I. Permittee or their contractors are required to meet all signing and traffic control requirements while working on MDT right of way in accordance with MUTCD specifications. Permittee is responsible for any rocks, gravel or debris that is carried onto the roadway by this construction. Sweeping and cleaning will be done daily at the permittee's expense. K. The permittee/owner of this approach agrees to maintain this access in a safe and useable condition during all seasons. MDT will not assist in the construction of this approach or any future maintenance. L. Parking is not allowed on MDT right of way. Landscaping or beautification on r/w requires a separate encroachment permit. M Permittee or subsequent owners of this access are responsible for maintaining sight distance in both directions. Removal of brush or trees will be required as necessary. N. A Traffic Control Plan must be submitted to and approved by Stephen Herzog prior to starting construction. This Traffic Control Plan may be submitted at the Pre -Construction Meeting. O. Contact MDT's inspector, Mark Cyr at 751-2043, 48 hours prior to starting construction. P. For permit to be valid, all work must be completed, inspected and signed by August 15, 2007. Contact the area supervisor, Dennis Oliver at 751-2023 for final inspection and approval signature. UNITED SrdTES 9 PQSTM SERVICE 350 N MERIDIAN RD KALISPELL, MT 59901-9998 December 12, 2006 48 North 151 Business Center Loop Suite A Kalispell, MT 59901 RE: Final Plat Approval To Whom It May Concern: Delivery for Spring Creek Estates subdivision has been approved for Cluster Box Unit (CBU) delivery in a turnout format. The developer will provide 11 16-unit CBU's and a 126' x 8-foot cement pad on Camp Crook Avenue. Purchaseing of CBU's has all ready been complete. The Post Office will install and then be responsible for the lock changes and maintenance of the equipment. If you have any questions regarding this matter, you may contact me at 755-6450. Sincerely, had Taylor Growth Management rage i of i Narda Wilson From: Pati Heath [heaths@ bresnan. net] Sent: Monday, February 05, 2007 8:26 PM To: Narda Wilson Subject: Re: Spring Creek Estates Subdivision Narda, Thanks for the info regarding the easement and set back. It has been my understanding that the 6 foot white vinyl privacy fence is really the only alternative that we have been given. It will have 16 inch concrete pillars between 24 foot spans. Although we have asked that the pillars be decorative (suggesting rock) I had been told by Tim Birk that it was not possible. The existing pillars as they are standing now are definitely ugly and would look so much better if they were faced with rock. Tim had already purchased materials for the pillars before he received an answer from us (by his words). Any help that you are able to provide encouraging Tim to make the fence look more professional and attactive will be greatly appreciated. Thank you for your help. Pati -- Original Message From: Narda Wilson To: Patti Heath Sent: Monday, February 05, 2007 12:53 PM Subject: Spring Creek Estates Subdivision Hello Patti, This is a follow-up to our recent phone conversation regarding the buffering between your property, Lot 13 of Aspen Knoll Subdivision Phase 1, and the lots to the north in Spring Creek Estates Subdivision. As you know, the developer is proposing to place a 6 foot vinyl privacy fence between your property and the lot to the east of you and the subdivision. You mentioned wanting him to put a rock face on the cement posts between the fence panels and I'll pass that on and encourage him to do so. You also asked about the setbacks for the garages on the lots in the subdivision. Basically, the zoning requires that any attached garage would be a minimum of 20 feet from the property boundary to the eave of the building. If the garage is detached it would need to be a minimum of 10 feet because there is a 10 foot easement along the south boundary of the lots in the subdivision. If the easement were not in place, the detached garage could be as close as 5 feet. I hope this note answers your questions and addresses your concerns. Your timely response is appreciated. Thanks and best regards. Narda 2/6/07 22 71 11 Plat Room Flathead County, Montana 800 S. Main St. Kalispell, MT 59901 (406) 758-5510 This Form is for Subdivisions & Condominiums Only 8Y: MARQUARDT FOR: NORTHSTAR ASSOCIATES LLC DESCP: SPRING CREEK ESTATES (TR 4C IN 11-7.5-22) YEARS 2001 THRU 2005 �a1 ��� DATE:1s/4n"6 t PURPOSE: PLAT I hereby certify that there are no outstanding taxes on the property assigned the assessor numbers listed above, for the years indicated for each assessor numb r. ,VLAT Deputy � T reasurer (Seal) CONSENT TO PLATTING Pursuant to Section 76-3-612, MCA, the undersigned, GLACIER BANK, Beneficiaries as recorded Vic; v,, (.j�—i, 1 nnh _, Document Now- - Z0 , Flathead County, M nb tana, hereby consent to platting and dedication of land included in the plat of SPRING CREEK ESTATES. IN WITNESS WHEREOF, said parties have caused their names to be subscribed thereto, on this day of C , 200�,,. Glacier Bank Title: STATE OF MONTANA ) : ss. County of Flathead ) This instrument was acknowledged before me on jgkjQj �5 , 200�-, by . tl r, m C .c�u li ; h , of Glacier Bank. Notary Public or the State of Q�.`... q Residing at 'SARI �� My Commission expires SEA% Subdivision Guarantee Guarantee No.: 185107-CT Issued by Citizen's Title and Escrow Company 704 South Main/P, O. Box 1310, Kalispell MT 59901 Title Officer: Ted Gigrich Phone: (406)752 5388 FAX.- (406)752-9617 Form No. 1282 (Rev 12/15/95) Subdivision Guarantee Guarantee No.: 185107-CT Form 1349 CLTA Guarantee Face Page (Revised 12/15/95) First American Title Insurance Company SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE LIMITS OF LIABILITY AND THE CONDITIONS AND STIPULATIONS OF THIS GUARANTEE, First American Title Insurance Company a corporation, herein called the Company GUARANTEES the Assured named in Schedule A against actual monetary loss or damage not exceeding the liability amount stated in Schedule A, which the Assured shall sustain by reason of any incorrectness in the assurances set forth in Schedule A. INS lk BY C..549�� rRESOCNT_ S t" 7Lk18 R x4 ATTEST SFOWTARY Citizen's Title and Escrow Company AUTHORIZED SIGNATORY Subdivision Guarantee Guarantee No.: 185107-CT SUBDIVISION OR PROPOSED SUBDIVISION GUARANTEE Order No.: 185107-CT Guarantee No.: 185107-CT Fee: $150.00 SUBJECT TO THE EXCLUSIONS FROM COVERAGE, THE LIMITS OF LIABILITY, AND OTHER PROVISIONS OF THE CONDITIONS AND STIPULATIONS HERETO ANNEXED AND MADE A PART OF THIS GUARANTEE, FIRST AMERICAN TITLE INSURANCE COMPANY, A CORPORATION HEREIN CALLED THE COMPANY GUARANTEES: Northstar Associates, LLC FOR THE PURPOSES OF AIDING ITS COMPLIANCE WITH FLATHEAD COUNTY SUBDIVISION REGULATIONS, in a sum not exceeding $5,000.00, THAT according to those public records which, under the recording laws of the State of Montana, impart constructive notice of matters affecting the title to the lands described on the attached legal description: TRACT 1 AS SHOWN ON CERTIFICATE OF SURVEY NO. 16428 IN THE NORTH 1/2 OF SECTION 11, TOWNSHIP 28 NORTH, RANGE 22 WEST, P.M.M., FLATHEAD COUNTY, MONTANA, DESCRIBED AS FOLLOWS: BEGINNING AT THE CENTER NORTH 1/16 CORNER OF SAID SECTION 11; THENCE SOUTH 89043'59" WEST, 1313.22 FEET TO THE NORTHWEST 1/16 CORNER OF SAID SECTION 11; THENCE NORTH 00054'50" EAST, 1281.22 FEET TO THE NORTHWEST CORNER OF PARCEL A OF CERTIFICATE OF SURVEY NO.4218, FLATHEAD COUNTY RECORDS, SAID POINT LIES ON THE SOUTH RIGHT OF WAY OF THREE MILE DRIVE; THENCE THE FOLLOWING SEVEN COURSES ARE ALONG SAID SOUTH RIGHT OF WAY; NORTH 89056'08" EAST, 297.82 FEET; SOUTH 00013'00" EAST, 30.33 FEET; NORTH 89056'37" EAST, 697.68 FEET; NORTH 00030'23" WEST 9.90 FEET; NORTH 89056'11" EAST, 599.49 FEET; NORTH 01001'12" EAST, 10.09 FEET; NORTH 89059'52" EAST, 112.21 FEET TO THE NORTHWEST CORNER OF PARCEL B OF CERTIFICATE OF SURVEY NO.4218; THENCE LEAVING SAID RIGHT OF WAY, SOUTH 00001'48" EAST, 420.84 FEET TO THE SOUTHWEST CORNER OF PARCEL B; THENCE NORTH 89066'17" EAST, 77.63 FEET ALONG THE SOUTH BOUNDARY OF SAID PARCEL B TO THE NORTHWEST CORNER OF TRACT 2 OF CERTIFICATE OF SURVEY NO. 16428; THENCE SOUTH 00000'03" WEST 842.70 FEET TO THE SOUTHWEST CORNER OF SAID TRACT 2, SAID POINT LIES ON THE NORTH BOUNDARY OF ASPEN KNOLL SUBDIVISION, PHASE 1, A MAP OR PLAT ON FILE IN THE OFFICE OF THE FLATHEAD COUNTY CLERK AND RECORDER; THENCE THE FOLLOWING TWO COURSES ARE ALONG THE NORTH BOUNDARY OF SAID SUBDIVISION; SOUTH 89036'48" WEST, 11.26 FEET; SOUTH 89040'22" WEST, 481.24 FEET TO THE POINT OF BEGINNING. THE ABOVE DESCRIBED TRACT OF LAND IS TO BE KNOWN AND DESIGNATED AS SPRING CREEK ESTATES. (A) Parties having record title interest in said lands whose signatures are necessary under the requirements of Flathead County Subdivision Regulations on the certificates consenting to the recordation of Plats and offering for dedication any streets, roads, avenues, and other easements offered for dedication by said Plat are: Subdivision Guarantee Guarantee No.: 185107-CT Northstar Associates, LLC, as owner Glacier Bank, as mortgagee (B) Parties holding liens or encumbrances on the title to said lands are: 2006 taxes and special assessments are a lien; amounts are determined and payable. The first one-half becomes delinquent after November 30th of the current year, the second one-half becomes delinquent after May 31st of the following year. General taxes as set forth below. Any amounts not paid when due will accrue penalties and interest in addition to the amount stated herein: Year 1st Half 2nd Half Parcel Number 2006 $820.33 $820.31 01-0969910 paid not paid Mortgage, to secure an original indebtedness of $3,600,000.00, dated January 25, 2006 and any other amounts and/or obligations secured thereby. Recorded: January 25, 2006, Document No. 2006-025-16070 Mortgagor: Northstar Associates, LLC Mortgagee: Glacier Bank Modification Agreement recorded November 6, 2006, Document No. 2006-310-10220. (C) Easements, claims of easements and restriction agreements of record are: 3. Any right, title or interest in any minerals, mineral rights, or related matters, including but not limited to oil, gas, coal, and other hydrocarbons. 4. County road rights -of -way not recorded and indexed as a conveyance of record in the office of the Clerk and Recorder to Title 70, Chapter 21, M.C.A., including, but not limited to any right of the Public and the County of Flathead to use and occupy those certain roads and trails as depicted on County Surveyor's maps on file in the office of the County Surveyor of Flathead County. 5. A possible easment created by Notice of Appropriation of Water Right, recorded July 1, 1954, in Book 361 at Page 204, records of Flathead County, Montana. 6. Easement for an electric underground distribution line of one or more conductors and all necessary or desirable appurtenances granted to Pacific Power & Light Company, recorded December 9, 1982, in Book 756, Page 152, as Doc. No. 18403 and recorded December 9, 1982 , in Book 756, Page 154, as Doc. No. 18404, records of Flathead County, Montana. Easement for right of way to construct, reconstruct, replace and remove communication system granted to American Telephone And Telegraph Company, a New York corporation, recorded November 2, 1993, as Doc. No. 93-306-08560, records of Flathead County, Montana. Subdivision Guarantee Guarantee No.: 185107-CT 8. Easement for right of way to construct, reconstruct, replace and remove communication system granted to American Telephone And Telegraph Company, a New York corporation, recorded December 21, 1993, as Doc. No. 93-355-08380 and 93-355-08390, records of Flathead County, Montana. 9. Southerly right-of-way line of Farm to Market Road as depicted on Certificate of Survey No. 4218, records of Flathead County, Montana. 10. Resolution No. 5005 executed by the City of Kalispell for annexation, recorded May 20, 2005, as Doc. No. 2005-140-10070, records of Flathead County, Montana. 11. Petition to Annex and Notice of Withdrawal from Rural Fire District recorded May 20, 2005, as Doc. No. 2005-140-10080, records of Flathead County, Montana. 12. All matters, covenants, conditions, restrictions, easements and any rights, interest or claims which may exist by reason thereof, disclosed on the pending plat of said subdivision, but deleting any covenant, condition or restriction indicating a preference, limitation or discrimination based on race, color, religion, sex, handicap, familial status, or national origin to the extent such covenants, conditions or restrictions violate 42 USC 3604(c). Date of Guarantee: November 29, 2006 at 7:30 A.M. Subdivision Guarantee Guarantee No.: 185107-CT SCHEDULE OF EXCLUSIONS FROM COVERAGE OF THIS GUARANTEE 1. Except to the extent that specific assurance are provided in Schedule A of this Guarantee, the Company assumes no liability for loss or damage by reason of the following: (a) Defects, liens, encumbrances, adverse claims or other matters against the title, whether or not shown by the public records. (b) (1) Taxes or assessments of any taxing authority that levies taxes or assessments on real property; or, (2) Proceedings by a public agency which may result In taxes or assessments, or notices of such proceedings, whether or not the matters excluded under (1) or (2) are shown by the records of the taxing authority or by the public records. (c) (1) Unpatented mining claims; (2) reservations or exceptions in patents or in Acts authorizing the Issuance thereof; (3) water rights, claims or title to water, whether or not the matters excluded under (1), (2) or (3) are shown by the public records. 2. Notwithstanding any specific assurances which are provided in Schedule A of this Guarantee, the Company assumes no liability for loss or damage by reason of the following: (a) Defects, liens, encumbrances, adverse claims or other matters affecting the title to any property beyond the lines of the land expressly described in the description set forth in Schedule (A), (C) or in Part 2 of this Guarantee, or title to streets, roads, avenues, lanes, ways or waterways to which such land abuts, or the right to maintain therein vaults, tunnels, ramps, or any structure or improvements; or any rights or easements therein, unless such property, rights or easements are expressly and specifically set forth in said description. (b) Defects, liens, encumbrances, adverse claims or other matters, whether or not shown by the public records; (1) which are created, suffered, assumed or agreed to by one or more of the Assureds; (2) which result in no loss to the Assured; or (3) which do not result in the invalidity or potential Invalidity of any judicial or non -judicial proceeding which is within the scope and purpose of the assurances provided. (c) The identity of any party shown or referred to in Schedule A. (d) The validity, legal effect or priority of any matter shown or referred to in this Guarantee. GUARANTEE CONDITIONS AND STIPULATIONS 1. Definition of Terms. The following terms when used in the Guarantee mean: (a) the "Assured": the party or parties named as the Assured in this Guarantee, or on a supplemental writing executed by the Company. (b) "land": the land described or referred to in Schedule (A) (C) or in Part 2, and improvements affixed thereto which by law constitute real property. The term "land" does not include any property beyond the lines of the area described or referred to in Schedule (A) (C) or in Part 2, nor any right, title, interest, estate or easement in abutting streets, roads, avenues, alleys, lanes, ways or waterways. (c) "mortgage": mortgage, deed of trust, trust deed, or other security Instrument. (d) "public records" : records established under state statutes at Date of Guarantee for the purpose of imparting constructive notice of matters relating to real property to purchasers for value and without knowledge. (e) "date": the effective date. 2. Notice of Claim to be Given by Assured Claimant. An Assured shall notify the Company promptly in writing in case knowledge shall come to an Assured hereunder of any claim of title or interest which is adverse to the title to the estate or interest, as stated herein, and which might cause loss or damage for which the Company may be liable by virtue of this Guarantee. If prompt notice shall not be given to the Company, then all liability of the Company shall terminate with regard to the matter or matters for which prompt notice is required; provided, however, that failure to notify the Company shall in no case prejudice the rights of any Assured under this Guarantee unless the Company shall be prejudiced by the failure and then only to the extent of the prejudice. 3. No Duty to Defend or Prosecute. The Company shall have no duty to defend or prosecute any action or proceeding to which the Assured is a party, notwithstanding the nature of any allegation in such action or proceeding. 4. Company's Option to Defend or Prosecute Actions; Duty of Assured Claimant to Cooperate. Even though the Company has no duty to defend or prosecute as set forth in Paragraph 3 above: (a) The Company shall have the right, at Its sole option and cost, to Institute and prosecute any action or proceeding, interpose a defense, as limited in (b), or to do any other act which in its opinion may be necessary or desirable to establish the title to the estate or interest as stated herein, or to establish the lien rights of the Assured, or to prevent or reduce loss or damage to the Assured. The Company may take any appropriate action under the terms of this Guarantee, whether or not It shall be liable hereunder, and shall not thereby concede liability or waive any provision of this Guarantee. If the Company shall exercise its rights under this paragraph, It shall do so diligently. (b) If the Company elects to exercise its options as stated in Paragraph 4(a) the Company shall have the right to select counsel of its choice (subject to the right of such Assured to object for reasonable cause) to represent the Assured and shall not be liable for and will not pay the fees of any other counsel, nor will the Company pay any fees, costs or expenses incurred by an Assured in the defense of those causes of action which allege matters not covered by this Guarantee. (c) Whenever the Company shall have brought an action or interposed a defense as permitted by the provisions of this Guarantee, the Company may pursue any litigation to final determination by a court of competent jurisdiction and expressly reserves the right, in its sole discretion, to appeal from an adverse judgment or order. (d) In all cases where this Guarantee permits the Company to prosecute or provide for the defense of any action or proceeding, an Assured shall secure to the Company the right to so prosecute or provide for the defense of any action or proceeding, and all appeals therein, and permit the Company to use, at Its option, the name of such Assured for this purpose. Whenever requested by the Company, an Assured, at the Company's expense, shall give the Company all reasonable aid in any action or proceeding, securing evidence, obtaining witnesses, prosecuting or defending the action or lawful act which in the opinion of the Company may be necessary or desirable to establish the title to the estate or interest as stated herein, or to establish the lien rights of the Assured. If the Company is prejudiced by the failure of the Assured to furnish the required cooperation, the Company's obligations to the Assured under the Guarantee shall terminate. S. Proof of Loss or Damage. In addition to and after the notices required under Section 2 of these Conditions and Stipulations have been provided to the Company, a proof of loss or damage signed and sworn to by the Assured shall be furnished to the Company within ninety (90) days after the Assured shall ascertain the facts giving rise to the loss or damage. The proof of loss or damage shall describe the matters covered by this Guarantee which constitute the basis of loss or damage and shall state, to the extent possible, the basis of calculating the amount of the loss or damage. If the Company is prejudiced by the failure of the Assured to provide the required proof of loss or damage, the Company's obligation to such Assured under the Guarantee shall terminate. In addition, the Assured may reasonably be required to submit to examination under oath by any authorized representative of the Company and shall produce for examination, Inspection and copying, at such reasonable times and places as may be designated by any authorized representative of the Company, all records, books, ledgers, checks, correspondence and memoranda, whether bearing a date before or after Date of Guarantee, which reasonably pertain to the loss or damage. Further, if requested by any authorized representative of the Company, the Assured shall grant its permission, in writing, for any authorized representative of the Company to examine, inspect and copy all records, books, ledgers, checks, correspondence and memoranda in the custody or control of a third party, which reasonably pertain to the Loss or Damage. All Information designated as confidential by the Assured provided to the Company, pursuant to this Section shall not be disclosed to others unless, in the reasonable judgment of the Company, it is necessary in the administration of the claim. Failure of the Assured to submit for examination under oath, produce other reasonably requested information or grant permission to secure reasonably necessary Information from third parties as required in the above paragraph, unless prohibited by law or governmental regulation, shall terminate any liability of the Company under this Guarantee to the Assured for that claim. Form No. 1282 (Rev. 12/15/95) Subdivision Guarantee Guarantee No.: 185107-CT 6. Options to Pay or Otherwise Settle Claims: Termination of Liability. In case of a claim under this Guarantee, the Company shall have the following additional options: (a) To Pay or Tender Payment of the Amount of Liability or to Purchase the Indebtedness. The Company shall have the option to pay or settle or compromise for or in the name of the Assured any claim which could result in loss to the Assured within the coverage of this Guarantee, or to pay the full amount of this Guarantee or, if this Guarantee is issued for the benefit of a holder of a mortgage or a lienhoider, the Company shall have the option to purchase the indebtedness secured by said mortgage or said lien for the amount owing thereon, together with any costs, reasonable attorneys' fees and expenses incurred by the Assured claimant which were authorized by the Company up to the time of purchase. Such purchase, payment or tender of payment of the full amount of the Guarantee shall terminate all liability of the Company hereunder. In the event after notice of claim has been given to the Company by the Assured the Company offers to purchase said indebtedness, the owner of such indebtedness shall transfer and assign said indebtedness, together with any collateral security, to the Company upon payment of the purchase price. Upon the exercise by the Company of the option provided for in Paragraph (a) the Company's obligation to the Assured under this Guarantee for the claimed loss or damage, other than to make the payment required in that paragraph, shall terminate, including any obligation to continue the defense or prosecution of any litigation for which the Company has exercised Its options under Paragraph 4, and the Guarantee shall be surrendered to the Company for cancellation. (b) To Pay or Otherwise Settle With Parties Other Than the Assured or With the Assured Claimant. To pay or otherwise settle with other parties for or in the name of an Assured claimant any claim Assured against under this Guarantee, together with any costs, attorneys' fees and expenses incurred by the Assured claimant which were authorized by the Company up to the time of payment and which the Company is obligated to pay. Upon the exercise by the Company of the option provided for in Paragraph (b) the Company's obligation to the Assured under this Guarantee for the claimed loss or damage, other than to make the payment required in that paragraph, shall terminate, including any obligation to continue the defense or prosecution of any litigation for which the Company has exercised its options under Paragraph 4. 7. Determination and Extent of Liability. This Guarantee is a contract of Indemnity against actual monetary loss or damage sustained or incurred by the Assured claimant who has suffered loss or damage by reason of reliance upon the assurances set forth in this Guarantee and only to the extent herein described, and subject to the Exclusions From Coverage of This Guarantee. The Liability of the Company under this Guarantee to the Assured shall not exceed the least of: (a) the amount of liability stated in Schedule A or in Part 2; (b) the amount of the unpaid principal Indebtedness secured by the mortgage of an Assured mortgagee, as limited or provided under Section 6 of these Conditions and Stipulations or as reduced under Section 9 of these Conditions and Stipulations, at the time the loss or damage Assured against by this Guarantee occurs, together with interest thereon; or (c) the difference between the value of the estate or interest covered hereby as stated herein and the value of the estate or Interest subject to any defect, lien or encumbrance Assured against by this Guarantee. 8. Limitation of Liability. (a) If the Company establishes the title, or removes the alleged defect, lien or encumbrance, or cures any other matter Assured against by this Guarantee in a reasonably diligent manner by any method, Including litigation and the completion of any appeals therefrom, it shall have fully performed its obligations with respect to that matter and shall not be liable for any loss or damage caused thereby. (b) In the event of any litigation by the Company or with the Company's consent, the Company shall have no liability for loss or damage until there has been a final determination by a court of competent jurisdiction, and disposition of all appeals therefrom, adverse to the title, as stated herein. (c) The Company shall not be liable for loss or damage to any Assured for liability voluntarily assumed by the Assured in settling any claim or suit without the prior written consent of the Company. 9. Reduction of Liability or Termination of Liability. All payments under this Guarantee, except payments made for costs, attorneys' fees and expenses pursuant to Paragraph 4 shall reduce the amount of liability pro tanto. 10. Payment of Loss. (a) No payment shall be made without producing this Guarantee for endorsement of the payment unless the Guarantee has been lost or destroyed, in which case proof of loss or destruction shall be furnished to the satisfaction of the Company. (b) When liability and the extent of loss or damage has been definitely fixed in accordance with these Conditions and Stipulations, the loss or damage shall be payable within thirty (30) days thereafter. 11. Subrogation Upon Payment or Settlement. Whenever the Company shall have settled and paid a claim under this Guarantee, all right of subrogation shall vest in the Company unaffected by any act of the Assured claimant. The Company shall be subrogated to and be entitled to all rights and remedies which the Assured would have had against any person or property in respect to the claim had this Guarantee not been issued. If requested by the Company, the Assured shall transfer to the Company all rights and remedies against any person or property necessary in order to perfect this right of subrogation. The Assured shall permit the Company to sue, compromise or settle in the name of the Assured and to use the name of the Assured in any transaction or litigation involving these rights or remedies. If a payment on account of a claim does not fully cover the loss of the Assured the Company shall be subrogated to all rights and remedies of the Assured after the Assured shall have recovered its principal, Interest, and costs of collection. 12. Arbitration. Unless prohibited by applicable law, either the Company or the Assured may demand arbitration pursuant to the Title Insurance Arbitration Rules of the American Arbitration Association. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the Assured arising out of or relating to this Guarantee, any service of the Company in connection with Its issuance or the breach of a Guarantee provision or other obligation. All arbitrable matters when the Amount of Liability Is $1,000,000 or less shall be arbitrated at the option of either the Company or the Assured. All arbitrable matters when the amount of liability is in excess of $1,000,000 shall be arbitrated only when agreed to by both the Company and the Assured. The Rules in effect at Date of Guarantee shall be binding upon the parties. The award may include attorneys' fees only if the laws of the state In which the land is located permits a court to award attorneys' fees to a prevailing party. Judgment upon the award rendered by the Arbitrator(s) may be entered in any court having jurisdiction thereof. The law of the situs of the land shall apply to an arbitration under the Title Insurance Arbitration Rules. A copy of the Rules may be obtained from the Company upon request. 13. Liability Limited to This Guarantee; Guarantee Entire Contract. (a) This Guarantee together with all endorsements, if any, attached hereto by the Company is the entire Guarantee and contract between the Assured and the Company. In Interpreting any provision of this Guarantee, this Guarantee shall be construed as a whole. (b) Any claim of loss or damage, whether or not based on negligence, or any action asserting such claim, shall be restricted to this Guarantee. (c) No amendment of or endorsement to this Guarantee can be made except by a writing endorsed hereon or attached hereto signed by either the President, a Vice President, the Secretary, an Assistant Secretary, or validating officer or authorized signatory of the Company. 14. Notices, Where Sent. All notices required to be given the Company and any statement in writing required to be furnished the Company shall Include the number of this Guarantee and shall be addressed to the Company at 1 First American Way, Santa Ana, CA. 92707. Form No. 1282 (Rev. 12/15/95) Subdivision Guarantee Guarantee No.: 185107-CT Citizen's Title and Escrow Company 704 South Main/P.O. Box 1310, Kalispell, MT 59901 Phone(406)752-5388 - Fax(406)752-9617 PRIVACY POLICY We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information — particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, together with our parent company, The First American Corporation, we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information which you provide to us. It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal information regardless of its source. First American calls these guidelines its Fairinformation Values, a copy of which can be found on our website at www.firstam.com. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include: • Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means; • Information about your transactions with us, our affiliated companies, or others; and • Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or service you have requested of us; or (2) as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies, and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf, on behalf of our affiliated companies, or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American's Fair Information Values We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. © 2001 The First American Corporation • All Rights Reserved CITIZENS TITLE & ESCROW COMPANY i ACKNOWLEDGEMENT STATE OF MONTANA ) ss. COUNTY OF FLATHEAD ) This instrument was acknowledged before me on day of �Z by 41_ as Assistant Secretary of Citizens Title & Escrow Company. J, gk��� Signature p.Mogq SIN A MORRELL NaT`�4 NOTARY PUBLIC for the * State of Montana Q Residing at Kalispell, Montana 9�oFMPe My Commission Expires October 9, 2010 Subdivision Guarantee Guarantee No.: 185107-CT SCHEDULE OF EXCLUSIONS FROM COVERAGE OF THIS GUARANTEE 1. Except to the extent that specific assurance are provided in Schedule A of this Guarantee, the Company assumes no liability for loss or damage by reason of the following: (a) Defects, liens, encumbrances, adverse claims or other matters against the title, whether or not shown by the public records. (b) (1) Taxes or assessments of any taxing authority that levies taxes or assessments on real property; or, (2) Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings, whether or not the matters excluded under (1) or (2) are shown by the records of the taxing authority or by the public records. (c) (1) Unpatented mining claims; (2) reservations or exceptions in patents or in Acts authorizing the Issuance thereof; (3) water rights, claims or title to water, whether or not the matters excluded under (1), (2) or (3) are shown by the public records. 2. Notwithstanding any specific assurances which are provided in Schedule A of this Guarantee, the Company assumes no liability for loss or damage by reason of the following: (a) Defects, liens, encumbrances, adverse claims or other matters affecting the title to any property beyond the lines of the land expressly described in the description set forth in Schedule (A), (C) or in Part 2 of this Guarantee, or title to streets, roads, avenues, lanes, ways or waterways to which such land abuts, or the right to maintain therein vaults, tunnels, ramps, or any structure or Improvements; or any rights or easements therein, unless such property, rights or easements are expressly and specifically set forth in said description. (b) Defects, liens, encumbrances, adverse claims or other matters, whether or not shown by the public records; (1) which are created, suffered, assumed or agreed to by one or more of the Assureds; (2) which result in no loss to the Assured; or (3) which do not result in the invalidity or potential invalidity of any judicial or non judicial proceeding which is within the scope and purpose of the assurances provided. (c) The identity of any party shown or referred to In Schedule A. (d) The validity, legal effect or priority of any matter shown or referred to in this Guarantee. GUARANTEE CONDITIONS AND STIPULATIONS 1. Definition of Terms. The following terms when used in the Guarantee mean: (a) the "Assured": the party or parties named as the Assured in this Guarantee, or on a supplemental writing executed by the Company. (b) "land": the land described or referred to in Schedule (A) (C) or in Part 2, and improvements affixed thereto which by law constitute real property. The term "land" does not Include any property beyond the lines of the area described or referred to in Schedule (A) (C) or in Part 2, nor any right, title, Interest, estate or easement in abutting streets, roads, avenues, alleys, lanes, ways or waterways. (c) "mortgage": mortgage, deed of trust, trust deed, or other security Instrument. (d) "public records" : records established under state statutes at Date of Guarantee for the purpose of Imparting constructive notice of matters relating to real property to purchasers for value and without knowledge. (e) "date": the effective date. 2. Notice of Claim to be Given by Assured Claimant. An Assured shall notify the Company promptly in writing in case knowledge shall come to an Assured hereunder of any claim of title or interest which is adverse to the title to the estate or interest, as stated herein, and which might cause loss or damage for which the Company may be liable by virtue of this Guarantee. If prompt notice shall not be given to the Company, then all liability of the Company shall terminate with regard to the matter or matters for which prompt notice is required; provided, however, that failure to notify the Company shall in no case prejudice the rights of any Assured under this Guarantee unless the Company shall be prejudiced by the failure and then only to the extent of the prejudice. 3. No Duty to Defend or Prosecute. The Company shall have no duty to defend or prosecute any action or proceeding to which the Assured is a party, notwithstanding the nature of any allegation in such action or proceeding. 4. Company's Option to Defend or Prosecute Actions; Duty of Assured Claimant to Cooperate. Even though the Company has no duty to defend or prosecute as set forth in Paragraph 3 above: (a) The Company shall have the right, at its sole option and cost, to institute and prosecute any action or proceeding, interpose a defense, as limited in (b), or to do any other act which In its opinion may be necessary or desirable to establish the title to the estate or Interest as stated herein, or to establish the lien rights of the Assured, or to prevent or reduce loss or damage to the Assured. The Company may take any appropriate action under the terms of this Guarantee, whether or not it shall be liable hereunder, and shall not thereby concede liability or waive any provision of this Guarantee. If the Company shall exercise its rights under this paragraph, it shall do so diligently. (b) If the Company elects to exercise Its options as stated in Paragraph 4(a) the Company shall have the right to select counsel of its choice (subject to the right of such Assured to object for reasonable cause) to represent the Assured and shall not be liable for and will not pay the fees of any other counsel, nor will the Company pay any fees, costs or expenses incurred by an Assured in the defense of those causes of action which allege matters not covered by this Guarantee. (c) Whenever the Company shall have brought an action or interposed a defense as permitted by the provisions of this Guarantee, the Company may pursue any litigation to final determination by a court of competent jurisdiction and expressly reserves the right, in Its sole discretion, to appeal from an adverse judgment or order. (d) In all cases where this Guarantee permits the Company to prosecute or provide for the defense of any action or proceeding, an Assured shall secure to the Company the right to so prosecute or provide for the defense of any action or proceeding, and all appeals therein, and permit the Company to use, at its option, the name of such Assured for this purpose. Whenever requested by the Company, an Assured, at the Company's expense, shall give the Company all reasonable aid in any action or proceeding, securing evidence, obtaining witnesses, prosecuting or defending the action or lawful act which in the opinion of the Company may be necessary or desirable to establish the title to the estate or interest as stated herein, or to establish the lien rights of the Assured. If the Company is prejudiced by the failure of the Assured to furnish the required cooperation, the Company's obligations to the Assured under the Guarantee shall terminate. S. Proof of Loss or Damage. In addition to and after the notices required under Section 2 of these Conditions and Stipulations have been provided to the Company, a proof of loss or damage signed and sworn to by the Assured shall be furnished to the Company within ninety (90) days after the Assured shall ascertain the facts giving rise to the loss or damage. The proof of loss or damage shall describe the matters covered by this Guarantee which constitute the basis of loss or damage and shall state, to the extent possible, the basis of calculating the amount of the loss or damage. If the Company is prejudiced by the failure of the Assured to provide the required proof of loss or damage, the Company's obligation to such Assured under the Guarantee shall terminate. In addition, the Assured may reasonably be required to submit to examination under oath by any authorized representative of the Company and shall produce for examination, Inspection and copying, at such reasonable times and places as may be designated by any authorized representative of the Company, all records, books, ledgers, checks, correspondence and memoranda, whether bearing a date before or after Date of Guarantee, which reasonably pertain to the loss or damage. Further, if requested by any authorized representative of the Company, the Assured shall grant its permission, in writing, for any authorized representative of the Company to examine, inspect and copy all records, books, ledgers, checks, correspondence and memoranda in the custody or control of a third party, which reasonably pertain to the Loss or Damage. All information designated as confidential by the Assured provided to the Company, pursuant to this Section shall not be disclosed to others unless, in the reasonable judgment of the Company, It is necessary in the administration of the claim. Failure of the Assured to submit for examination under oath, produce other reasonably requested information or grant permission to secure reasonably necessary information from third parties as required In the above paragraph, unless prohibited by law or governmental regulation, shall terminate any liability of the Company under this Guarantee to the Assured for that claim. Form No. 1282 (Rev. 12115/95) Subdivision Guarantee Guarantee No.: 185107-CT 6. Options to Pay or Otherwise Settle Claims: Termination of Liability. In case of a claim under this Guarantee, the Company shall have the following additional options: (a) To Pay or Tender Payment of the Amount of Liability or to Purchase the Indebtedness. The Company shall have the option to pay or settle or compromise for or in the name of the Assured any claim which could result in loss to the Assured within the coverage of this Guarantee, or to pay the full amount of this Guarantee or, if this Guarantee is issued for the benefit of a holder of a mortgage or a lienholder, the Company shall have the option to purchase the Indebtedness secured by said mortgage or said lien for the amount owing thereon, together with any costs, reasonable attorneys' fees and expenses incurred by the Assured claimant which were authorized by the Company up to the time of purchase. Such purchase, payment or tender of payment of the full amount of the Guarantee shall terminate all liability of the Company hereunder. In the event after notice of claim has been given to the Company by the Assured the Company offers to purchase said indebtedness, the owner of such indebtedness shall transfer and assign said indebtedness, together with any collateral security, to the Company upon payment of the purchase price. Upon the exercise by the Company of the option provided for in Paragraph (a) the Company's obligation to the Assured under this Guarantee for the claimed loss or damage, other than to make the payment required In that paragraph, shall terminate, Including any obligation to continue the defense or prosecution of any litigation for which the Company has exercised its options under Paragraph 4, and the Guarantee shall be surrendered to the Company for cancellation. (b) To Pay or Otherwise Settle With Parties Other Than the Assured or With the Assured Claimant. To pay or otherwise settle with other parties for or in the name of an Assured claimant any claim Assured against under this Guarantee, together with any costs, attorneys' fees and expenses incurred by the Assured claimant which were authorized by the Company up to the time of payment and which the Company is obligated to pay. Upon the exercise by the Company of the option provided for in Paragraph (b) the Company's obligation to the Assured under this Guarantee for the claimed loss or damage, other than to make the payment required in that paragraph, shall terminate, including any obligation to continue the defense or prosecution of any litigation for which the Company has exercised its options under Paragraph 4. 7. Determination and Extent of Liability. This Guarantee is a contract of Indemnity against actual monetary loss or damage sustained or Incurred by the Assured claimant who has suffered loss or damage by reason of reliance upon the assurances set forth In this Guarantee and only to the extent herein described, and subject to the Exclusions From Coverage of This Guarantee. The Liability of the Company under this Guarantee to the Assured shall not exceed the least of: (a) the amount of liability stated in Schedule A or in Part 2; (b) the amount of the unpaid principal Indebtedness secured by the mortgage of an Assured mortgagee, as limited or provided under Section 6 of these Conditions and Stipulations or as reduced under Section 9 of these Conditions and Stipulations, at the time the loss or damage Assured against by this Guarantee occurs, together with interest thereon; or (c) the difference between the value of the estate or interest covered hereby as stated herein and the value of the estate or interest subject to any defect, lien or encumbrance Assured against by this Guarantee. 8. Limitation of Liability. (a) If the Company establishes the title, or removes the alleged defect, lien or encumbrance, or cures any other matter Assured against by this Guarantee In a reasonably diligent manner by any method, including litigation and the completion of any appeals therefrom, It shall have fully performed its obligations with respect to that matter and shall not be liable for any loss or damage caused thereby. (b) In the event of any litigation by the Company or with the Company's consent, the Company shall have no liability for loss or damage until there has been a final determination by a court of competent jurisdiction, and disposition of all appeals therefrom, adverse to the title, as stated herein. (c) The Company shall not be liable for loss or damage to any Assured for liability voluntarily assumed by the Assured in settling any claim or suit without the prior written consent of the Company. 9. Reduction of liability or Termination of Liability. All payments under this Guarantee, except payments made for costs, attorneys' fees and expenses pursuant to Paragraph 4 shall reduce the amount of liability pro tanto. 10. Payment of Loss. (a) No payment shall be made without producing this Guarantee for endorsement of the payment unless the Guarantee has been lost or destroyed, in which case proof of loss or destruction shall be furnished to the satisfaction of the Company. (b) When liability and the extent of loss or damage has been definitely fixed in accordance with these Conditions and Stipulations, the loss or damage shall be payable within thirty (30) days thereafter. 11. Subrogation Upon Payment or Settlement. Whenever the Company shall have settled and paid a claim under this Guarantee, all right of subrogation shall vest in the Company unaffected by any act of the Assured claimant. The Company shall be subrogated to and be entitled to all rights and remedies which the Assured would have had against any person or property in respect to the claim had this Guarantee not been issued. If requested by the Company, the Assured shall transfer to the Company all rights and remedies against any person or property necessary in order to perfect this right of subrogation. The Assured shall permit the Company to sue, compromise or settle in the name of the Assured and to use the name of the Assured in any transaction or litigation involving these rights or remedies. If a payment on account of a claim does not fully cover the loss of the Assured the Company shall be subrogated to all rights and remedies of the Assured after the Assured shall have recovered its principal, interest, and costs of collection. 12. Arbitration. Unless prohibited by applicable law, either the Company or the Assured may demand arbitration pursuant to the Title Insurance Arbitration Rules of the American Arbitration Association. Arbitrable matters may include, but are not limited to, any controversy or claim between the Company and the Assured arising out of or relating to this Guarantee, any service of the Company in connection with its issuance or the breach of a Guarantee provision or other obligation. All arbitrable matters when the Amount of Liability is $1,000,000 or less shall be arbitrated at the option of either the Company or the Assured. All arbitrable matters when the amount of liability Is in excess of $1,000,000 shall be arbitrated only when agreed to by both the Company and the Assured. The Rules in effect at Date of Guarantee shall be binding upon the parties. The award may include attorneys' fees only if the laws of the state in which the land is located permits a court to award attorneys' fees to a prevailing party. Judgment upon the award rendered by the Arbitrator(s) may be entered in any court having jurisdiction thereof. The law of the situs of the land shall apply to an arbitration under the Title Insurance Arbitration Rules. A copy of the Rules may be obtained from the Company upon request. 13. Liability Limited to This Guarantee; Guarantee Entire Contract. (a) This Guarantee together with all endorsements, if any, attached hereto by the Company is the entire Guarantee and contract between the Assured and the Company. In interpreting any provision of this Guarantee, this Guarantee shall be construed as a whole. (b) Any claim of loss or damage, whether or not based on negligence, or any action asserting such claim, shall be restricted to this Guarantee. (c) No amendment of or endorsement to this Guarantee can be made except by a writing endorsed hereon or attached hereto signed by either the President, a Vice President, the Secretary, an Assistant Secretary, or validating officer or authorized signatory of the Company. 14. Notices, Where Sent. All notices required to be given the Company and any statement in writing required to be furnished the Company shall include the number of this Guarantee and shall be addressed to the Company at 1 First American Way, Santa Ana, CA. 92707. Form No. 1282 (Rev. 12/15/95) Subdivision Guarantee Guarantee No.: 185107-CT Citizen's Title and Escrow Company 704 South Main/P.O. Box 1310, Kalispell, MT 59901 Phone(406)752-5388 - Fax(406)752-9617 PRIVACY POLICY We Are Committed to Safeguarding Customer Information In order to better serve your needs now and in the future, we may ask you to provide us with certain information. We understand that you may be concerned about what we will do with such information — particularly any personal or financial information. We agree that you have a right to know how we will utilize the personal information you provide to us. Therefore, together with our parent company, The First American Corporation, we have adopted this Privacy Policy to govern the use and handling of your personal information. Applicability This Privacy Policy governs our use of the information which you provide to us. It does not govern the manner in which we may use information we have obtained from any other source, such as information obtained from a public record or from another person or entity. First American has also adopted broader guidelines that govern our use of personal information regardless of its source. First American calls these guidelines its Fairinformation Values, a copy of which can be found on our website at www.firstam.com. Types of Information Depending upon which of our services you are utilizing, the types of nonpublic personal information that we may collect include: • Information we receive from you on applications, forms and in other communications to us, whether in writing, in person, by telephone or any other means; • Information about your transactions with us, our affiliated companies, or others; and • Information we receive from a consumer reporting agency. Use of Information We request information from you for our own legitimate business purposes and not for the benefit of any nonaffiliated party. Therefore, we will not release your information to nonaffiliated parties except: (1) as necessary for us to provide the product or service you have requested of us; or (2) as permitted by law. We may, however, store such information indefinitely, including the period after which any customer relationship has ceased. Such information may be used for any internal purpose, such as quality control efforts or customer analysis. We may also provide all of the types of nonpublic personal information listed above to one or more of our affiliated companies. Such affiliated companies include financial service providers, such as title insurers, property and casualty insurers, and trust and investment advisory companies, or companies involved in real estate services, such as appraisal companies, home warranty companies, and escrow companies. Furthermore, we may also provide all the information we collect, as described above, to companies that perform marketing services on our behalf, on behalf of our affiliated companies, or to other financial institutions with whom we or our affiliated companies have joint marketing agreements. Former Customers Even if you are no longer our customer, our Privacy Policy will continue to apply to you. Confidentiality and Security We will use our best efforts to ensure that no unauthorized parties have access to any of your information. We restrict access to nonpublic personal information about you to those individuals and entities who need to know that information to provide products or services to you. We will use our best efforts to train and oversee our employees and agents to ensure that your information will be handled responsibly and in accordance with this Privacy Policy and First American's Fairinformation Values. We currently maintain physical, electronic, and procedural safeguards that comply with federal regulations to guard your nonpublic personal information. © 2001 The First American Corporation • All Rights Reserved — — — — — — — — — — ! 1 r I I r 1 1 4 I I ! I I r 1 I I I r 1 1 4A ! ` 1 r I , � 4C + ! i r + r r + I + I 1 r 1 I r � + r ! 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