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1e. Dev Contract for Audubon West Addition I e 1 CITY OF „.1 1 = CHANHASSEN .„ „ 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937-1900 MEMORANDUM TO: Don Ashworth , City Manager //g ' FROM: Larry Brown, Staff Engineer ' DATE: July 20, 1988 SUBJ: Approval of Development Contract for Audubon West Addition, Development Sites, Ltd. File No. 88-15 (private) ' The attached Development Contract incorporates the City Council' s conditions of approval from the plat and plans and specifications review process. It is therefore recommended that the City Council approve the attached development contract for the Audubon West Addition and authorize its execution. Attachment: Development Contract 0 , De o Submjttcil 71b.5741e 1 1 1 f I CITY OF CHANHASSEN DEVELOPMENT CONTRACT (Developer Installed Improvements) SPECIAL PROVISIONS AGREEMENT dated , 1988, by and between the CITY OF CHANHASSEN, a Minnesota municipal corporation, ("City") , and DEVELOPMENT SITES LIMITED, a Minnesota corporation (the "Developer") . ' 1. Request for Plat Approval. The Developer has asked the City to approve a plat for AUDUBON WEST ADDITION (referred to in this ' Contract as the "plat") . The land is legally described on the attached Exhibit "A". i 2. Conditions of Plat Approval. The City hereby approves the ' plat on condition that the Developer enter into this Contract and furnish the security required by it. 3. Development Plans. The plat shall be developed in accordance with the following plans. The plans shall not be attached to this Contract. With the exception of Plan A, the plans may be prepared, subject to City approval, after entering the Contract, but before commencement of any work in the plat. If the plans vary from the written 1 terms of this Contract, the written terms shall control. The plans are: Plan A--Plat dated , 19 , prepared ' by Plan B--Grading, Drainage, and Erosion Control Plan dated , 19 , prepared by Plan C--Plans and Specifications for Improvements dated , 19 , prepared by 1 r07/06/88 i re I 7 1 4. Improvements. The Developer shall install and pay for the ' following: A. Sanitary Sewer System B. Water System C. Storm Water Drainage System D. Streets E. Concrete Curb and Gutter F. Street Signs ' G. Street Lights H. Site Grading ' I. Underground Utilities (gas, electric, phone, CATV) J. Setting of Lot and Block Monuments ' K. Surveying and Staking ' 5. Time of Performance. The Developer shall install all required improvements by November 30, 1988 . The Developer may, however, request an extension of time from the City. If an extension is granted, it shall be conditioned upon updating the security posted by the ' Developer to reflect cost increases and the extended completion date. 6. Security. To guarantee compliance with the terms of this Contract, payment of special assessments, payment of the costs of all public improvements, and construction of all public improvements, the Developer shall furnish the City with a letter of credit from a bank, cash escrow, or equivalent ("security") for $ . The amount of the security was calculated as 110% of the following: Sanitary sewer $ Watermain $ r -2- On-site storm sewer $ Streets $ 1 Street lights and signs $ Erosion control $ Engineering, surveying, and inspection $ TOTAL COST OF PUBLIC IMPROVEMENTS $ This breakdown is for historical reference; it is not a restriction on the use of the security. The security shall be subject to the approval of the City. The security shall be for a term ending December 31, 1988. The City may draw down the security, without notice, for any violation 1 of the terms of this Contract. If the required public improvements are not completed at least thirty (30) days prior to the expiration of the security, the City may also draw it down. If the security is drawn down, the draw shall be used to cure the default. With City approval the security may be reduced from time to time as financial obligations are paid, but in no case shall the security be reduced to a point less than 25% of the original amount until all improvements are complete and ' accepted by the City. 7 . Notices. Required notices to the Developer shall be in writing, and shall be either hand delivered to the Developer, its ' employees or agents, or mailed to the Developer by registered mail at the following address: 15311 Knob Hill Curve, Minnetonka, Minnesota ' 55345. Notices to the City shall be in writing and shall be either hand delivered to the City Manager, or mailed to the City by registered mail in care of the City Manager at the following address: Chanhassen City ' Hall, 690 Coulter Drive, P.O. Box 147, Chanhassen, Minnesota 55317. -3- I 8. Other Special Conditions. ' A. The Developer shall provide a 15 foot wide utility easement across the easterly side of Lot 1, Block 1 of the plat. ' B. The Developer shall revised the grading plan to show the construction of a ponding site which maintains the pre-developed runoff rate and provides adequate storage for a 100 year frequency storm event. ' C. The Developer shall provide storm sewer calculations which verify the preservation of the pre-developed runoff rate and all ' storm sewer system capacities as part of the plans and specifications review process. D. The road profile shall be revised to show a landing zone which meets the Minnesota Department of Transportation's guidelines and shall be submitted for approval by the City Engineer as part of the plans and specifications review process. ' E. The proposed right-of-way shall be revised to a 60 foot right-of-way width, and shall maintain a 60 foot radius at the end of the cul-de-sac as per Article 3, Section 18-57 (b) of the Chanhassen Subdivision Ordinance. The proposed right-of-way shall be platted to the edge of Outlot B and submitted to the City staff a plan signifying the amendment to the right-of-way. G. Plat approval is contingent upon the MUSA line being approved by the Metropolitan Council. 9. General Conditions. The general provisions of this Contract are attached as Exhibit "B" and incorporated herein. ' CITY OF CHANHASSEN BY: (SEAL) Thomas L. Hamilton, Mayor BY: ' Don Ashworth, City Manager DEVELOPER: DEVELOPMENT SITES LIMITED BY: Its 1 -4- STATE OF MINNESOTA ) ( ss. COUNTY OF CARVER ) ' The foregoing instrument was acknowledged before me this day of , 1988, by Thomas L. Hamilton, Mayor, and by Don II Ashworth, City Manager, of the City of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. NOTARY PUBLIC STATE OF MINNESOTA ) ( ss. COUNTY OF ) ' The foregoing instrument was acknowledged before me this day of , 1988, by the of Development Sites Limited, a Minnesota corporation, on its behalf. I NOTARY PUBLIC DRAFTED BY: Grannis, Grannis, Farrell 1 & Knutson, P.A. 403 Norwest Bank Building 161 North Concord Exchange South St. Paul, MN 55075 (612) 455-1661 I -5- IICONSENT I , fee owners of all or part of the subject property, the development of which I is governed by the foregoing Development Contract, affirm and consent to the provisions thereof and agree to be bound by the provisions as the same may apply to that portion of the subject property owned by them. II Dated this day of , 19 I II I STATE OF MINNESOTA ) ( ss. COUNTY OF ) IThe foregoing instrument was acknowledged before me this day of , 19 , by , I NOTARY PUBLIC I DRAFTED BY: I Grannis, Grannis, Farrell & Knutson, P.A. 403 Norwest Bank Building I 161 North Concord Exchange South St. Paul, MN 55075 (612) 455-1661 I I I I I r -6- s , ' il CITY OF CHANHASSEN II DEVELOPMENT CONTRACT II (Developer Installed Improvements) EXHIBIT "B" GENERAL CONDITIONS II 1. Right to Proceed. Within the plat or land to be platted, II the Developer may not grade or otherwise disturb the earth, remove I trees, construct sewer lines, water lines, streets, utilities, public or private improvements, or any buildings until all the following I conditions have been satisfied: 1) this agreement has been fully executed by both parties and filed with the City Clerk, 2) the necessary I security has been received by the City, 3) the plat has been recorded II with the County Recorder's Office of the County where the plat is located, and 4) the City Engineer has issued a written letter that the II foregoing conditions have been satisfied and then the Developer may proceed. I 2 . Phased Development. If the plat is a phase of a multi- phased preliminary plat, the City may refuse to approve final plats of II subsequent phases if the Developer has breached this Contract and the II breach has not been remedied. Development of subsequent phases may not proceed until Development Contracts for such phases are approved by the II City. 3. Effect of Subdivision Approval. For two (2) years from the r date of this Contract, no amendments to the City's Comprehensive Plan, r except an amendment placing the plat in the current urban service area, or official controls shall apply to or affect the use, development r density, lot size, lot layout or dedications of the approved plat unless r II N. Ilm required by state or federal law or agreed to in writing by the City and the Developer. Thereafter, notwithstanding anything in this Contract to the contrary, to the full extent permitted by state law the City may ' require compliance with any amendments to the City's Comprehensive Plan, official controls, platting or dedication requirements enacted after the ' date of this Contract. ' 4. Improvements. The improvements specified in the Special Provisions of this Contract shall be installed in accordance with City standards, ordinances, and plans and specifications which have been prepared and signed by a competent registered professional engineer ' furnished to the City and approved by the City Engineer. The Developer ' shall obtain all necessary permits from the Metropolitan Waste Control Commission and other agencies before proceeding with construction. The ' Developer shall instruct its engineer to provide adequate field inspection personnel to assure an acceptable level of quality control to ' the extent that the Developer's engineer will be able to certify that the construction work meets the approved City standards as a condition ' of City acceptance. In addition, the City may, at the City's discretion ' and at the Developer's expense, have one or more City inspectors and a soil engineer inspect the work on a full or part-time basis. The Developer or his engineer shall schedule a preconstruction meeting at a mutually agreeable time at the City Council chambers with all parties concerned, including the City staff, to review the program for the ' construction work. Within sixty (60) days after the completion of the improvements and before the security is released, the Developer shall supply the City with the following: (1) a complete set of reproducible Mylar as-built plans, (2) two complete sets of blue line as-built plans, I -8- . II (3) two complete sets of utility tie sheets, (4) location of buried II fabric used for soil stabilization, (5) location stationing of all I utility stubs, and (6) bench mark network. 5. License. The Developer hereby grants the City, its agents, I employees, officers and contractors a license to enter the plat to perform all work and inspections deemed appropriate by the City in I conjunction with plat development. II 6. Erosion Control. Before the site is rough graded, and before any utility construction is commenced or building permits are I issued, the erosion control plan, Plan B, shall be implemented by the Developer and inspected and approved by the City. The City may impose 1 additional erosion control requirements if they would be beneficial. All areas disturbed by the excavation and backfilling operations shall be II reseeded forthwith after the completion of the work in that area. Except II as otherwise provided in the erosion control plan, seed shall be certified seed to provide a temporary ground cover as rapidly as I possible. All seeded areas shall be fertilized, mulched, and disc anchored as necessary for seed retention. The parties recognize that II time is of the essence in controlling erosion. If the Developer does not I comply with the erosion control plan and schedule or supplementary instructions received from the City, the City may take such action as it II deems appropriate to control erosion at the Developer's expense. The City will endeavor to notify the Developer in advance of any proposed 1 action, but failure of the City to do so will not affect the Developer's II and City's rights or obligations hereunder. No development will be allowed and no building permits will be issued unless the plat is in II full compliance with the erosion control requirements. Erosion control -9- 1 .... needs to be maintained until vegetation cover has been restored, even if after construction as been completed and accepted. After completion of construction the City will remove the silt fences. To pay for the removal, before the City signs the final plat the Developer shall pay the City a fee of $1. 00 per foot of silt fence that is required to be ' constructed in accordance with the erosion control plan for the plat, Plan B. 7. Clean up. The Developer shall daily clean, on and off site, dirt and debris from streets and the surrounding area that has resulted from construction work by the Developer, its agents or assigns. 8. Acceptance and Ownership of Improvements. Upon completion ' and acceptance by the City of the work and construction required by this Contract, the improvements lying within public easements shall become City property. After completion of the improvements, a representative of the contractor, and a representative of the Developer's engineer will make a final inspection of the work with the City Engineer. Before the City accepts the improvements, the City Engineer shall be satisfied that all work is satisfactorily completed in accordance with the approved ' plans and specifications and the Developer and his engineer shall submit a written statement attesting to same with appropriate contractor waivers. Final acceptance of the public improvements shall be by City Council resolution. 9. Claims. In the event that the City receives claims from ' labor, materialmen, or others that work required by this Contract has been performed, the sums due them have not been paid, and the laborers, materialmen, or others are seeking payment out of the financial guarantees posted with the City, and if the claims are not resolved at -10- I least ninety (90) days before the security required by this Contract I will expire, the Developer hereby authorizes the City to commence an I Interpleader action pursuant to Rule 22, Minnesota Rules of Civil Procedure for the District Courts, to draw upon the letters of credit in II an amount up to 125% of the claim(s) and deposit the funds in compliance with the Rule, and upon such deposit, the Developer shall release, discharge, and dismiss the City from any further proceedings as it II pertains to the letters of credit deposited with the District Court, except that the Court shall retain jurisdiction to determine attorneys' I fees. 10. Park and Trail Dedication. Prior to the issuance of I building permits for residential construction within the plat, the II Developer, its successors or assigns, shall pay to the City the park and trail dedication fees then in force pursuant to Chanhassen City I Ordinances and City Council resolutions. 11. Landscaping. Unless the lot already has one tree on it, II the Developer shall plant a tree on every lot in the plat. Suitable trees include: II Maples Ash II Linden Basswood Green Ash Birch Honeylocust Ginko (male only) IHackberry Kentucky Coffee Tree Oak Other species of trees may be approved by the building inspector. Trees II which can cause a public nuisance, such as cotton producing trees, or can be a public hazard, such as bug infestation or weak bark, are I prohibited. The minimum tree size shall be two (2) inches caliper, IIeither bare root in season, or balled and burlapped. The trees may not II -11- I E. II ' be planted in the boulevard. The Developer shall sod the front yard, ' boulevard, side yards to the rear of the structure on every lot, and drainage ways. Weather permitting, the trees, sod, and seed shall be ' planted before Certificates of Occupancy are issued for a lot. 12. Warranty. The Developer warrants all work required to be ' performed by it against poor material and faulty workmanship for a ' period of one (1) year after its completion and acceptance by the City. All trees, grass, and sod shall be warranted to be alive, of good quality, and disease free at the time of planting. All trees shall be warranted for twelve (12) months from the time of planting. The Developer shall post maintenance bonds or other security acceptable to the City to secure the warranties at the time of final acceptance. 13. Lot Plans. Prior to the issuance of building permits an ' acceptable Grading, Erosion Control, and Tree Removal Plan shall be submitted for each lot as required in the Special Provisions, for review ' and approval by the City Engineer. Each plan shall assure that drainage is maintained away from buildings and that tree removal is consistent with City Ordinance. ' 14. Existing Assessments. Any existing assessments against the plat will be respread against the plat in accordance with City ' standards. 15. Street Lighting. Before the City signs the final plat, the ' Developer shall pay the City a fee of $200. 00 for each street light installed in the plat. The fee shall be used by the City for furnishing electricity for each light for twenty (20) months or until homes have been built on each lot in the plat, whichever first occurs. 1 -12- - --- 16. Street Signs. All street name and traffic signs required II by the City as a part of the public improvements shall be furnished and II installed by the City at the sole expense of the Developer. 17 . Responsibility for Costs. I A. The Developer shall pay an administrative fee in conjunction with the development of the plat to cover the cost of City II staff time and overhead. The fee shall be calculated as follows: II i) if the cost of the construction of public improvements is less than $500, 000, three percent (3%) of construction costs; I ii) if the cost of the construction of public improvements is between $500, 000 and $1, 000, 000, two II percent (2%) of construction costs; iii) if the cost of the construction of public I improvements is over $1, 000, 000, one and one-half percent (1 1/2%) of construction costs. Before the City signs the final plat, the Developer shall deposit with I the City a fee based upon construction estimates. After construction is completed, the final fee shall be determined based upon actual II construction costs. The cost of public improvements is defined in paragraph 6 of the Special Provisions. II B. In addition to the administrative fee, the Developer II shall reimburse the City for all out-of-pocket costs incurred by the City in monitoring and inspecting development of the plat. I C. The Developer shall hold the City and its officers and employees harmless from claims made by itself and third parties for II damages sustained or costs incurred resulting from plat approval and I development. The Developer shall indemnify the City and its officers and employees for all costs, damages, or expenses which the City may pay or II incur in consequence of such claims, including attorneys' fees. II -13- I IN II D. In addition to the administrative fee, the Developer shall reimburse the City for costs incurred in the enforcement of this Contract, including engineering and attorneys' fees. ' E. The Developer shall pay in full all bills submitted to it by the City for obligations incurred under this Contract within ' thirty (30) days after receipt. If the bills are not paid on time, the ' City may halt all plat development work and construction, including but not limited to the issuance of building permits for lots which the ' Developer may or may not have sold, until the bills are paid in full. Bills not paid within thirty (30) days shall accrue interest at the rate of 8% per year. ' F. In addition to the charges and special assessments referred to herein, other charges and special assessments may be imposed such as but not limited to sewer availability charges ("SAC") , City water connection charges, City sewer connection charges, and building ' permit fees. 18. Developer's Default. In the event of default by the Developer as to any of the work to be performed by it hereunder, the ' City may, at its option, perform the work and the Developer shall promptly reimburse the City for any expense incurred by the City, provided the Developer is first given notice of the work in default, not less than four (4) days in advance. This Contract is a license for the ' City to act, and it shall not be necessary for the City to seek a Court order for permission to enter the land. When the City does any such work, the City may, in addition to its other remedies, assess the cost ' in whole or in part. ' -14- 19. Miscellaneous. A. Construction Trailers. Placement of on-site construction trailers and temporary job site offices shall be approved by the City Engineer as a part of the pre-construction meeting for ' installation of public improvements. Trailers shall be removed from the subject property within thirty (30) days following the acceptance of the public improvements unless otherwise approved by the City Engineer. B. Postal Service. The Developer shall provide for the maintenance of postal service in accordance with the local Postmaster's ' request. C. Third Parties. Third parties shall have no recourse ' against the City under this Contract. D. Breach of Contract. Breach of the terms of this Contract by the Developer shall be grounds for denial of building permits, including lots sold to third parties. E. Severability. If any portion, section, subsection, sentence, clause, paragraph, or phrase of this Contract is for any reason held invalid, such decision shall not affect the validity of the remaining portion of this Contract. ' F. Delays. If building permits are issued prior to the completion and acceptance of public improvements, the Developer assumes ' all resulting liability and costs from delays in completion of public improvements and damage to public improvements caused by the City, ' Developer, its contractors, subcontractors, materialmen, employees, agents, or third parties. G. Occupancy. Unless approved in writing by the City , engineer, no one may occupy a building for which a building permit is -15- ' issued on either a temporary or permanent basis until the streets needed for access have been paved with a bituminous surface. H. Waivers/Amendments. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Contract. To be binding, amendments or waivers shall be in writing, signed by the parties and approved by written resolution of the City ' Council. The City's failure to promptly take legal action to enforce this Contract shall not be a waiver or release. ' I. Release. This Contract shall run with the land and may be recorded against the title to the property . After the Developer has completed the work required of it under this Contract, at the ' Developer's request the City will execute and deliver to the Developer a release. tJ. Insurance. Developer shall take out and maintain until six (6) months after the City has accepted the public improvements, public liability and property damage insurance covering personal injury, including death, and claims for property damage which may arise out of ' Developer's work or the work of its subcontractors or by one directly or ' indirectly employed by any of them. Limits for bodily injury and death shall be not less than $500, 000 for one person and $1, 000, 000 for each ' occurrence; limits for property damage shall be not less than $200, 000 for each occurrence; or a combination single limit policy of $1, 000, 000 ' or more. The City shall be named as an additional insured on the policy, ' and the Developer shall file with the City a certificate evidencing coverage prior to the City signing the plat. The certificate shall ' provide that the City must be given ten (10) days advance written notice ' -16- of the cancellation of the insurance. The certificate may not contain 1 any disclaimer for failure to give the required notice. I K. Remedies. Each right, power or remedy herein conferred upon the City is cumulative and in addition to every other right, power or remedy, express or implied, now or hereafter arising, available to City, at law or in equity, or under any other agreement, and each and I every right, power and remedy herein set forth or otherwise so existing I may be exercised from time to time as often and in such order as may be deemed expedient by the City and shall not be a waiver of the right to I exercise at any time thereafter any other right, power or remedy. L. Assignability. The Developer may not assign this I Contract without the written permission of the City Council. The IDeveloper's obligation hereunder shall continue in full force and effect even if the Developer sells one or more lots, the entire plat, or any I part of it. M. Construction Hours. Construction equipment may only be I operated in the plat between 7:00 a.m. and 6: 00 p.m. , Monday through Saturday. Operation of construction equipment is also prohibited on the I following holidays: New Year's Day, Memorial Day, Labor Day, July 4th, I Christmas Eve Day, and Christmas Day. I II II II -17- I Y