ITEM 3.11 Hansen Heights Final Plat0
Ot�ezoF
MINNESOTA
DEPARTMENT INFORMATION
Request for
City Council Action
ORIGINATING DEPARTMENT
REQUESTOR:
MEETING DATE:
Planning
City Planner Licht
22 July 2019
PRESENTER(s)
REVIEWED BY:
ITEM #:
City Planner Licht
City Administrator/Finance Director Flaherty
City Engineer Wagner
City Attorney MacArthur
3.11—Hansen Heights Final
Plat
STRATEGIC VISION
MEETS:
I THE CITY OF OTSEGO:
ARE YOU SEEKING APPROVAL OF A CONTRACT?
Is a strong organization that is committed to leading the community through innovative
communication.
Yes
Has proactively expanded infrastructure to responsibly provide core services.
BACKGROUND/JUSTIFICATION:
Is committed to delivery of quality emergency service responsive to community needs and
expectations in a cost-effective manner.
X
Is a social community with diverse housing, service options, and employment opportunities.
application to amend the preliminary plat to include an addition parcel. The area included in the revised
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City staff recommends approval of a final plat and execution of a development agreement.
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS A PUBLIC HEARING REQUIRED?
Yes
No
BACKGROUND/JUSTIFICATION:
VHF Investments has submitted application to final plat the first phase of the Hansen Heights subdivision
consisting of 29 single family lots, two of which are existing homes. The City Council approved the
preliminary plat and a PUD -CUP for the development on 22 April 2019. The developer has also submitted
application to amend the preliminary plat to include an addition parcel. The area included in the revised
preliminary plat is not part of this final plat application and will be final platted with a future addition.
■ Zoning. The subject site is zoned R-4, Residential Urban Single Family District. Single family lots
are a permitted use within the R-4 District.
■ Preliminary Plat Consistency. The final plat consists of 29 single family lots accessed by public
streets in a configuration consistent with the preliminary plat. Lots 27 and 28, Block 2 are each
large tracts that each include an existing single family dwelling. These large lots will be
resubdivided with future final plats in accordance with the approved preliminary plat (as may be
amended).
■ Lot Requirements. The preliminary plat approval establishes minimum lot requirements shown in
the table below for the lots within this final plat. All of the proposed lots within the final plat
comply with these minimum lot requirements.
Landscaping. Two trees are to be installed within each lot (not including Lots 27 and 28, Block 2).
The preliminary plat included approval of a landscape plan to provide for buffer yard plantings
abutting Odean Avenue and 75th Street as required by Section 10-16-7.D of the Zoning Ordinance.
The development agreement includes a security for the installation and warranty for these
plantings.
Streets. The proposed lots are to be accessed by local public streets entering the development
from 75th Street at Odell Avenue. The proposed local streets are to be 28 feet wide with concrete
curb and gutter within a 60 foot wide right-of-way. A 5 foot concrete sidewalk is provided on 1
side of all streets. Section 8-8-4 of the City Code specifies installation of street lighting for new
subdivisions at the corners of intersecting streets and midblock locations for blocks longer than 900
feet. The development contract provides for payment of the street light operation fee of as
established by the City Code. Street names will be established in accordance with Section 10-8-
10.6.13 of the Subdivision Ordinance and the Wright County grid system. The east -west street
labeled as Ohland Avenue must be designated as numbered street. All street designs, construction
plans, and street names are subject to review and approval by the City Engineer.
Easements. The final plat illustrates drainage and utility easements at the perimeter of each single
family lot and overlaying stormwater facilities as required by Section 10-8-12.A of the Subdivision
Ordinance. All drainage and utility easements are subject to approval of the City Engineer.
■ Grading and Drainage Plans. The developer has submitted grading and drainage plans for the
proposed final plat. All grading, drainage, and erosion control plans are subject to review and
approval by the City Engineer.
Utilities. The developer has submitted utility plans for the proposed final plat that are subject to
review and approval by the City Engineer. The developer is required to pay Utility Availability
Charges at the time of final plat approval as outlined Financial Summary exhibit included in the
development agreement. Utility connection charges are to be paid when a building permit is
issued for each lot in accordance with the fee schedule in effect at that time.
■ Outlot A. The final plat includes Outlot A that includes Lefebvre Creek and wetlands below the
ridgeline along the east portion of the development. The developer will dedicate Outlot A to the
City. Deeding this parcel will not be credited for park and trail dedication purposes and these
requirements for the preliminary plat are to be satisfied by payment of a cash fee in lieu of land
calculated on a per lot basis at the time of final plat approval.
■ Park and Trail Dedication. The Future Parks and Trail Plan does not identify acquisition of land for
active park within the subject site. Park dedication requirement are to be met as a cash fee in lieu
of land. The park dedication fee in lieu of land in accordance with the City's current fee schedule
for the final plat is included in the development agreement.
Lot
Area
Lot
Width
Lot
Depth
Setbacks
Front
Side
Rear
75th St.
Odean Ave.
Wetland
Interior
12,OOOsf.
75ft.
100ft.
35ft.
10ft.
20ft.
65ft.
40ft.
Corner
100ft.
Landscaping. Two trees are to be installed within each lot (not including Lots 27 and 28, Block 2).
The preliminary plat included approval of a landscape plan to provide for buffer yard plantings
abutting Odean Avenue and 75th Street as required by Section 10-16-7.D of the Zoning Ordinance.
The development agreement includes a security for the installation and warranty for these
plantings.
Streets. The proposed lots are to be accessed by local public streets entering the development
from 75th Street at Odell Avenue. The proposed local streets are to be 28 feet wide with concrete
curb and gutter within a 60 foot wide right-of-way. A 5 foot concrete sidewalk is provided on 1
side of all streets. Section 8-8-4 of the City Code specifies installation of street lighting for new
subdivisions at the corners of intersecting streets and midblock locations for blocks longer than 900
feet. The development contract provides for payment of the street light operation fee of as
established by the City Code. Street names will be established in accordance with Section 10-8-
10.6.13 of the Subdivision Ordinance and the Wright County grid system. The east -west street
labeled as Ohland Avenue must be designated as numbered street. All street designs, construction
plans, and street names are subject to review and approval by the City Engineer.
Easements. The final plat illustrates drainage and utility easements at the perimeter of each single
family lot and overlaying stormwater facilities as required by Section 10-8-12.A of the Subdivision
Ordinance. All drainage and utility easements are subject to approval of the City Engineer.
■ Grading and Drainage Plans. The developer has submitted grading and drainage plans for the
proposed final plat. All grading, drainage, and erosion control plans are subject to review and
approval by the City Engineer.
Utilities. The developer has submitted utility plans for the proposed final plat that are subject to
review and approval by the City Engineer. The developer is required to pay Utility Availability
Charges at the time of final plat approval as outlined Financial Summary exhibit included in the
development agreement. Utility connection charges are to be paid when a building permit is
issued for each lot in accordance with the fee schedule in effect at that time.
■ Outlot A. The final plat includes Outlot A that includes Lefebvre Creek and wetlands below the
ridgeline along the east portion of the development. The developer will dedicate Outlot A to the
City. Deeding this parcel will not be credited for park and trail dedication purposes and these
requirements for the preliminary plat are to be satisfied by payment of a cash fee in lieu of land
calculated on a per lot basis at the time of final plat approval.
■ Park and Trail Dedication. The Future Parks and Trail Plan does not identify acquisition of land for
active park within the subject site. Park dedication requirement are to be met as a cash fee in lieu
of land. The park dedication fee in lieu of land in accordance with the City's current fee schedule
for the final plat is included in the development agreement.
■ Development Agreement. The City Attorney has drafted a development agreement related to the
proposed final plat to provide for completion of all public improvements, establishment of required
securities and payment of applicable fees. The Development Agreement is to be adopted by
resolution of the City Council concurrent with the final plat approval and executed prior to
recording of the final plat.
SUPPORTING DOCUMENTS ATTACHED:
■ Site location map
■ Engineering Review dated June 20, 2019
■ Findings of Fact and Decision
■ Resolution 2019-38 approving a development agreement
■ Development Agreement
■ Final Plat (3 sheets)
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE ITTO APPEAR IN THE MINUTES:
Motion to approve the final plat of Hansen Heights subject to the conditions as outlined in the Findings of
Fact and Decision as presented and adopt Resolution 2019-38 approving a Development Agreement.
BUDGET INFORMATION
FUNDING: BUDGETED:
N/A
IO
Review No. 2
_. Hakanson
■■ Anderson
ENGINEERING REVIEW
Residential Subdivision
for the City of Otsego
by
Hakanson Anderson
Submitted to: Honorable Mayor and City Council
cc: Adam Flaherty, City Administrator
Tami Loff, City Clerk
Dan Licht, City Planner
Andy MacArthur, City Attorney
Scott Dahlke, P.E., Civil Engineering Site Design
Henry Hansen, VHF Investments, LLC
Reviewed by: Ronald J. Wagner, P.E.
Brent M. Larson, P.E.
Date: June 20, 2019
Proposed
Development: Hansen Heights
Street Location A portion of the SE '/4 of Section 28, T121, R23 and a portion of
of Property: the SW 1/a of Section 27, T121, R23. East of Odean Avenue NE
and North of 72nd Street NE.
Applicant: Henry Hansen
Developer: VHF Investments, LLC
1450543 d Avenue N.
Plymouth, MN 55446
Owners of Record: VHF Investments, LLC
Purpose: Hansen Heights is a proposed 116 lot (+1 existing) single-family
residential development on approximately 87.09 acres in the City
of Otsego, Wright County, Minnesota. The proposed development
will be served with municipal water, sanitary sewer, storm sewer,
and public streets typical of an urban setting.
Jurisdictional Agencies: City of Otsego, Wright County, Minnesota Department of
(but not limited to) Health, Minnesota Department of Natural Resources, Minnesota
Pollution Control Agency, Wright Soil and Water Conservation
District.
Permits Required: NPDES, Minnesota Department of Health (water),
(but not limited to) Minnesota Pollution Control Agency (sanitary sewer), and Wright
County
TABLE OF CONTENTS
INFORMATION AVAILABLE
PRELIMINARY PLATS
COVER SHEET
OVERALL LAYOUT AND PHASING PLAN
PRELIMINARY PLAT
GRADING AND DRAINAGE PLANS
SANITARY AND WATER UTILITY PLANS
STORM SEWER UTILITY PLANS
STREET PROFILE PLANS
STORM WATER POLLUTION PREVENTION PLAN
DETAILS
FINAL PLAT
CONSTRUCTION PLANS
COVER SHEET
OVERALL LAYOUT, UTILITY NOTES
SANITARY & WATER UTILITY PLAN
STORM SEWER & STREET PLAN
DETAILS
SURFACE WATER MANAGEMENT
WETLANDS
OTHER CONSIDERATIONS
SUMMARY AND/OR RECOMMENDATION
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INFORMATION AVAILABLE
Preliminary Plans for Hansen Heights, dated 6/5/19, by Civil Engineering Site Design.
Final Plat for Hansen Heights, received 6/11/19, by Meyer-Rohlin Land Services
Constuction Plans for Hansen Heights, dated 6/11/19, by Civil Engineering Site Design
Storm Water Management Plan for Hansen Heights, dated 5/30/19, by Civil Engineering Site
Design.
Wetland Delineation Report for Hansen Property, dated 10/30/18, by AG Wetland Services, Inc.
Wetland Notice of Decision for Hansen Property, dated 11/9/18, by LGU (City of Otsego)
Additional Information
Minnesota Rules, Chapter 4410 — EAW Requirement
City of Otsego Engineering Manual
City of Otsego Zoning and Subdivision Ordinances
National Wetland Inventory Map
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PRELIMINARY PLANS
COVER SHEET
1. No Comments.
OVERALL LAYOUT AND PHASING PLAN
2. No Comments.
PRELINIMARY PLAT
3. No street centerline information is shown in the preliminary plans. But based on the lot
dimensions at the right-of-way it appears that all horizontal curves have a minimum 250'
radius or a 90' radius and there is a minimum 100' tangent between all horizontal curves.
Please confirm.
GRADING AND DRAINAGE PLANS
4. Garage floor elevation shall be a minimum of 18" above the adjacent top of curb. (Ll,B4
Ph 2 and L4,134 Ph 2 and L8,133 Ph 2 and L19,B3 Ph 2 and
5. A maximum of 2.5' would be allowed from the house elevation to the side lot line
elevation (10' side yard setback) to not exceed a 4:1 slope (only R-4 zoned lots are of
concern). These may require retaining walls, additional drainage easement to cover cross
drainage, or the elevations adjusted. The final grading plans for each phase shall provide
labels on the property line at the front and/or rear setback lines between all houses with
elevations greater that 2.5'.
6. Drainage shall be direct towards the side lot lines and pushed as far to the front or rear of
the lots as possible before being allowed to flow across the adjacent lot. All cross
drainage shall be covered by drainage easement.
7. Update plans with new street names.
Please label the existing ground EOF north of Lots 1 and 2, Block 1 Phase 3. It appears
to be at approximately 924.7.
9. A dedicated overflow is needed for the Storm Basin to the creek. This overflow shall be
protected with concrete -cable mat. Also, the basin shall have a maintenance path to
access OCS-4. This path shall have a maximum 10:1 cross -slope and be able to be driven
by City trucks.
SANITARY AND WATER UTILITY PLANS
10. No comments.
STORM SEWER UTILITY PLANS
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After discussion with the Scott Dahlke, Civil Engineering Site Design, these existing
basins are dry and normally do not hold any water. If they ever do raise high enough to
overland discharge onto the new Hansen Heights site the water is directed to storm sewer
structures in the rear yards which is also covered by Drainage and Utility Easements.
Also, installing a new storm sewer pipe beyond Hansen Heights boundary would disturbe
land and trees not controlled by the developer. No storm sewer pipe will be required.
STREET PROFILE PLANS
12. Odell Avenue is misspelled.
13. The vertical curve at station 8+75 along Odell Avenue does not meet a 30 -mph design
speed.
14. The minimum center line slope for all streets is 0.6%.
STORM WATER POLLUTION PREVENTION PLAN
15. No Comments.
DETAILS
16. No Comments.
FINAL PLAT
17. We recommend Lot 16, Block 2 be Outlot B.
18. The entire Outlot A shall have drainage and utility easement covering it.
19. The sanitary sewer between Lots 11 and 12, Block 1 is approx. 30' deep near the Ohland
Avenue right-of-way. Only 20' on each side of the pipe is being dedicated as D&U. 30'
of easement is needed on each side of the pipe.
20. Lot 17-27, Block 2 should be Lots 1-11, Block 3. This also agrees with the grading
plans.
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21. All cross drainage shall be covered by drainage easement. (i.e. L2,132 and L5,132 and
L2,B3 and L6,133)
CONSTRUCTION PLANS
COVER SHEET
22. No Comments.
OVERALL LAYOUT, UTILITY NOTES
23. Provide 2 -yr, 10 -yr, and 100 -yr HWL elevations for the storm water basin(s).
SANITARY & WATER UTILITY PLANS
24. No valves are shown at tees or crosses. All junctions shall have n-1 valves, where n = the
number of legs at the junction. Valves shall be strategically placed to minimalize the
number of houses that would lose water incase of a watermain break. Distance between
valves shall be no greater than 800'.
25. We recommend turning off the street vertical curve information and contours from the
sanitary and water plan sheets to help reduce clutter.
26. MH 3 is missing in the plan view on sheet C2.1.
27. The connection to the existing sanitary manhole in 75th Street may be done with an inside
drop. But the last 20' of pipe into the drop shall be DIP.
28. The watermain coming up the hill from 75th Street appears to be placed at a 4:1 slope.
Additional anchoring of the watermain will be needed. Consider placing the watermain
at a straight grade from near MH 2 to Ohland Avenue. This would lessen the slope and
may reduce or eliminate the need to anchor the watermain here.
29. Call out a length of DIP required at all fire hydrants.
30. Temporary hydrants at the end of watermain for flushing purpose on the south end of
Odell Ave
31. MH 3 is missing in the plan view on sheet C2.1.
32. The existing 18" RCP storm sewer along the south side of 75th Street has an invert of
approx. 920.0 where the watermain is proposed to cross. This appears to be less than
24" and will require 4" of insulation. Insulation will also be required at the storm
crossing the watermain at approx. station 13+50 Ohland Avenue.
33. The water service at station 3+50 Odell Ave must be on the upstream side of the sanitary.
This water service will need 4" insulation between the storm sewer.
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STORM SEWER & STREET PLANS
34. Storm sewer inverts, which outlet to detention basins, shall be placed at the normal
elevation of the basin. Storm sewers may be submerged a max of %2 the pipe diameter
below the basin normal elevation.
35. The corner radius of local streets to collector street shall be no less than 30 feet (Odell
Ave at 75th Street).
36. The intersections shall have grade of curb radii labeled. Additional detail is needed for
all pedestrian ramps showing elevations/grades in compliance with ADA requirements.
37. Concrete washout area shall be depicted.
38. P.A.B. drains are required at all low points and on the high side of pipe crossings on a
slope where the pipe is protruding from the subgrade.
39. The storm pipe between CBMH 54 and 53 shall be RCP or Polypropylene. HDPE is not
allowed under streets.
40. FES B is 2' above the bottom of the dry pond. We recommend lowering the invert to the
bottom of the pond to eliminate erosion issues.
DETAILS
41. Otsego Std Plate 701 is no longer valid. Please use/refer to MnDOT standard plates for
all pedestrian ramps.
SURFACE WATER MANAGEMENT
42. Verify existing ground water elevations are a minimum 3' below infiltration basin
bottom.
43. Please submit revised storm sewer design calculations as well as inlet spread calculations.
WETLANDS
44. No Comments.
OTHER CONSIDERATIONS
45. Please submit a Geotechnical Exploration Report prepared by a professional engineer.
46. No final grading plans for Phase 1 have been received. Is it the intention to grade the
entire site at one time? Also, the final plans do not have an erosion control plan included.
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47. A statement certifying the environmental condition of the site including the presence of
any hazardous substance as defined in Minnesota Statutes 11513.02, Subd 8 is required.
Developer's Engineer has indicated that they have confirmed with the property owner that
no hazardous substances are known. This shall be confirmed in writing.
SUMMARY AND/OR RECOMMENDATION
Please revise and resubmit.
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MINNESOTeA V
APPLICANT: VHF Investments, LLC
17 Jul 19
FINDINGS & DECISION
FINAL PLAT
APPLICATION: Request for approval of a final plat to be known as Hansen Heights.
CITY COUNCIL MEETING: 22 July 2019
FINDINGS: Based upon review of the application and evidence received, the Otsego City Council
now makes the following findings of fact:
A. The legal description of the property is described by Exhibit A.
B. The property lies within the East Sewer District and is guided for Low Density Residential
land uses by the 2012 Otsego Comprehensive Plan, as amended.
C. The property is zoned R-4, Residential Urban Single District; single family dwellings are a
permitted use within the R-4 District.
D. A preliminary plat of the property and a PUD -CUP to address certain lot requirement
flexibilities was for approved by the City Council on 22 April 2019.
E. The proposed final plat consists of 29 single family lots, 1 outlot, and public rights-of-way.
F. The Request for Council action for the 22 July 2019 City Council meeting prepared by the
City Planner, The Planning Company LLC., is incorporated herein.
G. The Engineering Review dated June 20, 2019 prepared by the City Engineer, Hakanson
Anderson Associates, Inc., is incorporated herein.
H. Applications for final plat approval are processed in accordance with Section 10-5-3 of the
Subdivision Ordinance and do not require review by the Planning Commission.
DECISION: Based on the foregoing information and applicable ordinances, the request is hereby
APPROVED, subject to the following conditions:
Lots within the final plat shall be subject to the following requirements:
2 Two trees within each lot (not including Lots 27 and 28, Block 2) and buffer yard plantings
abutting Odean Avenue and 75th Street as required by Section 10-16-7.D of the Zoning
Ordinance shall be installed in accordance with the approved landscape plan.
1
Lot
Area
Lot
Width
Lot
Depth
Setbacks
Front
Side
Rear
75 1h St.
Odean
Ave.
Wetland
Interior
12,000sf.
75ft.
100ft.
35ft.
1Oft.
20ft.
65ft,
40ft.
Corner
100ft.
2 Two trees within each lot (not including Lots 27 and 28, Block 2) and buffer yard plantings
abutting Odean Avenue and 75th Street as required by Section 10-16-7.D of the Zoning
Ordinance shall be installed in accordance with the approved landscape plan.
1
3. Plans for street design and construction shall subject to review and approval of the City
Engineer including:
a. Installation and operation of street lights required by Section 8-8-4 of the City Code.
b. Street names shall be established in accordance with Section 10-8-10.13.13 of the
Subdivision Ordinance and the Wright County grid system.
C. Fabrication and installation of street signs.
4. All grading, drainage, wetland, and erosion control issues are subject to review and approval
of the City Engineer.
5. All utility plans are subject to review and approval of the City Engineer.
6. The developer shall pay utility availability charges at the time of final plat approval in
accordance with the fee schedule then in effect.
7. All easements are subject to review and approval of the City Engineer.
8. Outlot A shall be deeded to the City for stormwater management purposes.
9. Park and trail dedication requirements shall be satisfied by payment of a cash fee in lieu of
land in accordance with the City's fee schedule as provided for by the Development
Agreement.
10. The developer shall execute a development agreement as drafted by the City Attorney and
subject to approval of the City Council.
MOTION BY:
SECOND BY:
ALL IN FAVOR:
THOSE OPPOSED:
Attest:
ADOPTED by the City Council of the City of Otsego this 22nd day of July, 2019.
Tami Loff, City Clerk
2
CITY OF OTSEGO
By:
Jessica L. Stockamp, Mayor
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CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO. 2019-38
RESOLUTION APPROVING DEVELOPERS AGREEMENT
HANSEN HEIGHTS
WHEREAS, VHF Investments, LLC has an approved Plat known as HANSEN
HEIGHTS; and
WHEREAS, the approved Plat requires construction of public improvements and
payment of City costs and fees; and
WHEREAS, those obligations are contained and memorialized in the attached
Developers Agreement; and
WHEREAS, the Developers Agreement also sets forth the security required to
assure satisfactory construction of public improvements and establishes the
various remedies available to the City in the event that Developer breaches the
terms and conditions of the Agreement.
NOW, THEREFORE BE IT RESOLVED by the City Council of the City of
Otsego, Wright County, Minnesota as follows;
1. The attached Developers Agreement between the City of Otsego and VHF
Investments, LLC is hereby approved in form, subject to modification of
fees, charges and security as approved by City staff.
2. The Mayor and City Clerk are hereby authorized to execute the final
Developers Agreement on behalf of the City of Otsego.
ADOPTED this 22nd day of July, 2019 by the City Council of Otsego.
MOTION TO ADOPT the Resolution by Council Member
and seconded by Council Member
IN FAVOR:
OPPOSED:
CITY OF OTSEGO
Jessica Stockamp, Mayor
Tami Loff, City Clerk
DEVELOPMENT AGREEMENT
HANSEN HEIGHTS
AGREEMENT entered into this day of August, 2019 between the City of
Otsego ("City"), a municipal corporation organized under the laws of the State of
Minnesota, and VHF Investments, LLC, a limited liability company under the laws of the
State of Minnesota ("Developer").
1. Request for Plat Approval. The Developer has requested that the City
approve that plat entitled HANSEN HEIGHTS. The legal description of the
property covered by this Agreement is as follows:
See Exhibit A.
The Plat contains twenty nine (29) single family residential lots and one outlot. The plat is
located within the City's East Sewer District, is zoned R-4, Residential Urban Single Family
District as approved by Ordinance adopted by the City Council on April 22, 2019.
2. Conditions of Plat Approval. The City hereby approves the Plat on
condition that the Developer enter into this Agreement, furnish the security required by it,
and record the Agreement with the Wright County Recorder or Registrar of titles within
one hundred (100) days after the City Council approves the Agreement. The Developer
shall cooperate with the City in recording the Agreement and all required additional deeds
and documents and providing assurance that the Agreement and all required documents
have been properly and timely recorded.
3. Right to Proceed. Within the Plat, the Developer may not grade or otherwise
disturb the earth, remove trees, construct sewer lines, storm sewers, water lines, streets,
utilities, public or private improvements, or any buildings or structures until all the
following conditions have been satisfied: 1) this Agreement has been fully executed by
both parties and filed with the City Clerk, and all conditions contained in the Agreement
have been met, 2) the necessary security has been received by the City, 3) this Agreement
has been recorded with the Wright County Recorder's Office, 4) The Developer has
initiated and attended a pre -construction meeting with the City Engineer, and 5) the Zoning
Administrator has issued a letter that all conditions have been satisfied and that the
Developer may proceed; or until such time as approval to commence earlier construction is
specifically approved by the City, and Developer has fully complied with all conditions set
forth by City staff.
4. Sanitary Sewer Service Allocation. The allocation of sanitary sewer service
to twenty seven (27) of the twenty nine (29) lots within the Plat does not occur until all
required security has been posted.
5. Changes in Official Controls. HANSEN HEIGHTS is a planned and staged
development within the meaning of Minn. Stat. 462.358, Subd. 3c, and no amendment to
the City's Comprehensive Plan or other Official Controls shall apply to or affect the use,
development density, lot size, lot layout, or platting requirements for HANSEN HEIGHTS
for a period of five (5) years. Thereafter, notwithstanding anything in this Agreement 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, other Official Controls enacted after the
date of this Agreement. This provision does not apply to regulations or Official Controls
related to park and trail dedication or any fee established by the City chargeable to the
Developer for municipal costs arising from said future phases.
6. Development Plans. The Plat shall be developed in accordance with the
plans on file at the office of the City Clerk and the conditions stated below. If the plans vary
from the written terms of this Agreement, the written terms shall control. The plans are:
Plan A Final Plat, HANSEN HEIGHTS prepared by Meyer-Rohlin Land
Services.
Plan B Grading, Drainage, and Erosion Control Plan prepared by Civil
Engineering Site Design and as finally approved by the City Engineer.
Plan C Sanitary Sewer, Water Main, Storm Sewer and Streets Plans for
HANSEN HEIGHTS, as prepared by Civil Engineering Site Design
and as finally approved by the City Engineer.
Plan D Landscape Plan for HANSEN HEIGHTS, prepared by Civil
Engineering Site Design, and as finally approved by the City Zoning
Administrator.
K
7. Improvements. The Developer shall install and/or pay for the following:
A. Streets
B. Street lights
C. Site grading and ponding
D. Underground installation of all utilities
E. Sanitary sewer lines
F. Water lines
G. Storm water management improvements
H. Setting of lot and block monuments
I. Construction surveying and staking
J. Traffic control signs
Improvements shall be installed in accordance with City standards, the City
Code, and the above -referenced plans that have been furnished to the City and approved by
the City Engineer. The Developer shall obtain all necessary permits before proceeding with
construction. The City shall provide adequate field inspection personnel to assure
acceptable quality control, which will allow certification of the construction work. The City
may, when reasonably required to do so by the City Engineer, and at the Developer's
expense, have one (1) or more City inspectors and a qualified engineer inspect the work.
Within thirty (30) days after the completion of the improvements and before all retained
security is released, the Developer shall supply the City with a complete set of reproducible
"as constructed" and an electronic file of the "as constructed" plans in AutoCAD.DWG file
or a .DXF file, all prepared in accordance with City standards. Before the security for the
completion of utilities is fully released, iron monuments shall be installed in accordance
with Minnesota Statutes 505.02. The Developer's surveyor shall submit a written notice to
the City certifying that the monuments are installed following site grading, utility and street
construction.
8. Contractors/Subcontractors. City Council members, City employees, and
City Planning Commission members, and corporations, partnerships and other entities in
which such individuals have greater than a twenty five percent (25%) ownership interest or
in which they are an officer or director may not act as contractors or subcontractors for the
public improvements identified in Paragraph 7 above.
9. Permits. The Developer shall obtain or require its contractors and
subcontractors to obtain all necessary permits, which may include, but are not limited to:
A. Wright County for County Road access and work in County right of
way.
B. MNDOT for State Highway Access
C. MNDOT for work in right of way
D. Minnesota Department of Health for watermains
E. MPCA NPDES Permit for construction activity
3
F. MPCA for sanitary sewer and hazardous material removal and
disposal
G. DNR for dewatering
H. City of Otsego for building permits
I. City of Otsego for sanitary sewer connections
J. City of Otsego for retaining walls
10. Dewatering. Due to the variable nature of groundwater levels and
stormwater flows, it will be the Developer's and the Developer's contractors and
subcontractors responsibility to satisfy themselves with regard to the elevation of
groundwater in the area and the level of effort needed to perform dewatering and storm
flow routing operations. All dewatering shall be in accordance with all applicable County,
State, and Federal rules and regulations. DNR regulations regarding appropriations permits
shall be strictly followed.
11. Time of Performance. The Developer shall install all listed improvements
by October 1, 2020, with the exception of the final wear course of asphalt on streets and
landscaping. The final wear course on streets shall be installed between August 15th and
October 15th the first summer after the base layer of asphalt has been in place one freeze
thaw cycle. The Developer may request an extension of time from the City to be submitted
in writing to the City Clerk, for which said extension shall be conditioned upon updating the
security posted by Developer to reflect cost increases and the extended completion date.
Final wear course placement outside of the above time frame must have the written
approval of the City Engineer. The City may impose additional conditions on the extension
necessary to ensure performance.
12. Right of Entry. The Developer hereby grants to the City, its agents,
employees, officers and contractors an irrevocable right of entry to enter the Plat to perform
any and all work and inspections necessary or deemed appropriate by the City during the
installation of improvements by Developer or the City, or to make any necessary corrective
actions necessary by the City. Except in emergency situations, as defined by the City, the
City shall give the developer thirty (30) business days notice stating the deficiencies and
necessary corrections prior to making any corrective action. Said right of entry shall
continue until the City finally accepts the improvements and any applicable warranty period
has expired.
13. Erosion Control. Prior to initiating site grading, and before any utility
construction is commenced or further building permits are issued, the erosion control plan,
Plan B, shall be implemented by the Developer and inspected and approved by the City. If
the City Engineer determines that it would be unreasonable to require full implementation
of the erosion control plan prior to utility construction or issuance of certain building
permits, he shall state in writing what construction can take place and what particular
building permits can be issued prior to full implementation. The City may impose
additional erosion control requirements if, in the opinion of the City Engineer, they would
4
DEVELOPMENT AGREEMENT
HANSEN HEIGHTS
AGREEMENT entered into this day of August, 2019 between the City of
Otsego ("City"), a municipal corporation organized under the laws of the State of
Minnesota, and VHF Investments, LLC, a limited liability company under the laws of the
State of Minnesota ("Developer").
1. Request for Plat Approval. The Developer has requested that the City
approve that plat entitled HANSEN HEIGHTS. The legal description of the
property covered by this Agreement is as follows:
See Exhibit A.
The Plat contains twenty nine (29) single family residential lots and one outlot. The plat is
located within the City's East Sewer District, is zoned R-4, Residential Urban Single Family
District as approved by Ordinance adopted by the City Council on April 22, 2019.
2. Conditions of Plat Approval. The City hereby approves the Plat on
condition that the Developer enter into this Agreement, furnish the security required by it,
and record the Agreement with the Wright County Recorder or Registrar of titles within
one hundred (100) days after the City Council approves the Agreement. The Developer
shall cooperate with the City in recording the Agreement and all required additional deeds
and documents and providing assurance that the Agreement and all required documents
have been properly and timely recorded.
3. Right to Proceed. Within the Plat, the Developer may not grade or otherwise
disturb the earth, remove trees, construct sewer lines, storm sewers, water lines, streets,
utilities, public or private improvements, or any buildings or structures until all the
following conditions have been satisfied: 1) this Agreement has been fully executed by
both parties and filed with the City Clerk, and all conditions contained in the Agreement
have been met, 2) the necessary security has been received by the City, 3) this Agreement
has been recorded with the Wright County Recorder's Office, 4) The Developer has
initiated and attended a pre -construction meeting with the City Engineer, and 5) the Zoning
Administrator has issued a letter that all conditions have been satisfied and that the
Developer may proceed; or until such time as approval to commence earlier construction is
specifically approved by the City, and Developer has fully complied with all conditions set
forth by City staff.
4. Sanitary Sewer Service Allocation. The allocation of sanitary sewer service
to twenty seven (27) of the twenty nine (29) lots within the Plat does not occur until all
required security has been posted.
5. Changes in Official Controls. HANSEN HEIGHTS is a planned and staged
development within the meaning of Minn. Stat. 462.358, Subd. 3c, and no amendment to
the City's Comprehensive Plan or other Official Controls shall apply to or affect the use,
development density, lot size, lot layout, or platting requirements for HANSEN HEIGHTS
for a period of five (5) years. Thereafter, notwithstanding anything in this Agreement 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, other Official Controls enacted after the
date of this Agreement. This provision does not apply to regulations or Official Controls
related to park and trail dedication or any fee established by the City chargeable to the
Developer for municipal costs arising from said future phases.
6. Development Plans. The Plat shall be developed in accordance with the
plans on file at the office of the City Clerk and the conditions stated below. If the plans vary
from the written terms of this Agreement, the written terms shall control. The plans are:
Plan A Final Plat, HANSEN HEIGHTS prepared by Meyer-Rohlin Land
Services.
Plan B Grading, Drainage, and Erosion Control Plan prepared by Civil
Engineering Site Design and as finally approved by the City Engineer.
Plan C Sanitary Sewer, Water Main, Storm Sewer and Streets Plans for
HANSEN HEIGHTS, as prepared by Civil Engineering Site Design
and as finally approved by the City Engineer.
Plan D Landscape Plan for HANSEN HEIGHTS, prepared by Civil
Engineering Site Design, and as finally approved by the City Zoning
Administrator.
K
7. Improvements. The Developer shall install and/or pay for the following:
A. Streets
B. Street lights
C. Site grading and ponding
D. Underground installation of all utilities
E. Sanitary sewer lines
F. Water lines
G. Storm water management improvements
H. Setting of lot and block monuments
I. Construction surveying and staking
J. Traffic control signs
Improvements shall be installed in accordance with City standards, the City
Code, and the above -referenced plans that have been furnished to the City and approved by
the City Engineer. The Developer shall obtain all necessary permits before proceeding with
construction. The City shall provide adequate field inspection personnel to assure
acceptable quality control, which will allow certification of the construction work. The City
may, when reasonably required to do so by the City Engineer, and at the Developer's
expense, have one (1) or more City inspectors and a qualified engineer inspect the work.
Within thirty (30) days after the completion of the improvements and before all retained
security is released, the Developer shall supply the City with a complete set of reproducible
"as constructed" and an electronic file of the "as constructed" plans in AutoCAD.DWG file
or a .DXF file, all prepared in accordance with City standards. Before the security for the
completion of utilities is fully released, iron monuments shall be installed in accordance
with Minnesota Statutes 505.02. The Developer's surveyor shall submit a written notice to
the City certifying that the monuments are installed following site grading, utility and street
construction.
8. Contractors/Subcontractors. City Council members, City employees, and
City Planning Commission members, and corporations, partnerships and other entities in
which such individuals have greater than a twenty five percent (25%) ownership interest or
in which they are an officer or director may not act as contractors or subcontractors for the
public improvements identified in Paragraph 7 above.
9. Permits. The Developer shall obtain or require its contractors and
subcontractors to obtain all necessary permits, which may include, but are not limited to:
A. Wright County for County Road access and work in County right of
way.
B. MNDOT for State Highway Access
C. MNDOT for work in right of way
D. Minnesota Department of Health for watermains
E. MPCA NPDES Permit for construction activity
3
F. MPCA for sanitary sewer and hazardous material removal and
disposal
G. DNR for dewatering
H. City of Otsego for building permits
I. City of Otsego for sanitary sewer connections
J. City of Otsego for retaining walls
10. Dewatering. Due to the variable nature of groundwater levels and
stormwater flows, it will be the Developer's and the Developer's contractors and
subcontractors responsibility to satisfy themselves with regard to the elevation of
groundwater in the area and the level of effort needed to perform dewatering and storm
flow routing operations. All dewatering shall be in accordance with all applicable County,
State, and Federal rules and regulations. DNR regulations regarding appropriations permits
shall be strictly followed.
11. Time of Performance. The Developer shall install all listed improvements
by October 1, 2020, with the exception of the final wear course of asphalt on streets and
landscaping. The final wear course on streets shall be installed between August 15th and
October 15th the first summer after the base layer of asphalt has been in place one freeze
thaw cycle. The Developer may request an extension of time from the City to be submitted
in writing to the City Clerk, for which said extension shall be conditioned upon updating the
security posted by Developer to reflect cost increases and the extended completion date.
Final wear course placement outside of the above time frame must have the written
approval of the City Engineer. The City may impose additional conditions on the extension
necessary to ensure performance.
12. Right of Entry. The Developer hereby grants to the City, its agents,
employees, officers and contractors an irrevocable right of entry to enter the Plat to perform
any and all work and inspections necessary or deemed appropriate by the City during the
installation of improvements by Developer or the City, or to make any necessary corrective
actions necessary by the City. Except in emergency situations, as defined by the City, the
City shall give the developer thirty (30) business days notice stating the deficiencies and
necessary corrections prior to making any corrective action. Said right of entry shall
continue until the City finally accepts the improvements and any applicable warranty period
has expired.
13. Erosion Control. Prior to initiating site grading, and before any utility
construction is commenced or further building permits are issued, the erosion control plan,
Plan B, shall be implemented by the Developer and inspected and approved by the City. If
the City Engineer determines that it would be unreasonable to require full implementation
of the erosion control plan prior to utility construction or issuance of certain building
permits, he shall state in writing what construction can take place and what particular
building permits can be issued prior to full implementation. The City may impose
additional erosion control requirements if, in the opinion of the City Engineer, they would
4
be beneficial. All areas disturbed by the excavation and backfilling operations shall be
reseeded forthwith after the completion of the work in that area. If the Developer does not
comply with the erosion control plan and schedule or any supplementary instructions, the
City may, with reasonable notice and opportunity to cure, take action as it deems
appropriate.
14. Grading Plan. Plat grading shall be in accordance with the approved
grading plan, Plan B. The plan shall conform to City specifications and the City Code.
Ponds, swales, and ditches shall be constructed on public easements or land owned by the
City. Within thirty (30) days after completion of grading and before any retained security is
fully released, the Developer shall provide the City with an "as built" grading plan including
certification by a registered land surveyor or qualified engineer that all ponds, swales, and
ditches have been constructed on public easements or land owned by the City. "As built"
plans shall include field verified elevations of the following:
A. Cross sections of ponds
B. Location and elevations of swales and ditches
C. Lot corners and house pads
Occupancy permits shall not be issued by the Building Official until the
grading and drainage plan is certified as set forth above.
15. Clean Up. The Developer shall promptly clean any and all dirt and debris
from streets and construction sites in accordance with the City Code resulting from
construction work by the Developer, its agents or assigns.
16. Ownership of Improvements. Upon acceptance by the City Council of the
work and construction required by this Agreement, improvements lying within public
easements and public right-of-way shall become City property without further notice or
action.
17. Streets. The Developer agrees to maintain the streets in the Plat until the
base course bituminous surfacing has been applied. Should the City be required to grade the
street prior to paving, the cost of such grading shall be paid by the Developer and drawn
from the Developer's Letter of Credit. The City agrees to snow plow the streets within the
Plat once the base course has been placed, but prior to City acceptance of the Street(s). All
work done by the City, prior to formal acceptance will be done upon agreement herein that
the Developer that it will hold harmless, defend and fully indemnify the City from any and
all liability claims of whatever nature related to and arising from such work. Any
maintenance, grading or plowing undertaken by the City prior to formal acceptance of the
Streets will constitute no acceptance or evidence of acceptance of the street(s) in question.
The final wear course shall not be constructed until at least one construction season
after the base construction is completed and shall be delayed one more construction season
s
be beneficial. All areas disturbed by the excavation and backfilling operations shall be
reseeded forthwith after the completion of the work in that area. If the Developer does not
comply with the erosion control plan and schedule or any supplementary instructions, the
City may, with reasonable notice and opportunity to cure, take action as it deems
appropriate.
14. Grading Plan. Plat grading shall be in accordance with the approved
grading plan, Plan B. The plan shall conform to City specifications and the City Code.
Ponds, swales, and ditches shall be constructed on public easements or land owned by the
City. Within thirty (30) days after completion of grading and before any retained security is
fully released, the Developer shall provide the City with an "as built" grading plan including
certification by a registered land surveyor or qualified engineer that all ponds, swales, and
ditches have been constructed on public easements or land owned by the City. "As built"
plans shall include field verified elevations of the following:
A. Cross sections of ponds
B. Location and elevations of swales and ditches
C. Lot corners and house pads
Occupancy permits shall not be issued by the Building Official until the
grading and drainage plan is certified as set forth above.
15. Clean Up. The Developer shall promptly clean any and all dirt and debris
from streets and construction sites in accordance with the City Code resulting from
construction work by the Developer, its agents or assigns.
16. Ownership of Improvements. Upon acceptance by the City Council of the
work and construction required by this Agreement, improvements lying within public
easements and public right-of-way shall become City property without further notice or
action.
17. Streets. The Developer agrees to maintain the streets in the Plat until the
base course bituminous surfacing has been applied. Should the City be required to grade the
street prior to paving, the cost of such grading shall be paid by the Developer and drawn
from the Developer's Letter of Credit. The City agrees to snow plow the streets within the
Plat once the base course has been placed, but prior to City acceptance of the Street(s). All
work done by the City, prior to formal acceptance will be done upon agreement herein that
the Developer that it will hold harmless, defend and fully indemnify the City from any and
all liability claims of whatever nature related to and arising from such work. Any
maintenance, grading or plowing undertaken by the City prior to formal acceptance of the
Streets will constitute no acceptance or evidence of acceptance of the street(s) in question.
The final wear course shall not be constructed until at least one construction season
after the base construction is completed and shall be delayed one more construction season
s
if at least 75% build out is not achieved. However, the final wear course shall not be
delayed for a period longer than two years after the base course is paved, regardless of build
out; in which case, the Developer shall provide an escrow for fog sealing the streets in the
event the final wear course is placed prior to 75% build out.
Upon final completion of streets and formal acceptance by the City as a City street
rather than a private drive, the Developer shall guarantee to the City for a period of two (2)
years that the streets have been constructed to City standards. The warranty period shall
not commence until such time as street construction is completed and the streets are
accepted as City streets by the City. The two (2) year warranty set forth above commences
upon the date on which the City accepts the streets by resolution.
18. Sewage Treatment. No occupancy permit for any building within the Plat
will be issued by the City unless the Building Official has inspected both the sewer and
water connections to the building and has certified that they have been constructed
satisfactorily in accordance with City specifications and the City Code.
19. Administrative Fee. A fee for City Administration of this project is set forth
on the attached Financial Summary, Exhibit B.
20. Sewer Availability Charges. The Sewer Availability Charges for the Plat
due upon Final Plat approval is as set forth on the attached Financial Summary, Exhibit B.
21. Sewer Connection Fees. Sanitary sewer connection fees are paid at the time
of issuance of a building permit. The applicable amount due per unit shall be the fee per
REC unit in place at the time of application for a building permit.
22. Water Availability Charges. The Water Availability Charges for the Plat
due upon Final Plat approval is as set forth in the attached Financial Summary Exhibit B.
23. Water Connection Fees. Water connection fees are paid at the time of
issuance of a building permit. The applicable amount due per unit shall be the fee per REC
unit in place at the time of application for a building permit.
24. Park and Trail Dedication. The Park and Trail Dedication for the Plat is as
set forth on the attached Financial Summary Exhibit B.
25. Storm Water Management Fee. The Trunk Storm Water Fee for the Plat is
as set forth on the attached Financial Summary Exhibit B.
26. Street and Traffic Control Signs. Before the City signs the final plat, the
Developer shall pay the City for installation of traffic control signs (stop signs, street signs,
dead-end signs and wetland signs). The said amount is as set forth on the attached Financial
6
Summary Exhibit B. Using these funds, the City shall purchase and install the street and
traffic control signs.
27. Street Light Construction. The Developer shall pay for the operation and
maintenance of the street lights for a period of two (2) years. In order to facilitate payment
for operation and maintenance of street lights, the Developer shall submit a fee as set forth
on the attached Financial Summary Exhibit B. The operation and maintenance of the street
lights by the City shall not commence until such time as the street lights are actually
constructed. Street lighting shall conform to adopted City Code.
28. City Engineering Administration and Construction Observation, Legal
Fees Escrow and City Fees. The Developer shall pay a fee for consulting engineering
administration following approval of the Plat. City engineering administration will include
consultation with Developer and its engineer on status or problems regarding the project,
monitoring during the warranty period, general administration and processing of requests
for reduction in security. Fees for this service shall be the actual amount billed for those
services, which are estimated to be three percent (3%) of the estimated construction cost of
the Plan C Improvements to be inspected, assuming normal construction and project
scheduling. The Developer shall pay for construction observation performed by the City
Engineer. Construction observation shall include part or full time observation, as
determined by the City Engineer, of proposed street, sanitary sewer, water and storm
drainage construction and will be billed on hourly rates actually required for said inspection,
which are estimated to be five percent (5%) of the estimated construction cost of the Plan C
Improvements to be inspected. In the event of prolonged construction or unusual problems,
the City will notify the Developer of anticipated cost overruns for engineering
administration and observation services. Any amounts for engineering administration not
utilized from this escrow fund shall be returned to the Developer when all improvements
have been completed, all financial obligations to the City satisfied, and the required "as
constructed" plans have been received by the City.
The escrow and fee account shall also include estimated fees for Legal
expenses actually incurred (with any excess funds, if any, returned to Developer as
indicated further in this Paragraph 29), City Administrative Fee (a flat fee due upon
execution of this Agreement), Trunk Water and Sewer Access Fees (a flat fee due upon
execution of this Agreement), Transportation Infrastructure Costs (a flat fee due upon
execution of this Agreement), Park and Trail Dedication Fees (a flat fee due upon execution
of this Agreement), Street Light Maintenance and Operation Fee (a flat fee due upon
execution of this Agreement) and shall be established as set forth on the attached Financial
Summary Exhibit B.
This escrow amount shall be submitted to the City prior to the City executing
this Agreement. All administrative and legal fees related to plan review, drafting of this
Agreement and any other necessary items shall be paid to the City prior to execution of this
Agreement. Any amounts for legal and engineering not utilized from this escrow fund shall
be returned to the Developer when all improvements have been completed, all financial
obligations to the City satisfied, and the required "as constructed" plans have been received
by the City.
All other amounts listed as flat fees are non-refundable and available
immediately for City use when posted.
29. Security. To ensure compliance with the terms of this Agreement, and
construction of all public improvements, the Developer shall furnish the City with a cash
escrow or Irrevocable Standby Letter of Credit with automatic renewal provisions in the
amount as set forth on the attached Financial Summary Exhibit B.
The issuer and form of the security (other than cash escrow) shall be subject
to City approval. The security shall be issued by a banking institution in good standing as
determined by the City and approved by the City Administrator. The City shall have the
ability to draw on the security at a bank or branch bank located within fifty (50) miles of the
City Hall. The security shall be for a term ending October 1, 2020 and shall contain an
automatic renewal provision. The City may draw down the security for any violation of the
terms of this Agreement, or upon receiving notice of the pending expiration of the security.
It shall be the responsibility of the Developer to inform the City at least thirty (30) days
prior to expiration of the security of the impending expiration and the status of the project
relative to the security and this Agreement. If, for whatever reason, the security lapses prior
to complete compliance with this Agreement (other than during any warranty period), the
Developer shall immediately provide the City with either an extension of the security or an
irrevocable letter of credit of the same amount upon notification of the expiration. If the
required improvements are not completed at least thirty (30) days prior to the expiration of
the security, the City may also draw down the security. If the security is drawn down the
proceeds shall be used to cure any default.
Upon receipt of proof satisfactory to the City that work has been completed
and financial obligations to the City have been satisfied, with City approval, the security
may be reduced from time to time down to the amount of warranty security. A warranty
security as set forth on the attached Financial Summary Exhibit B shall be posted with the
City as set forth in paragraph 34 of this Agreement. The warranty period shall be a twelve
(12) month period after the applicable work has been completed.
Notwithstanding the posting of that warranty security, the security shall not
be reduced below ten percent (10%) of the posted security until all Improvements have been
completed, all financial obligations to the City satisfied (which includes posting of warranty
security), and the required "as built" plans have been received by the City. The intent of this
Agreement is that the City shall have access to sufficient security, either security or
warranty security, to complete the project and insure warranty on all public improvements at
all times.
s
This security amount shall be submitted to the City prior to execution of the
Agreement. All administrative and legal fees related to plan review, drafting of this
Agreement and any other necessary items shall be paid to the City prior to execution of this
Agreement.
The security for this Agreement shall be an Irrevocable Standby Letter of
Credit with automatic renewal provisions conforming to the requirements of this Paragraph
or cash in the amount set forth in the attached Financial Summary Exhibit B.
30. Landscaping. The Developer shall install two (2) trees upon each lot within
the Plat of a species approved by the Zoning Administrator. These plantings may not be
installed in a public right-of-way. Any security posted for this agreement or prior additions
may be used to cure any defects in the event that the Developer, it assigns or successors fail
to install landscaping according to this Agreement. Landscaping security to insure
compliance with the approved Landscape Plan shall be $3,000 per lot to be posted with the
City at the time of application for a building permit on each lot. Any trees which can cause a
public nuisance or public hazard, such as bug infestation or weak bark, are specifically
prohibited.
The Developer, Builders or Property Owners (applicant for building permit)
in the residential lot area shall sod all front yards within the buildable portion of each lot
and shall post any security required by the City to assure landscaping or other items in
compliance with the City Code at the time of application for a building permit on each lot.
The Developer, Builder or Property Owner shall provide not less than six (6) inches of
topsoil in required front yards or side yards abutting public rights-of-way. Where slopes lie
in excess of ten (10) percent, sodding (staked) shall be required. Weather permitting, the
trees, grass seed and sod shall be planted before Certificates of Occupancy are issued. All
grass seed shall be maintained so that turf is established within one (1) year of planting.
If landscaping as required by the City Code and this Agreement is not timely
completed, the City, after reasonable notice and opportunity to cure, may enter the lot or
lots, perform the work, and apply any posted security toward the cost. The Developer, it
assigns or successors, Builder or Property Owner will provide will provide all trees, grass,
seed and sod within the Plat and shall maintain said plantings and warrant them to remain
alive, of good quality and disease free for twelve (12) months after planting. Any
replacement shall be warranted for twelve (12) months from the time of planting.
Developer is also required to implement a Landscaping Plan including buffer
yard landscaping along City collector and arterial streets as well as designated other
plantings. Security shall be posted in order to insure compliance with the approved
Landscaping Plan.
31. Significant Trees. There are no significant trees within the Phase. The
Developer is not required to replace any significant trees.
9
32. Meters. Meters shall be provided as per City policy.
33. 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, except for warranty on streets which is set forth in
Section 17 of this Agreement. The amount of posted warranty security for public
improvements to be posted by the Developer shall be in the amount as set forth in the
attached Financial Summary Exhibit B. The amount, has been determined by the City
Engineer, and is based upon the costs of the raw materials and labor which would be
necessary to correct the most common deficiencies in such public improvements.
34. Claims. The Developer shall pay any subcontractor within ten (10) days of
the Developer's receipt of payment by the City for undisputed services provided by the
subcontractor. In the event that the City receives claims from labor, materialmen, or others
that perform work required by this Agreement, which is provided to real property owned
by the City, and the sums due them have not been paid, and the laborers, materialmen or
others are seeking payment from the City, the Developer hereby authorizes the City to
commence an interpleader action pursuant to Rule 22, Minnesota Rules of Civil Procedure
for the District Courts, to draw upon the letters of credit in an amount up to one hundred
twenty-five percent (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 pertains to the letters of credit deposited with the District
Court, except that the Court shall retain jurisdiction to determine attorney fees pursuant to
this Agreement. In the event that the Developer desires to make a cash deposit instead of
drawing down the letter of credit if a claim is made as stated above, they shall immediately
notify the City of this intent at the time the claim is made and shall delivery one hundred
twenty-five percent (125%) of the claim to the City within ten (10) days of such notice in
the form of cash or certified check.
35. Restrictions. The following restrictions apply to the property and all lots
thereon shall be held, sold, and conveyed subject to the following conditions and
restrictions, which are for the purpose of protecting the value and desirability of the Plat and
insuring that all conditions imposed by the City in this Agreement are properly recorded
against the property. Said conditions shall run with the real property and be binding on all
parties having a right, title or interest in the plat or any part thereof, their heirs, executors,
representatives, successors and assigns: Developer shall convey Outlot A to the City.
36. Responsibility for Costs.
A. Except as otherwise specified herein, the Developer shall pay all costs
incurred by them or the City in conjunction with the development of
the Plat, including, but not limited to, legal, planning, engineering, and
inspection expenses incurred in connection with development of said
10
Plat, the preparation of this Agreement, and all costs and expenses
incurred by the City in monitoring and inspecting development of the
Plat.
B. The Developer shall hold the City and its officers and employees
harmless from claims made by itself and third parties for damages
sustained or costs incurred resulting from Plat development, except for
negligence of City, the Developer shall indemnify the City and its
officers and employees for all costs, damages or expenses which the
City may pay or incur in consequence of such claims, including
attorney's fees.
C. The prevailing party shall reimburse the non -prevailing party for costs
incurred in the enforcement of this Agreement, including engineering
fees, attorney's fees, and costs and disbursements.
D. The Developer shall pay in full all bills submitted to it by the City for
obligations incurred under this Agreement within thirty (30) days after
receipt, unless the Developer is in good faith and with all due
diligence disputing the payment of the same. If the bills are not paid
on time, the City may, after notice and a reasonable period of time to
cure said default, halt all plat development work and construction,
including but not limited to the issuance of building permits for lots
which the Developers may or may not have sold, until all bills are paid
in full. Claims not paid within thirty (30) days shall accrue interest at
the rate of twelve percent (12%) per year.
37. 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 City may then draw down the security established in Paragraph 17 to pay for any work
undertaken, provided the Developer is first given notice of the work in default, not less than
seven (7) days in advance and a reasonable period of time to cure said default. This notice
provision does not apply if the work performed by the City or its contractors is of an
emergency nature, as determined at the reasonable discretion of the city. Should such
emergency work be required the City will make all reasonable efforts to notify the
Developer as soon as possible. When the City does any such work, the City may, in
addition to its other remedies, assess the cost in whole or in part pursuant to any applicable
statutes or ordinances.
38. Miscellaneous.
A. The Developer represents to the City that to best of its knowledge, the
Plat complies with all City, County, State, and Federal laws and
regulations, including but not limited to, Subdivision Ordinances,
Zoning Ordinances, and environmental regulations except where
specifically excluded by this agreement. If the City determines that
the Phase does not comply, the City may, at its option, refuse to allow
11
construction or development work in the plat until the Developer does
comply. Upon the City's demand, the Developer shall cease work
until there is compliance.
B. Third parties shall have no recourse against the City under this
Agreement.
C. Breach of any of the terms of this Agreement by the Developer shall
be grounds for denial or revocation of building permits.
D. If any portion, section, subsection, sentence, clause, paragraph or
phrase of this Agreement is for any reason held invalid, such decision
shall not affect the validity of the remaining portion of this Agreement.
E. If building permits are issued by the City prior to the completion and
acceptance of public improvements, the Developer shall assume all
liability for the costs resulting in any delay in completion of public
improvements and damage to any public improvements caused by the
City, the Developer, its contractors, subcontractors, materialmen,
employees, agents, or third parties. No one may occupy a building for
which a building permit is issued on either a temporary or permanent
basis until the streets needed for access have been paved with a
bituminous surface, unless a specific exception is approved by the
City.
F. The action or inaction of the City shall not constitute a waiver or
amendment to the provisions of this Agreement. 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 Agreement shall not be a
waiver or release.
G. This Agreement shall run with the land, shall be recorded against the
title to the property and all properties therein established by the Plat,
and shall be binding on all parties having any right, title or interests in
this phase of the plat or any part thereof, their heirs, successors, and
assigns. After the Developer has completed the work required of them
under this Agreement as set forth in Section 8, at the Developer's
request, the City will execute and deliver to the Developers a release
or partial release (s) of this Agreement.
H. The Developer shall take out and maintain until one (1) year after the
City has accepted the public improvements, public liability and
property damage insurance covering personal injury, including death,
and any claims for property damage which may arise out of the
Developer's work or the work of their subcontractors or by one
directly or indirectly employed by any of them. Limits for bodily
injury and death shall not be less than $500,000.00 for one person and
$1,000,000.00 for each occurrence; limits for property damage shall be
not less than $200,000.00 for each occurrence. The City shall be
named as an additional named insured on said policy, and the
12
Developer shall file a copy of the insurance coverage with the City
prior to the City issuing further building permits.
I. 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 every right,
power and remedy herein set forth or otherwise so existing 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
exercise at any time thereafter any other right, power or remedy.
J. The Developer shall pay for all local costs related to drainage
improvements required to complete the construction according to the
plans and conditions that are a part of this Agreement.
K. Should development of the plat proceed at a pace slower than
anticipated, and for that reason, specific terms of this agreement
become onerous or unduly burdensome to the Developers, upon
his/her application, the City will enter into negotiations regarding
those specific terms and shall not unreasonably withhold consent to
appropriate changes in the terms of this Agreement.
L. The Developer shall demonstrate and maintain compliance with the
1991 Wetland Conservation Act.
M. The Developer shall be responsible for all on site drainage as well as
for any affects that their actions may have on adjoining properties.
Specifically, the Developer shall maintain existing drainage tiles on
site, and shall be responsible for any and all drainage problems related
to either the site drainage tiles or problems with on-site drainage
facilities to be constructed in accordance with this agreement and plat
approval.
39. Notices. Required notices to the Developer shall be in writing, and shall be
either hand delivered to the Developer, their employees or agents, or mailed to the
Developer by registered mail at the following address: Attention: Henry Hansen, VHF
Investments, LLC, 14505 43rd Avenue NE, Plymouth, MN 55446. Notice to the City shall
be in writing and shall be either hand delivered to the City Clerk at the following address:
City of Otsego, City Hall, 13400 90' Street NE, Otsego, MN 55330, Attention: City Clerk
13
CITY OF OTSEGO
Jessica Stockamp, Mayor
Tami Loff, City Clerk
DEVELOPER
VHF INVESTMENTS, LLC
M
STATE OF MINNESOTA )
ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
2019, by Jessica Stockamp, Mayor and by Tami Loff, City Clerk,
of the City Otsego, a Minnesota municipal corporation, on behalf of the City and pursuant
to the authority of the City Council.
Notary Public
14
STATE OF MINNESOTA )
ss.
COUNTY OF )
The foregoing instrument was acknowledged before me this day of
2019 by the for VHF Investments,
LLC, a Minnesota Limited Liability Company with authority and on behalf of the company.
DRAFTED BY:
MACARTHUR LAW OFFICE, LLC
3601 Thurston Avenue North
Suite 103
Anoka, MN 55303
(763)231-5850
15
Notary Public
EXHIBIT A
LEGAL DESRIl'TION
The North Three Quarters of the North Half of the Southeast Quarter of Section 28,
Township 121, Range 23, Wright County, Minnesota except the North 172 feet of the West
348 feet of the North Three Quarters of the North Half of said Southeast Quarter and except
the South 29.88 rods of the West 133.84 rods of the North Three Quarters of the North Half
of said Southeast Quarter and except that part of the North Three Quarters of the North Half
of said Southeast Quarter which lies South and West of the following described line:
Commencing at the northwest corner of the Southeast Quarter of said Section 28; thence
South 01 degrees 05 minutes 27 seconds East; assumed bearing, along the west line of said
Southeast Quarter of Section 28 a distance of 172.00 feet to the point of beginning of the
line to be described; thence North 89 degrees 19 minutes 43 seconds East 531.50 feet;
thence South 00 degrees 37 minutes 51 seconds East 11.97 feet; thence Southerly 126.72
feet along a tangential curve concave to the east having a radius of 1030.0 feet and a
central angle of 07 degrees 02 minutes 56 seconds; thence South 07 degrees 40 minutes 47
seconds East tangent to said curve 109.84 feet; thence Southerly 77.53 feet along a
tangential curve concave to the west having a radius of 970.00 feet and a central angle of
04 degrees 34 minutes 46 seconds to a point on the north line of the South 29.88 rods of the
North Three Quarters of the North Half of the Southeast Quarter of said Section 28 and said
line there terminating.
Iwo
The South 29.88 rods of the West 133.84 rods of the North three- fourths of the North Half
of the Southeast Quarter of Section 28, except the South 200.00 feet of the West 1089.00
feet of said North three- quarters of the North Half of the Southeast Quarter of Section 28,
Township 121, Range 23, Wright County, Minnesota.
The West'/4 of the North 2/3 of the West 3/4 of the North Half of the Southwest Quarter of
Section 27, Township 121, Range 23, Wright County, Minnesota.
Outlot A, HIDDEN HAVEN, according to the recorded plat thereof, Wright County,
Minnesota.
Vacated Packard Avenue N.E. dedicated in HIDDEN HAVEN, according to the recorded
plat thereof, Wright County, Minnesota, being the easterly 40.00 feet of said plat of
HIDDEN HAVEN.
16
The west 330.00 feet of the east 660.00 feet of the South Half of the Southeast Quarter of
Section 28, Township 121, Range 23, Wright County, Minnesota.
17
EXHIBIT B
FINANCIAL SUMMARY (ATTACHED)
18
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HANSEN HEIGHTS IST ADDITION
EXHIBIT
Summary of Financial Responsibility
Developer's Agreement
City of Otsego
VHF Investments, LLC
I. Security - Letter of Credit
A. Site Grading, Erosion & Sediment Control and Wetland Protection
B. Sanitary Sewer - Lateral & Trunk
C. Watermain - Lateral & Trunk
D. Storm Sewer - Lateral
E. Streets
F. Engineering & Surveying Construction Services (6.5%)
G. Landscaping
Subtotal
Total Irrevocable Letter of Credit for Security (125% of Subtotal)
II. Escrow - Cash
A. Legal Service - 1.0% of $878,656.00
B. City Administrative - 1.0% of $878,656.00
C. City Construction Administration and Utility & Street Inspection
8% of $878,656.00
D. Trunk Water & Sewer Access Fees
1. Trunk Sewer SAC
27 REC X $2,552 /REC
2. Trunk Water WAC
27 REC X $1,781 /REC
E. Trunk Storm Water Management Impact Fee
39.77 Gross Ac X $2,476 /Gross Acre
F. Park & Trail Dedication Fee
27 Units X $1,968 /Unit
G. Street & Traffic Control Signs
26 Signs X $250 /Sign
H. Street Li hts
51 Lights X $500/light
I. GIS Data Entry Fee
39.77 Ac X $100 /Acre
Total Escrow Cash
$55,200.00
$162,253.00
$189,689.00
$239,232.00
$287,482.00
$59,700.00
$39,870.00
$1,033,426.00
$1,291,782.50
$8,786.56
$8,786.56
$70,292.48
$68,904.00
$48,087.00
$98,470.52
$53,136.00
$6,500.00
$2,500.00
$3,977.00
$369,440.12
PAGE 1 OF 2
7/18/2019
HANSEN HEIGHTS 1ST ADDITION
EXHIBIT
Summary of Financial Responsibility
Developer's Agreement
City of Otsego
VHF Investments, LLC
III. Development Credits
A. Trunk Sanitary Sewer $0.00
B. Trunk Watermain $0.00
C. Trunk Storm Water Management $0.00
D. Park & Trail $0.00
E. Transportation Infastructure $0.00
Total Development Credits $0.00
IV. Development Warranty Letter of Credit
A. Sanitary Sewer
$162,253.00 x 15 % $24,337.95
B. Watermain
$189,689.00 x 15 % $28,453.35
C. Storm Sewer
$239,232.00 x 15 % $35,884.80
D. Streets
1,825 LF x $25/LF $45,625.00
E. Erosion & Sedimentation Control
27 Lot x $250/1-ot $6,750.00
Total Warranty Letter of Credit $141,051.00
PAGE 2OF2
7/18/2019