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3.20 Boulder Creek 5th Addn Request for City Council Action DEPARTMENT INFORMATION ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE: Planning City Planner Licht 13 December 2021 PRESENTER(s) REVIEWED BY: ITEM #: Consent City Administrator/Finance Director Flaherty City Engineer Wagner City Attorney Kendall 3.20 – Boulder Creek 5th Addition STRATEGIC VISION MEETS: THE CITY OF OTSEGO: Is a strong organization that is committed to leading the community through innovative communication. Has proactively expanded infrastructure to responsibly provide core services. 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. 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 development contract. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? Yes No BACKGROUND/JUSTIFICATION: The City Council approved the preliminary plat and PUD-CUP for Boulder Creek on 14 July 2014. Outlot H, Boulder Creek 3rd Addition is a remnant parcel that was conveyed to the abutting property owner, Paul and Mary Hackenmueller, as buildout of the subdivision was completed. The property owners are proposing to plat the outlot into one lot and one outlot. ▪ Preliminary Plat Consistency. The existing outlot is shown on as a lot on the Boulder Creek preliminary plat. As the existing outlot was shown on the preliminary plat as a buildable lot, it is eligible to be final platted as an additional phase of Boulder Creek. ▪ Zoning. The subject site is zoned R-5, Single and Two Family Residential District, which allows single family dwellings as a permitted use. ▪ Lot Requirements. A PUD-CUP was approved with the preliminary plat to establish lot area, width rand setback requirements for the single family lots within Boulder Creek. The proposed lot is 55 feet wide as required of the preliminary plat. The proposed lot is similar in character to the existing lots in Boulder Creek 3rd Addition to the north and east. ▪ Setbacks. The preliminary plat established the following minimum setback requirements. The proposed lot has adequate building area these required setbacks Front/ Side Corner Interior Side Rear Wetland 30ft. 7ft. 20ft interior 65ft. collector 40ft. ▪ Streets. Right-of-way for 71st Street was platted along the full width of the existing outlot with Boulder Creek 3rd Addition with sidewalk on the north side of the street. There is a temporary cul- de-sac in place at the terminus of 71st Street until such time as the Hackenmueller parcel to the west is subdivided and the street is extended. There is no need for additional right-of-way or street construction, street signs, or street lights with the final platting of the proposed lot. ▪ Landscaping. Section 11-19-2.B of the Zoning Ordinance requires that two shade trees a minimum of 2.5 caliper inches be planted within the lot. As the lot abuts 70th Street (CSAH 38), which is designated as a minor arterial roadway by the Transportation Plan, a landscape buffer yard as required by Section 11-19-3.B of the Zoning Ordinance must also be planted. Installation of the landscaping requiring by the Zoning Ordinance is to be made a condition for issuance of a certificate of occupancy for development of the proposed lot. ▪ Utilities. Sewer and water utility lines were installed at the front of the existing outlot with Boulder Creek 3rd Addition, but do not include connections for development of the existing outlot. The applicant is required to pay Sewer Availability Charges and Water Availability Charges at the time of final plat approval. Utility Connection Charges will be collected at the time a building permit is issued for each lot in accordance with the fee schedule in effect at that time. The City will also collect a security with the development contract for repair of the temporary cul-de-sac to make the necessary connections to the water and sewer lines within the right-of-way. ▪ Grading and Drainage Plans. The submitted plans include a grading plan the existing outlot to provide for a building pad and correction of drainage issues occurring in the area between the existing outlot and the Hackenmueller parcel to the west. All grading and drainage plans are subject to review and approval by the City Engineer. The applicant is required to pay a Stormwater Impact Charge for Lefebvre Creek at the time of final plat approval. ▪ Outlots. The final plat includes one outlot that is the west 27.58 feet of the existing outlot. The proposed outlot is to be retained by the applicant and would be combined with their existing parcel to the west for the purposes of subdividing lots from that parcel in the future. ▪ Easements. The final plat illustrates drainage and utility easements at the perimeter of the proposed single family lot and the overland drainage swale from the Hackenmueller parcel to the west. storm water utilities as required by Section 21-7-15 of the Subdivision Ordinance. All easements are subject to review and approval of the City Engineer. ▪ Park and Trail Dedication. Park and trail dedication requirements for the Boulder Creek preliminary plat are to be satisfied through prior land dedication, completed park and trail improvements, and cash fee in lieu of land. The land dedicated to the City satisfies 57.9 percent of the required park and trail dedication requirement for the preliminary plat. The cash portion of the park and trail dedication requirement for the proposed final plat will be met as 42.1 percent of the current fee in lieu of land. ▪ Development Contract. The City Attorney has drafted a development contract to provide for the conditions of approval and completion of improvements as required by Section 10-10-4.A of the Subdivision Ordinance. The development contract is to be approved concurrent with the final plat by resolution of the City Council and recorded with the final plat. The applicant has 100 days from the date the City Council approves the final plat and development contract to record the documents. SUPPORTING DOCUMENTS ATTACHED: ▪ Site location map ▪ Final Plat ▪ Engineering Review dated December 8, 2021 ▪ Findings of Fact and Decision ▪ Resolution 2021-96 approving a development contract ▪ Development Contract POSSIBLE MOTION PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES: Motion to approve a final plat for Boulder Creek 5th Addition subject to the conditions stated on the findings of fact and decision as presented and adopt Resolution 2021-96 approving a development contract. BUDGET INFORMATION FUNDING: BUDGETED: N/A N/A Site Loca tio n Ma p 921 ft Overvi ew Legend Roads C SAHC L C TYC L MUNIC L PRIVATEC L TWPC L Highw ays Intersta te State Hwy US Hwy City/T ow nship Limits c t Parcels Main Office: 3601 Thurston Avenue, Anoka, MN 55303 Phone: 763/427-5860 Fax: 763/427-0520 www.haa-inc.com MEMORANDUM TO: Honorable Mayor and City Council CC: Adam Flaherty, City Administrator/Finance Director Audra Etzel, City Clerk Dan Licht, City Planner Dave Kendall, City Attorney Paul and Mary Hackenmueller FROM: Ronald Wagner, City Engineer Brent Larson, Assistant City Engineer DATE: December 8, 2021 RE: Boulder Creek 5th Addition (Outlot H of Boulder Creek 3rd Addition) Final Plat Submittal Review We have reviewed the following information provided by SISU Land Surveying and Engineering, dated 8/26/19, for Great River Centre of Otsego 6th Addition: Final Plat for Boulder Creek 5th Addition Other Previous Submitted Plans Construction Plans for Boulder Creek 3rd Addition Grading Plans for Boulder Creek 3rd Addition The submittal is to be considered for final plat acceptance and we would offer the following comments: Final Plat 1. It should be noted that the temporary cul-de-sac outside of the right-of-way is covered by a temporary easement when the cul-de-sac was constructed with Boulder Creek 3rd Addition.   Construction Plans 2. No separate construction plans have been submitted for this Addition. The street and utilities to service this lot were included and installed with Boulder Creek 3rd Addition. Grading Plans 3. No separate grading plans have been submitted for this Addition. The grading of Outlot H was shown and assumed completed with the Boulder Creek 3rd Addition. December 8, 2021 Page 2 Summary and/or Recommendation We recommend approval contingent upon the above comments being addressed. 1 30 Nov 21 BOULDER CREEK 5TH ADDITION FINAL PLAT FINDINGS & DECISION APPLICANT: Paul and Mary Hackenmueller APPLICATION: Request to amend the Zoning Map for land included in the preliminary plat of Parrish Meadows. CITY COUNCIL MEETING: 13 December 2021 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 Outlot H, Boulder Creek 3rd Addition. B. The property lies within the East Sewer District and is guided low density residential land uses by the 2012 Otsego Comprehensive Plan, as amended. C. The property is zoned R-5, Residential Single and Two Family District. D. The City Council approved application for preliminary plat approval and a PUD-CUP on 14 July 2014. E. The applicant is proposing to final plat one lot and one outlot. F. The Request for Council Action dated 13 December 2021 prepared by the City Planner, The Planning Company LLC, is incorporated herein. G. The engineering review dated December 8, 2021 prepared by the City Engineer, Hakanson Anderson, Inc. is incorporated herein. H. Final plat applications are processed in accordance with Section 10-3-3 of the Subdivision Ordinance and do not require a recommendation by the Planning Commission. DECISION: Based on the foregoing information and applicable ordinances, the request is hereby APPROVED, subject to the following conditions: 1. The final plat shall be recorded within 100 days of City Council approval as required by Section 10-5- 3.B.8 of the Subdivision Ordinance. 2 2. The lot within the final plat shall comply with the following setbacks: Front/ Side Corner Interior Side Rear 30ft. 7ft. 65ft. 3. Two shade trees a minimum of 2.5 caliper inches in diameter shall be planted within the lot, one of which shall be in the front yard, prior to issuance of a certificate of occupancy, subject to review and approval of the Zoning Administrator. 4. A landscape buffer yard as required by Section 11-19-3.B.3 of the Zoning Ordinance shall be planted in the rear yard prior to issuance of a certificate of occupancy, subject to review and approval of the Zoning Administrator. 5. All utility plans shall be subject to review and approval of the City Engineer. 6. The builder shall enter into a Development Contract drafted by the City Attorney and approved by the City Council for connection to City utilities prior to issuance of a building permit. 7. All grading, drainage, and erosion control plans shall be subject to review and approval by the City Engineer. 8. All drainage and utility easements shall be subject to review and approval of the City Engineer. 9. The applicant shall pay applicable sewer availability charges of $2,641.00 prior to recording of the final plat; sewer connection charges shall be paid at the time a building permit is issued based on the current fee in effect at that time. 10. The applicant shall pay applicable water availability charges of $1,844.00 prior to recording of the final plat; sewer connection charges shall be paid at the time a building permit is issued based on the current fee in effect at that time. 11. The developer shall satisfy park and trail dedication requirements as a cash fee in lieu of land as set calculated as 42.1 percent of $2,880 = $1,212.48 prior to recording the final plat. 12. The applicant shall pay applicable Stormwater Impact Fees for Lefebvre Creek of $512.60 prior to recording of the final plat. 3 MOTION BY: SECOND BY: ALL IN FAVOR: THOSE OPPOSED: ADOPTED by the City Council of the City of Otsego this 13th day of December, 2021. CITY OF OTSEGO By:________________________________ Jessica L. Stockamp, Mayor Attest: By:____________________________ Audra Etzel, City Clerk 1 CITY OF OTSEGO COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO: 2021-96 APPROVING A DEVELOPMENT CONTRACT FOR BOULDER CREEK 5TH ADDITION WHEREAS, Paul and Mary Hackenmueller (the “developer”) are proposing development of Boulder Creek 5th Addition; and WHEREAS, a final plat for the development was approved by the City Council on 13 December 2021; and WHEREAS, Section 10-10-4.A of the Subdivision Ordinance requires the developer to enter into a development contract to provide the City construction and warranty securities for the public and private improvements and to provide the City various remedies in the event that the developer breaches the terms and conditions of said contract; and WHEREAS, those obligations are outlined and memorialized in the attached Development Contract. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA THAT: 1. The Development Contract attached hereto between the City of Otsego and Paul and Mary Hackenmueller is hereby approved in form subject to modification of fees, charges, and securities as approved by City staff. 2. The final plat and development contract shall be recorded before 31 December 2021 or the fees as provided for in the development contract shall be revised to the 2022 Fee Schedule. 3. The Mayor and City Clerk are hereby authorized to execute the Development Contract on behalf of the City of Otsego. 2 ADOPTED by the City Council of the City of Otsego this 13th day of December, 2021. MOTION BY: SECONDED BY: IN FAVOR: OPPOSED: CITY OF OTSEGO __________________________________ Jessica L. Stockamp, Mayor ATTEST: __________________________________ Audra Etzel, City Clerk 1 219424v1 Boulder Creek 5th Addition (reserved for recording information) DEVELOPMENT CONTRACT (Developer Installed Improvements) BOULDER CREEK 5TH ADDITION CONTRACT dated ____________________, 2021, by and between the CITY OF OTSEGO, a Minnesota municipal corporation (“City”), and PAUL B. HACKENMUELLER AND MARY E. HACKENMUELLER, husband and wife (the “Developer”). 1. REQUEST FOR PLAT APPROVAL. The Developer has asked the City to approve a plat for BOULDER CREEK 5TH ADDITION (referred to in this Contract as the "plat"). The land is situated in the County of Wright, State of Minnesota, and is legally described as: Outlot H, BOULDER CREEK 3RD ADDITION, Wright County, Minnesota, according to the recorded plat thereof. 2. CONDITIONS OF PLAT APPROVAL. The City hereby approves the plat on condition that the Developer enter into this Contract, furnish the security required by it, and record the plat with the County Recorder or Registrar of Titles within 100 days after the City Council approves the final plat. 3. RIGHT TO PROCEED. Within the plat or land to be platted, the Developer may not grade or otherwise disturb the earth or remove trees, unless a grading permit has been approved by the City Engineer following approval of a preliminary plat by the City Council, construct sewer lines, water lines, 2 219424v1 Boulder Creek 5th Addition streets, utilities, public or private improvements, or any buildings until all the following conditions have been satisfied: 1) this contract has been fully executed by both parties and filed with the City Clerk, 2) the necessary security has been received by the City, 3) the necessary insurance for the Developer and its construction contractors has been received by the City, and 4) the plat has been filed with the Wright County Recorder or Registrar of Titles’ office. 5. CHANGES IN OFFICIAL CONTROLS. For five (5) years from the date of this Contract, no amendments to the City’s Comprehensive Plan or official controls shall apply to or affect the use, development density, lot size, lot layout or dedications of the approved plat unless 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. 6. DEVELOPMENT PLANS. The plat shall be developed in accordance with the following plans. The plans shall not be attached to this Contract. The plans may be prepared, subject to the City Engineer’s approval, after entering the Contract, but before commencement of any work in the plat. The City Engineer may approve minor amendments to Plans without City Council approval. If the plans vary from the written terms of this Contract, the written terms shall control. The plans are: Plan A - Plat Plan B - Final Grading, Drainage, and Erosion Control Plan 7. IMPROVEMENTS. The Developer shall install and pay for the following: A. Sanitary Sewer System B. Water System C. Storm Sewer System D. Streets E. Site Grading, Stormwater Treatment/Infiltration Basins, and Erosion Control F. Underground Utilities 3 219424v1 Boulder Creek 5th Addition G. Setting of Iron Monuments H. Surveying and Staking I. Landscaping The improvements shall be installed in accordance with the City subdivision ordinance; City standard specifications for utility and street construction; and any other ordinances including Chapter 6 of the City Code concerning erosion and sediment control. The Developer shall submit plans and specifications which have been prepared by a competent Minnesota registered professional engineer to the City for approval by the City Engineer. 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, its contractors and subcontractors, shall follow all instructions received from the City’s inspectors. The Developer’s engineer shall provide for on-site project management. The Developer’s engineer is responsible for design changes and contract administration between the Developer and the Developer’s contractor. The Developer or its engineer shall schedule a pre-construction meeting at a mutually agreeable time at the City with all parties concerned, including the City staff, to review the program for the construction work. Within thirty (30) days after the completion of the improvements and before the security is released, the Developer shall supply the City with a complete set of reproducible “as- constructed” plans and an electronic file of the “as-constructed” plans in an AutoCAD .DWG file or a .DXF file, all prepared in accordance with City standards. In accordance with Minnesota Statutes 505.021, the final placement of iron monuments for all lot corners must be completed before the applicable security is released. The Developer ’s surveyor shall also submit a written notice to the City certifying that the monuments have been installed following site grading, utility and street construction. 4 219424v1 Boulder Creek 5th Addition 9. 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 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 8 above. 10. PERMITS. The Developer shall obtain or require its contractors and subcontractors to obtain all necessary permits, which may include: A. Wright County for County Road Access and Work in County Rights-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 F. MPCA for Sanitary Sewer and Hazardous Material Removal and Disposal G. DNR for Dewatering H. City of Otsego for Building Permits, Retaining Walls, Irrigation I. MDH for water permits J. MPCA for sewer extension 11. 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 also be strictly followed. 12. TIME OF PERFORMANCE. The Developer shall install all required public improvements by October 31, 2022. 13. STREETS. The Developer agrees to maintain the streets within the Plat until the base course bituminous surfacing has been accepted by the City. Should the City be required to grade the street prior to paving, the cost of such grading shall be paid by the Developer and draw from the Developer’s letter of credit. Should the City determine that snowplowing is necessary prior to street paving, the City will plow 5 219424v1 Boulder Creek 5th Addition the street(s) prior to acceptance of the streets. The Developer shall hold harmless and indemnify the City from any and all liability related to this snow plowing and shall pay all costs associated with this snow plowing. Any plowing undertaken by the City shall 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 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 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 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 period set forth above commences upon the date on which the City accepts the streets by resolution. 14. LICENSE. The Developer hereby grants the City, its agents, employees, officers and contractors a license to enter the plat to perform all work and inspections deemed appropriate by the City in conjunction with plat development. 15. EROSION CONTROL. Prior to initiating site grading, the erosion control plan, Plan B, shall be implemented by the Developer and inspected and approved by the City. The City may impose additional erosion control requirements if they would be beneficial. All areas disturbed by the grading operations shall be stabilized per the MPCA Stormwater Permit for Construction Activity. Seed shall be in accordance with the City’s current seeding specification which may include temporary seed to provide ground cover as rapidly as possible. All seeded areas shall be fertilized, mulched, and disc anchored as necessary for seed retention. The parties recognize that time is of the essence in controlling erosion. If the Developer does not comply with the MPCA Stormwater Permit for Construction Activity or with the erosion control plan and schedule or supplementary instructions received from the City, the City may take such action as it deems appropriate to control erosion. The City will endeavor to notify the Developer in advance 6 219424v1 Boulder Creek 5th Addition of any proposed action, but failure of the City to do so will not affect the Developer’s and City’s rights or obligations hereunder. If the Developer does not reimburse the City for any cost the City incurred for such work within ten (10) days, the City may draw down the letter of credit to pay any costs. No development, utility or street construction will be allowed and no building permits will be issued unless the plat is in full compliance with the approved erosion control plan. 16. GRADING. The plat shall be graded in accordance with the approved grading development and erosion control plan, Plan “B”. The plan shall conform to City of Otsego specifications. Within thirty (30) days after completion of the grading and before the City approves individual building permits (except three (3) model home permits on lots acceptable to the Building Official), the Developer shall provide the City with an “as-constructed” grading plan certified by a registered land surveyor or engineer that all storm water treatment/infiltration basins and swales, have been constructed on public easements or land owned by the City. The “as-constructed” plan shall include field verified elevations of the following: a) cross sections of storm water treatment/infiltration basins; b) location and elevations along all swales, wetlands, wetland mitigation areas if any, locations and dimensions of borrow areas/stockpiles, and installed “conservation area” posts; and c) lot corner elevations and house pads, and all other items listed in City Code. The City will withhold issuance of building permits until the approved certified grading plan is on file with the City and all erosion control measures are in place as determined by the City Engineer. The Developer certifies to the City that all lots with house footings placed on fill have been monitored and constructed to meet or exceed FHA/HUD 79G specifications. The soils observation and testing report, including referenced development phases and lot descriptions, shall be submitted to the Building Official for review prior to the issuance of building permits. Before a building permit is issued, a cash escrow shall be furnished to the City in accordance with the City’s current fee schedule to guarantee compliance with the erosion control and grading requirements and the submittal of an as-built certificate of survey. Prior to the release of the required individual lot grading and erosion control security that is submitted with the building permit, an as-built certificate of survey for single family lots must be submitted to verify that the final as-built grades and 7 219424v1 Boulder Creek 5th Addition elevations of the specific lot and all building setbacks are consistent with the approved grading plan for the development, and amendments thereto as approved by the City Engineer, and that all required property monuments are in place. If the final grading, erosion control and as-built survey is not timely completed, the City may enter the lot, perform the work, and apply the cash escrow toward the cost. Upon satisfactory completion of the grading, erosion control and as-built survey, the escrow funds, without interest, less any draw made by the City, shall be returned to the person who deposited the funds with the City. A certified as-built building pad survey must be submitted and approved for commercial, industrial or institutional developments prior to issuance of a building permit. 17. CLEAN UP. The Developer shall clean dirt and debris from streets that has resulted from construction work by the Developer, home builders, subcontractors, their agents or assigns. Prior to any construction in the plat, the Developer shall identify in writing a responsible party and schedule for erosion control, street cleaning, and street sweeping. 18. OWNERSHIP OF IMPROVEMENTS. Upon completion of the work and construction required by this Contract and final acceptance by the City, the improvements lying within public easements shall become City property without further notice or action. 19. LATERAL STORM SEWER. The Developer shall pay a cash fee in the amount of $512.60 for the Trunk Storm Water Management Impact Fee due upon final plat approval which is calculated as follows: 0.2 Gross Acres X $2,563.00/Gross Acre = $512.60 20. LATERAL AND TRUNK SANITARY SEWER. The Developer shall pay to the City the required water availability charges and sanitary sewer availability charges. The water and sewer availability charges shall be collected according to Section 8-1-6-B of City Code. The Developer shall post a security in the amount of $2,500.00 for Lateral and Trunk Sanitary Sewer prior to issuance of a building permit. 8 219424v1 Boulder Creek 5th Addition The Developer shall pay a cash fee in the amount of $2,641.00 for the Sewer Availability Charge (“SAC”) at the time of plat approval which is calculated as follows: 1 REC X $2,641/REC = $2,641.00 21. LATERAL AND TRUNK WATERMAIN. The Developer shall post a security in the amount of $2,500.00 for the installation of lateral and trunk watermain and connection prior to issuance of a building permit. The Developer shall pay a cash fee in the amount of $1,844.00 for the Water Availability Charge (“WAC”) at the time of plat approval which is calculated as follows: 1 REC X $1,844.00/REC = $1,844.00 22. SEWER CONNECTION CHARGE AND WATER CONNECTION CHARGE. The Developer shall pay to the City required water and sewer connection charges. The water and sewer connection charges shall be collected per Section 8-1-6-C of City Code for all uses and must be paid prior to the issuance of a Certificate of Occupancy based on the fee schedule in effect at the time of application for the Certificate of Occupancy. 23. CONSTRUCTION ACCESS. Construction traffic access and egress for grading, public utility construction, and public street construction is restricted to access the subdivision as approved by the City Engineer. 24. PARK DEDICATION. The Developer shall pay a cash contribution of $1,212.48 in satisfaction of the City’s park dedication requirements. The charge is calculated as follows: one (1) lot at 42.1 % of $2,880.00 per lot = $1,212.48 25. LANDSCAPING. The Developer or lot purchaser shall plant least two (2) trees on every lot in the plat, one of which must be planted in the front yard. Trees that are chosen by the Developer or property owner cannot cause a public nuisance, such as cotton producing trees, or trees that may become a public hazard due to insect infestation or weak bark. The minimum deciduous tree size shall be two and one-half (2½) inches caliper, balled and burlapped. Evergreen trees must be at least eight feet (8’) tall. The trees may not be planted in the right-of-way. 9 219424v1 Boulder Creek 5th Addition The Developer or lot purchaser shall provide a landscape plan and plant a residential buffer yard within the area of the rear yard within twenty (20) feet of 70th Street (CSAH 38) prior to issuance of a building permit. The landscape plan shall comply with the provisions of Section 11-19-3.B.3 of the Zoning Ordinance. The landscape plan shall be subject to approval of the Zoning Administrator. The Developer or lot purchaser shall sod the front yard, boulevard, and side yards to the rear of the structure on every lot. Weather permitting, the trees, sod, and seed shall be planted within sixty (60) days after a home has received a certificate of occupancy. Before a building permit is issued, a cash escrow per each lot in the plat shall be furnished the City in accordance with the City’s current fee schedule to guarantee compliance with the landscaping requirements prior to issuance of a building permit. If the landscaping is not completed in a timely manner, the City may enter the lot, perform the work, and apply the cash escrow toward the cost. Upon satisfactory completion of the landscaping the escrow funds, without interest, less any draw made by the City, shall be returned to the person who deposited the funds with the City. All trees shall be warranted to be alive, of good quality, and disease free for twelve (12) months after planting. Any replacements shall be warranted for twelve (12) months from the time of planting. The Developer or property owner is responsible for contacting the City when all the landscaping has been installed to set up an inspection. Fifty percent (50%) of the security will be released when all the landscaping has been installed and inspected by City staff and the remaining fifty percent (50%) will be released one year after the landscaping inspection and any warranty work has been completed. 26. SPECIAL PROVISIONS. The following special provisions shall apply to plat development: A. Implementation of the conditions listed in the Findings of Fact approved by the City Council on December 13, 2021. B. All utility plans shall be subject to review and approval of the City Engineer. C. All grading, drainage, and erosion control plans shall be subject to review and approval of the City Engineer. 10 219424v1 Boulder Creek 5th Addition D. All construction plans for sanitary sewer, water main, storm sewer, and streets shall be subject to review and approval by the City Engineer. E. The Developer shall enter into a Development Contract drafted by the City Attorney and approved by the City Council for connection to City utilities prior to issuance of a building permit. F. All drainage and utility easements shall be subject to review and approval of the City Engineer. G. The Developer shall pay applicable utility availability charges upon approval of the final plat and pay utility connection charges at the time a building permit is issued for each lot based on the current fee in effect at that time. H. Prior to City Council approval of the final plat, the Developer shall furnish a boundary survey of the proposed property to be platted with all property corner monumentation in place and marked with lath and a flag. Any encroachments on or adjacent to the property shall be noted on the survey. The Developer's land surveyor certifies that all irons have been set following site grading and utility and street construction. In addition, the certificate of survey must also include a certification that all irons for a specific lot have either been found or set prior to the issuance of a building permit for that lot. I. The Developer shall provide a cash escrow for the preparation of record construction drawings and City base map updating. This fee is $100.00 per acre for a total charge of $50.00, calculated as follows: 0.5 Acres X $100.00 = $50.00 J. The Developer is required to submit the final plat in electronic format. The electronic format shall be either AutoCAD.DWG file or a .DXF file. All construction record drawings (e.g., grading, utilities, streets) shall be in electronic format in accordance with standard City specifications. K. The Developer shall record the final plat within 100 days of City Council approval as required by Section 10-5-3.B.8 of the Subdivision Ordinance. If the final plat and Development Contract are not recorded by December 31, 2021, all fees, charges and securities referenced 11 219424v1 Boulder Creek 5th Addition in the Development Contract shall be revised to reflect the City Fee Schedule in effect for 2022. 27. CONSTRUCTION ADMINISTRATION AND FEES FOR CITY SERVICES. The Developer shall pay a fee for consulting engineering administration prior to issuance of a building permit. 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. 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 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 in this Contract), 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), Park and Trail Dedication Fees (a flat fee due upon execution of this Agreement), and shall be as stated by the Financial Summary. This escrow amount shall be submitted to the City prior issuance of a building permit by the Developer or lot purchaser. 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 12 219424v1 Boulder Creek 5th Addition or lot purchaser 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. 28. SECURITY. To ensure compliance with the terms of this Contract, and construction of all public improvements, and satisfaction of all other obligations, the Developer or lot purchaser shall furnish the City with a cash escrow or Irrevocable Standby Letter of Credit with automatic renewal provisions in the amount as required under this Contract prior to issuance of a building permit. The issuer and form of the security (other than cash escrow) shall be subject to City approval in its reasonable discretion. 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 contain an automatic renewal provision and shall not expire until all the Development is complete and fully and finally accepted by the City, and all terms of this Contract are satisfied. The City may draw down the security, on five (5) business days written notice to the Developer or lot purchaser, for any violation of the terms of this Contract or without notice if the security is allowed to lapse prior to the end of the required term. 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 without notice. If the security is drawn down, the proceeds shall be used to cure the 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 not to be unreasonably withheld or delayed, the security shall be reduced from time to time in proportion to the work completed, but not below ten (10) percent which is the amount of the warranty security. For purposes of this Section, the warranty period shall be a twenty four (24) month period after the applicable work has been completed. This security amount shall be submitted to the City at the time a building permit is issued for construction upon the lot. All administrative and legal fees related to plan review, drafting of this Contract 13 219424v1 Boulder Creek 5th Addition and any other necessary items shall be paid to the City prior to execution of the Contract. Upon completion of the work contemplated hereunder and expiration of the warranty period, the remaining security shall be promptly released to Developer. 29. SUMMARY OF SECURITY REQUIREMENTS. The amount of the security described above is calculated as follows: CONSTRUCTION COSTS: A. Sanitary Sewer – Lateral and Trunk $2,500.00 B. Watermain – Lateral and Trunk 2,500.00 C. Streets 3,500.00 CONSTRUCTION SUB-TOTAL $8,500.00 OTHER COSTS: A. Site Grading, Erosion Control and Wetland Protection $900.00 B. Engineering & Surveying Construction Services (6.5%) 552.50 OTHER COSTS SUB-TOTAL $1,452.50 TOTAL – SUBTOTAL $9,952.50 TOTAL CASH ESCROW OR IRREVOCABLE LETTER OF CREDIT $12,440.63 FOR SECURITY (125% OF SUBTOTAL ESCROW A. City Legal Expenses (City Minimum) $1,500.00 B. City Construction Observation (City Minimum) 10,000.00 C. GIS Data Entry 50.00 ESCROW TOTAL $11,550.00 This breakdown is not a restriction on the use of the security. 30. SUMMARY OF CASH REQUIREMENTS. The following is a summary of the cash requirements under this Contract which must be furnished to the City prior to the City Council signing the final plat: A. City Administrative (City Minimum) $1,500.00 B. Trunk Sewer Availability Charge (SAC) 2,641.00 C. Trunk Water Availability Charge (WAC) 1,844.00 D. Trunk Storm Water Management Impact Fee 512.60 E. Park Dedication 1,212.48 14 219424v1 Boulder Creek 5th Addition TOTAL CASH REQUIREMENTS $7,710.08 31. DEVELOPMENT CREDITS. The following is a summary of Developer credits from the City: A. Park and Trail $1,667.52 TOTAL DEVELOPMENT CREDITS $1,667.52 32. WARRANTY. The Developer warrants all improvements required to be constructed by it pursuant to this Contract against poor material and faulty workmanship. The warranty period for streets is two years as specified in this Contract. The warranty period for underground utilities is two years and shall commence following completion and acceptance by City Council. A minimum of 10% of the total security required under this Contract shall be retained as warranty security as specified in the section of this Contract. DEVELOPMENT WARRANTY LETTER OF CREDIT A. Sanitary Sewer $375.00 B. Watermain 375.00 C. Streets 1,250.00 C. Erosion & Sedimentation Control 250.00 TOTAL WARRANTY LETTER OF CREDIT $2,250.00 33. RESPONSIBILITY FOR COSTS. A. Except as otherwise specified herein, the Developer shall pay all costs incurred by it or the City in conjunction with the development of the plat, including but not limited to Soil and Water Conservation District charges, legal, planning, engineering and construction observation inspection expenses incurred in connection with approval and acceptance of the plat, the preparation of this Contract, review of construction plans and documents, 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, employees, and agents harmless from claims made by itself and third parties for damages sustained or costs incurred resulting from plat 15 219424v1 Boulder Creek 5th Addition approval and development. The Developer shall indemnify the City and its officers, employees, and agents for all costs, damages, or expenses which the City may pay or incur in consequence of such claims, including attorneys' fees. C. The Developer shall reimburse the City for costs incurred in the enforcement of this Contract, including engineering and attorneys' fees. D. The Developer shall pay, or cause to be paid when due, and in any event before any penalty is attached, all special assessments referred to in this Contract. This is a personal obligation of the Developer and shall continue in full force and effect even if the Developer sells one or more lots, the entire plat, or any part of it. 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 plat development and construction until the bills are paid in full. Bills not paid within thirty (30) days shall accrue interest at the rate of eighteen percent (18%) per year. Additionally, the Developer shall pay in full all bills submitted to it by the City prior to any reductions in the security for the development. 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. 34. 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, except in an emergency as determined by the City, is first given notice of the work in default, not less than forty-eight (48) hours 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. 16 219424v1 Boulder Creek 5th Addition 35. MISCELLANEOUS. A. The Developer represents to the City that 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. If the City determines that the plat does not comply, the City may, at its option, refuse to allow 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 Contract. C. Breach of the terms of this Contract by the Developer shall be grounds for denial of building permits, including lots sold to third parties. D. 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. E. Grading, curbing, and one lift of asphalt shall be installed on all public and private streets prior to issuance of any building permits. F. If building permits are issued prior to the acceptance of public improvements, the Developer assumes all liability and costs resulting in delays in completion of public improvements and damage to public improvements caused by the City, Developer, its contractors, subcontractors, material men, employees, agents, or third parties. No sewer and water connections or inspections may be conducted and 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 and the utilities are accepted by the City Engineer. G. 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. 17 219424v1 Boulder Creek 5th Addition H. This Contract shall run with the land and may be recorded against the title to the property. In the event this Contract is recorded, upon request by Developer, the City covenants to provide a recordable Certificate of Completion within a reasonable period of time following the request, upon the completion of the work and responsibilities required herein, payment of all costs and fees required and compliance with all terms of the Contract. A release of this Contract may be provided in the same manner and subject to the same conditions as a Certificate of Completion provided there are no outstanding or ongoing obligations of Developer under the terms of this Contract. The Developer covenants with the City, its successors and assigns, that the Developer is well seized in fee title of the property being final platted and/or has obtained consents to this Contract, in the form attached hereto, from all parties who have an interest in the property; that there are no unrecorded interests in the property being final platted; and that the Developer will indemnify and hold the City harmless for any breach of the foregoing covenants. I. Insurance. Prior to issuance of a building permit, Developer, lot purchaser, and the general contractor shall furnish to the City a certificate of insurance showing proof of the required insurance required under this Paragraph. Developer or lot purchaser and the general contractor shall take out and maintain or cause to be taken out and maintained until six (6) months after the City has finally accepted the public improvements, such insurance as shall protect Developer and its general contractor and the City for work covered by the Contract including workers’ compensation claims and property damage, bodily and personal injury which may arise from operations under this Contract, whether such operations are by Developer or lot purchaser and its general contractor or anyone directly or indirectly employed by either of them. The minimum amounts of insurance shall be as follows: 18 219424v1 Boulder Creek 5th Addition Commercial General Liability (or in combination with an umbrella policy) $2,000,000 Each Occurrence $2,000,000 Products/Completed Operations Aggregate $2,000,000 Annual Aggregate The following coverages shall be included: Premises and Operations Bodily Injury and Property Damage Personal and Advertising Injury Blanket Contractual Liability Products and Completed Operations Liability Automobile Liability $2,000,000 Combined Single Limit – Bodily Injury & Property Damage Including Owned, Hired & Non-Owned Automobiles Workers Compensation Workers’ Compensation insurance in accordance with the statutory requirements of the State of Minnesota, including Employer’s Liability with minimum limits are as follows: • $500,000 – Bodily Injury by Disease per employee • $500,000 – Bodily Injury by Disease aggregate • $500,000 – Bodily Injury by Accident The Developer or lot puchaser’s and general contractor’s insurance must be “Primary and Non-Contributory”. All insurance policies (or riders) required by this Contract shall be (i) taken out by and maintained with responsible insurance companies organized under the laws of one of the states of the United States and qualified to do business in the State of Minnesota, (ii) shall name the City, its employees and agents as additional insureds (CGL and umbrella only) by endorsement which shall be filed with the City and (iii) shall identify the name of the plat. A copy of the endorsement must be submitted with the certificate of insurance. Developer’s and general contractor’s policies and Certificate of Insurance shall contain a provision that coverage afforded under the policies shall not be cancelled without at least thirty (30) days’ advanced written notice to the City, or ten (10) days’ notice for non-payment of premium. An Umbrella or Excess Liability insurance policy may be used to supplement Developer’s or general contractor’s policy limits on a follow-form basis to satisfy the full policy limits required by this Contract. 19 219424v1 Boulder Creek 5th Addition J. Indemnification. To the fullest extent permitted by law, Developer agrees to defend, indemnify and hold harmless the City, and its employees, officials, and agents from and against all claims, actions, damages, losses and expenses, including reasonable attorney fees, arising out of Developer’s negligence or its performance or failure to perform its obligations under this Contract. Developer’s indemnification obligation shall apply to Developer’s general contractor, subcontractor(s), or anyone directly or indirectly employed or hired by Developer, or anyone for whose acts Developer may be liable. Developer agrees this indemnity obligation shall survive the completion or termination of this Contract. K. 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. L. The Developer may not assign this Contract without the written permission of the City Council. The Developer's obligation hereunder shall continue in full force and effect even if the Developer sells one or more lots, the entire plat, or any part of it, until the City’s issuance of a Certificate of Completion and Release. M. Retaining walls over four feet in height shall be constructed in accordance with plans and specifications prepared by a structural or geotechnical engineer licensed by the State of Minnesota. Following construction, a certification signed by the design engineer shall be filed with the Building Official evidencing that the retaining wall was constructed in accordance with the approved plans and specifications. All retaining walls identified on the development plans and by special conditions referred to in this Contract shall be constructed before any other building permit is issued for a lot on which a retaining wall is required to be built. All retaining walls must comply with the City’s engineering manual and the City’s zoning ordinance. 20 219424v1 Boulder Creek 5th Addition N. Should the Developer convey any lot or lots in the Development to a third party, the City and the owner of that lot or those lots may amend this Development Contract or other city approvals or agreements for development or use of those lots without the approval or consent of the Developer or other lot owners in the Development. Private agreements between the owners of lots within the Development for shared service or access and related matters necessary for the efficient use of the Development shall be the responsibility of the lot owners and shall not bind or restrict City authority to approve applications from any lot owner in the Development. 36. 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 certified mail at the following address: 15324 70th Street, Elk River, MN 55330. Notices to the City shall be in writing and shall be either hand delivered to the City Administrator, or mailed to the City by certified mail in care of the City Administrator at the following address: Otsego City Hall, 13400 90th Street NE, Otsego, Minnesota 55330. [The remainder of this page has been intentionally left blank. Signature pages follow.] 21 219424v1 Boulder Creek 5th Addition CITY OF OTSEGO BY: ___________________________________________ Jessica L. Stockamp, Mayor (SEAL) AND __________________________________________ Audra Etzel, City Clerk STATE OF MINNESOTA ) )ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2021, by Jessica L. Stockamp and by Audra Etzel, the Mayor and City Clerk of the City of Otsego, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. ______________________________________________ NOTARY PUBLIC 22 219424v1 Boulder Creek 5th Addition DEVELOPER: _____________________________ Paul B. Hackenmueller _____________________________ Mary E. Hackenmueller STATE OF MINNESOTA ) )ss. COUNTY OF __________ ) The foregoing instrument was acknowledged before me this ________ day of ______________, 2021, by Paul B. Hackenmueller and Mary E. Hackenmueller, husband and wife. ______________________________________________ NOTARY PUBLIC DRAFTED BY: CAMPBELL, KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, MN 55121 Telephone: 651-452-5000 DSK/smt 23 219424v1 Boulder Creek 5th Addition [BANK LETTERHEAD] IRREVOCABLE LETTER OF CREDIT No. ___________________ Date: _________________ TO: City of Otsego City Hall 13400 90th Street NE Otsego, Minnesota 55330 Dear Sir or Madam: We hereby issue, for the account of (Name of Developer) and in your favor, our Irrevocable Letter of Credit in the amount of $____________, available to you by your draft drawn on sight on the undersigned bank. The draft must: a) Bear the clause, "Drawn under Letter of Credit No. __________, dated ________________, 2_____, of (Name of Bank) "; b) Be signed by the City Administrator or Finance Director of the City of Otsego. c) Be presented for payment at (Address of Bank) , on or before 4:00 p.m. on November 30, 2_____. This Letter of Credit shall automatically renew for successive one-year terms unless, at least forty-five (45) days prior to the next annual renewal date (which shall be November 30 of each year), the Bank delivers written notice to the Otsego Finance Director that it intends to modify the terms of, or cancel, this Letter of Credit. Written notice is effective if sent by certified mail, postage prepaid, and deposited in the U.S. Mail, at least forty - five (45) days prior to the next annual renewal date addressed as follows: Otsego Finance Director, Otsego City Hall, 13400 90th Street NE, Otsego, MN 55330, and is actually received by the Finance Director at least thirty (30) days prior to the renewal date. This Letter of Credit sets forth in full our understanding which shall not in any way be modified, amended, amplified, or limited by reference to any document, instrument, or agreement, whether or not referred to herein. This Letter of Credit is not assignable. This is not a Notation Letter of Credit. More than one draw may be made under this Letter of Credit. This Letter of Credit shall be governed by the most recent revision of the Uniform Customs and Practice for Documentary Credits, International Chamber of Commerce Publication No. 600. We hereby agree that a draft drawn under and in compliance with this Letter of Credit shall be duly honored upon presentation. [NAME OF BANK] BY: ____________________________________ Its ______________________________