91-09 Developer Agreement
RESOLUTION NO. 91-9
A RESOLUTION APPROVING AND AUTHORIZING EXECUTION OF DEVELOPER AGREEMENT.
The Council of the City of Sodaville, Oregon finds that:
A. B. L. McCallie (Owner) has received preliminary approval for a Planned Unit Development (PUD) known as West View Subdivision.
B. Under the provisions of the City’s PUD Ordinance, a developer is required to install all required improvements or file with the City, in a form approved by the City, a surety or other bond that guarantees such performance, prior to receiving final PUD approval. The Council has authority under that ordinance to grant variances therefrom.
C. Section 1.020 of Ordinance No, 81-3 requires a developer to pay a fee of 10% of the fair market value of all lots within the phase of the PUD for which approval is sought, prior to receiving such approval.
D. Under Section 1.040 of Ordinance No, 81-3 the City has authority to accept from the Developer any combination of fully developed lots in satisfaction of the required fees.
E. The Development Agreement attached as Exhibit A hereto and incorporated herein by reference provides that the Owner or Owner’s successors will deed lots to the City, and the City will accept the same in lieu of the review costs due for the Development, which include, in addition to the costs of consultant and legal services, City’s System Development Charges and area System Development Charges. Because Developer has delayed seeking final approval of the PUD to accommodate the City, the area System Development Charges to be paid by Developer shall not exceed 10% of the fair market value of all lots within the PUD. Developer has presented to City that upon completion of the PUD the appraised value of the lots conveyed to City will be 115% of the fees owed to City by Developer.
F. It is in the public interest, and authorized under the City’s PUD procedures that the Mayor and City Recorder be authorized to execute the attached Development Agreement on behalf of the City, and upon performance in accordance with the terms thereof by Owner and Developer, the deeds to lots be accepted by City in lieu of payment of required fees, and that the surety bond requirement of the PUD Ordinance be modified to allow Developer to post bond during construction of improvements but to secure Developer’s performance of the Development Agreement with a trust deed on lots in the PUD as provided in the Development Agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SODAVILLE, OREGON, a Municipal Corporation of the State of Oregon, as follows:
Section 1.
The above findings are hereby adopted.
Section 2.
The Development Agreement attached as Exhibit A hereto, or a similar document in substantial conformity therewith, is hereby approved, and the Mayor and City Recorder are authorized to execute the same on behalf of the City and all other documents that may be required for the City’s performance of that Agreement. The Mayor and City Recorder are hereby authorized to make the determinations required of the City in performing its obligations in the Development Agreement and execute all other documents on behalf of the City. If the Mayor and City Recorder cannot agree in making such determinations they shall refer the matter to the City Council for its decision.
Section 3.
The City Recorder is further authorized to accept the deeds to lots described in the Development Agreement in lieu of the fees and charges due from Developer to City.
Section 4.
The City hereby modifies the requirement in its PUD Ordinance for a surety bond or cash performance bond and allows Developer ta deposit such bonds at the time of finishing the construction of the improvements as provided in the Development Agreement and providing City with a security interest in designated subdivision lots to assure Developer’s performance of the Development Agreement.