HomeMy WebLinkAbout20030695.tiff RESOLUTION
RE: APPROVE IMPROVEMENTS AGREEMENT ACCORDING TO POLICY REGARDING
COLLATERAL FOR IMPROVEMENTS (PUBLIC ROAD MAINTENANCE),
AGREEMENT FOR IMPROVEMENTS FOR WELD COUNTY ROAD 40.5, AUTHORIZE
CHAIR TO SIGN, AND ACCEPT FORM OF COLLATERAL FOR MILL CREEK
PLANNED UNIT DEVELOPMENT#553 - DENNIS NEAL
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, on January 29, 2003, the Department of Planning Services staff approved
the Mill Creek Planned Unit Development#553, for Dennis Neal, 4770 Baseline Road, Suite
200, Boulder, Colorado 80303, for nine (9) lots, one (1) agricultural lot with a conservation
easement, and 2.68 acres of common open space on the following described real estate, to-wit:
Lot B of Recorded Exemption #2835; being part of
the SW1/4 of Section 29, Township 4 North, Range
68 West of 6th P.M., Weld County, Colorado
WHEREAS, pursuant to certain Conditions of Approval, the Board has been presented
with an Improvements Agreement According to Policy Regarding Collateral for Improvements
(Public Road Maintenance) between the County of Weld, State of Colorado, by and through the
Board of County Commissioners of Weld County, and Dennis Neal, with terms and conditions
being as stated in said agreement, and
WHEREAS, pursuant to certain Conditions of Approval, the Board has been presented
with an Agreement for Improvements for Weld County Road 40.5 between the County of Weld,
State of Colorado, by and through the Board of County Commissioners of Weld County, and
Dennis Neal, with terms and conditions being as stated in said agreement, and
WHEREAS, the Board has been presented with Irrevocable Letter of Credit #030006
from Horizon Banks, N.A., 3002 Bluff Street, Boulder, Colorado 80301, in the amount of
$108,817.00, and
WHEREAS, after review, the Board deems it advisable to approve said agreements and
accept said Irrevocable Letter of Credit as stated above, copies of which are attached hereto
and incorporated herein by reference.
2003-0695
PL1610
nn
IMPROVEMENTS AGREEMENT- DENNIS NEAL
PAGE 2
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of
Weld County, Colorado, that the Improvements Agreement According to Policy Regarding
Collateral for Improvements (Public Road Maintenance) between the County of Weld, State of
Colorado, by and through the Board of County Commissioners of Weld County, and Dennis
Neal, be, and hereby is, approved.
BE IT FURTHER RESOLVED by the Board of County Commissioners of Weld County,
Colorado, that the Agreement for Improvements for Weld County Road 40.5 between the
County of Weld, State of Colorado, by and through the Board of County Commissioners of
Weld County, and Dennis Neal, be, and hereby is, approved.
BE IT FURTHER RESOLVED that Irrevocable Letter of Credit#030006 from Horizon
Banks, N.A., 3002 Bluff Street, Boulder, Colorado 80301, in the amount of$108,817.00, be and
hereby is, accepted.
The above and foregoing Resolution was, on motion duly made and seconded, adopted
by the following vote on the 17th day of March, A.D., 2003.
BOARD OF COUNTY COMMISSIONERS
WEL OU TY, OL RADO
ATTEST: �G�
��� 4 D vid E. on , Chair
Weld County Clerk toyft
: . .• -. ` ='
� Robert D. Masden, Pro- em
BY: . a(i . •
Deputy Clerk to the -� r ? \' EXCUSED D M.APPRO AS TO .• •
EXCUSED DATE OF SIGNING (AYE)
William H. Jerke
unty Atto At � fl�
�E
GlennVaad
Date of signature: /6)
2003-0695
PL1610
722 IMPROVEMENTS AGREEMENT ACCORDING TO
POLICY REGARDING COLLATERAL FOR IMPROVEMENTS
(PUBLIC ROAD MAINTENANCE)
THIS AGREEMENT,made and entered into this 17th day of March ,20 03,by and
between the County of Weld, State of Colorado, acting through its Board of County Commissioners,
hereinafter called"County,"and Dennis Neal ,hereinafter called"Applicant."
WITNESSETH:
WHEREAS, Applicant is the owner of, or has a controlling interest in the following described
property in the County of Weld, Colorado:
Lot B,RE-2835 being a part of the SW Y.Section 29,Township 4 North,Range 68 West of the 61h P.M.,Weld
County,Colorado
WHEREAS,a final Subdivision/Planned Unit Development(PUD)Plat of said property,to be known
as Mill Creek PUD has been submitted to the County for approval;and
WHEREAS, relevant Sections of the Weld County Code provide that no Subdivision Final Plat,
Planned Unit Development Final Plat, or Site Plan shall be approved by the County until the Applicant has
submitted a Subdivision Improvements Agreement guaranteeing the construction of the public improvements
shown on plans, plats and supporting documents of the Subdivision Final Plat, Planned Unit Development
Final Plat,or Site Plan,which improvements,along with a time schedule for completion,are listed in Exhibits
"A"and "B"of this Agreement.
NOW, THEREFORE, IN CONSIDERATION OF the foregoing and of the acceptance and
approval of said Final Plat,the parties hereto promise, covenant and agree as follows:
1.0 Engineering Services: Applicant shall furnish,at its own expense,all engineering services in
connection with the design and construction of the Subdivision or Planned Unit Development
improvements listed on Exhibit "A," which is attached hereto and incorporated herein by
reference.
1.1 The required engineering services shall be performed by a Professional Engineer and
Land Surveyor registered in the State of Colorado,and shall conform to the standards
and criteria established by the County for public improvements.
1.2 The required engineering services shall consist of, but not be limited to, surveys,
designs,plans and profiles,estimates,construction supervision,and the submission
of necessary documents to the County.
1.3 Applicant shall furnish drawings and cost estimates for roads within the Subdivision
or Planned Unit Development to the County for approval prior to the letting of any
construction contract. Before acceptance of the roads within the Subdivision or
Planned Unit Development by the County, Applicant shall furnish one set of
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reproducible "as-built" drawings and a final statement of construction cost to the
County.
2.0 Rights-of-way and Easements: Before commencing the construction of any improvements
herein agreed upon,Applicant shall acquire,at its own expense,good and sufficient rights-of-
way and easements on all lands and facilities traversed by the proposed improvements. All
such rights-of-way and easements used for the construction of roads to be accepted by the
County shall be conveyed to the County and the documents of conveyance shall be furnished
to the County for recording.
3.0 Construction: Applicant shall furnish and install, at its own expense, the Subdivision or
Planned Unit Development improvements listed on Exhibit"A,"which is attached hereto and
incorporated herein by reference,according to the construction schedule set out in Exhibit"B"
also attached hereto and incorporated herein by reference.
3.1 Said construction shall be in strict conformance to the plans and drawings approved
by the County and the specifications adopted by the County for such public
improvements. Whenever a Subdivision or Planned Unit Development is proposed
within three miles of an incorporated community located in Weld County or located
in any adjacent county, the Applicant shall be required to install improvements in
accordance with the requirements and standards that would exist if the plat were
developed within the corporate limits of that community. If the incorporated
community has not adopted such requirements and standards at the time the
Subdivision or Planned Unit Development is proposed, the requirements and
standards of the County shall be adhered to. If both the incorporated community and
the County have requirements and standards,those requirements and standards that
are more restrictive shall apply.
3.2 Applicant shall employ,at its own expense, a qualified testing company previously
approved by the County to perform all testing of materials or construction that is
required by the County; and shall furnish copies of test results to the County.
3.3 At all times during said construction,the County shall have the right to reasonably
test and inspect,or to require reasonable testing and inspection of material and work,
at Applicant's expense. Any material or work not conforming to the approved plans
and specifications shall be removed and replaced to the reasonable satisfaction of the
County at Applicant's expense.
3.4 Applicant shall furnish proof that proper arrangements have been made for the
installation of sanitary sewer or septic systems, water, gas, electric and telephone
services.
3.5 Said Subdivision or Planned Unit Development improvements shall be completed,
according to the terms of this Agreement,within the construction schedule appearing
in Exhibit "B." The Board of County Commissioners, at its option, may grant an
extension of the time of completion shown on Exhibit"B" upon application by the
Applicant subject to the terms of Section 6 herein.
4.0 Release of Liability: Applicant shall indemnify and hold harmless the County from any and
all liability loss and damage County may suffer as a result of all suits, actions or claims of
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every nature and description caused by, arising from, or on account of said design and
construction of improvements,and pay any and all judgments rendered against the County on
account of any such suit,action or claim,together with all reasonable expenses and attorney
fees incurred by County in defending such suit,action or claim whether the liability, loss or
damage is caused by, or arises out of the negligence of the County or its officers, agents,
employees while acting within the scope of their employment, or otherwise except for the
liability, loss, or damage arising from the intentional torts or the gross negligence of the
County or its employees. All contractors and other employees engaged in construction of the
improvements shall maintain adequate worker's compensation insurance and public liability
insurance coverage,and shall operate in strict accordance with the laws and regulations of the
State of Colorado governing occupational safety and health.
5.0 See attached Agreement for Improvements to WCR 40.5
Off-Site Improvements Reimbursement Procedure: The subdivider,applicant,or owner may
be reimbursed for off-site road improvements as provided in this section when it has been
determined by the Board of County Commissioners that the road facilities providing access to
the Subdivision or Planned Unit Development are not adequate in structural capacity,width,
or functional classification to support the traffic requirements of the uses of the Subdivision or
Planned Unit Development.
5.1 The subdivider, applicant, or owner shall enter into an off-site improvements
agreement prior to recording the final plat when the subdivider,applicant,or owner
expects to receive reimbursement for part of the cost of the off-site improvements.
5.2 The off-site improvements agreement shall contain the following:
The legal description of the property to be served.
The name of the owner(s)of the property to be served.
A description of the off-site improvements to be completed by the
subdivider,applicant,or owner.
The total cost of the off-site improvements.
The total vehicular trips to be generated at build-out by the Subdivision,
Resubdivision,or Planned Unit Development,as specified by the ITE Trip
Generation Manual, or by special study approved by the Board of County
Commissioners.
- A time period for completion of the off-site improvements.
The terms of reimbursement.
The current address of the person to be reimbursed during the term of the
agreement.
- Any off-site improvements agreement shall be made in conformance with the
Weld County policy on collateral for improvements.
5.3 If the subdivider, applicant, or owner fails to comply with the improvements
agreement,the opportunity to obtain reimbursement under this section is forfeited.
5.4 When it is determined by the Board of County Commissioners that vehicular traffic
from a Subdivision, Resubdivision, or Planned Unit Development will use a road
improvement constructed under an improvements agreement, the subsequent
subdivider,applicant,or owner shall reimburse the original subdivider,applicant,or
owner, for a portion of the original construction cost. In no event shall the original
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subdivider, applicant, or owner collect an amount which exceeds the total cost of
improvements less the pro rata share of the total trip impacts generated by the
original development. Evidence that the original subdivider,applicant,or owner has
been reimbursed by the subsequent subdivider,applicant or owner shall be submitted
to the Department of Planning Services prior to recording the Subdivision,
Resubdivision, or Planned Unit Development Final Plat.
5.5 The amount of road improvement costs to be paid by the subsequent subdivider,
applicant,or owner of a Subdivision,Resubdivision,or Planned Unit Development
using the road improvements constructed under a prior improvement agreement will
be based upon a pro rata share of the total trip impacts associated with the number
and type of dwelling units and square footage and type of nonresidential
developments intended to use the road improvement. The amount of road
improvement costs shall also consider inflation as measured by the changes in the
Colorado Construction Cost Index used by the Colorado Division of Highways. The
cost of road improvements may be paid by cash contribution to the prior subdivider,
applicant or owner, or by further road improvements which benefit the prior
subdivider, applicant, or owner's property. This decision shall be at the sole
discretion of the Board of County Commissioners based upon the need for further
off-site road improvements.
5.6 The report entitled TRIP GENERATION (Third Edition, 1982)of the institute of
Transportation Engineers shall normally be used for calculating a reasonable pro rata
share of the road improvement construction costs for all Subdivisions,
Resubdivisions,or Planned Unit Developments. A special transportation study shall
be used for land uses not listed in the ITE Trip Generation Manual. Any question
about the number of trips a Subdivision, Resubdivision, or Planned Unit
Development will generate shall be decided by the County Engineer.
5.7 The term for which the subdivider,applicant,or owner is entitled to reimbursement
under the off-site improvements agreement,entered into between the subdivider and
the County, is ten years from the date of execution of a contract for road
improvements.
5.8 This provision is not intended to create any cause of action against Weld County or
its officers or employees by any subdivider,applicant,or owner for reimbursement,
and in no way is Weld County to be considered a guarantor of the monies to be
reimbursed by the subsequent subdividers,applicants,or owners.
6.0 Acceptance of Streets for Maintenance by the County: Upon compliance with the following
procedures by the Applicant,streets within a Subdivision or Planned Unit Development shall
be accepted by the County as a part of the County road system and will be maintained and
repaired by the County.
6.1 If desired by the County, portions of street improvements may be placed in service
when completed according to the schedule shown on Exhibit"B,"but such use and
operation shall not constitute an acceptance of said portions.
6.2 County may,at its option, issue building permits for construction on lots for which
street improvements detailed herein have been started but not completed as shown on
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Exhibit"B,"and shall continue to issue building permits so long as the progress of
work on the Subdivision or Planned Unit Development improvements in that phase
of the development are satisfactory to the County; and all terms of this Agreement
have been faithfully kept by Applicant.
6.3 Upon completion of the construction of streets within a Subdivision or Planned Unit
Development and the filing of a Statement of Substantial Compliance, the
applicant(s)may request in writing that the County Engineer inspect the streets and
recommend that the Board of County Commissioners accept them for partial
maintenance by the County. After street improvements have been partially approved,
the County shall issue any remaining building permits for construction on lots with
access from such streets, subject to compliance with other County regulations.
Partial maintenance consists of all maintenance except for actual repair of streets,
curbs and gutters, and related street improvements. Not sooner than nine months
after acceptance for partial maintenance of streets,the County Engineer shall,upon
request by the applicant,inspect the subject streets,and notify the applicant(s)of any
deficiencies. The County Engineer shall reinspect the streets after notification from
the applicant(s)that any deficiencies have been corrected. If the County Engineer
finds that the streets are constructed according to County standards, he shall
recommend acceptance of the streets for full maintenance. Upon a receipt of a
positive unqualified recommendation from the County Engineer for acceptance of
streets within the development,the Board of County Commissioners shall accept said
streets as public facilities and County property,and shall be responsible for the full
maintenance of said streets including repair.
7.0 General Requirements for Collateral:
7.1 The value of all collateral submitted to Weld County must be equivalent to One-
Hundred percent (100%) of the value of the improvements as shown in this
Agreement. Prior to Final Plat approval,the applicant shall indicate which of the five
types of collateral preferred to be utilized to secure the improvements subject to final
approval by the Board of County Commissioners and the execution of this
Agreement. Acceptable collateral shall be submitted and the plat recorded within six
(6)months of the Final Plat approval. If acceptable collateral has not been submitted
within six(6)months then the Final Plat approval and all preliminary approvals shall
automatically expire. An applicant may request that the County extend the Final Plat
approval provided the cost estimates are updated and the development plans are
revised to comply with all current County standards, policies and regulations. The
improvements shall be completed within the time frames listed in Exhibit B unless
the applicant(s) requests that this Agreement be renewed at least thirty (30) days
prior to its expiration and further provides that cost estimates for the remaining
improvements are updated and collateral is provided in the amount of One-Hundred
percent (100%) of the value of the improvements remaining to be completed. If
improvements are not completed and the agreement not renewed within these time
frames, the County, at its discretion, may make demand on all or a portion of the
collateral and take steps to see that the improvements are made.
7.2 The applicant may choose to provide for a phased development by means of
designating filings of a Planned Unit Development Final Plan or Subdivision Final
Plan. The applicant would need only to provide collateral for the improvements in
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each filing as approved. The County will place restrictions on those portions of the
property that are not covered by collateral which will prohibit the conveyance of the
property or the issuance of building permits until collateral is provided or until
improvements are in place and approved pursuant to the requirements for a Request
for Release of Collateral.
7.3 The applicant intends to develop in accordance with Exhibits"A"and"B." The costs
of the improvements described in Exhibit"A"will be adjusted higher or lower for the
year and quarter in which the contemplated work is being performed based on"The
State Highway Bid Price Index" contained in the "Quarterly Cost Report" of The
Engineering News-Record as published by The McGraw-Hill Companies. The
applicant has provided cost estimates for all phases of the development which will be
adjusted in accordance with The State Highway Bid Price Index at the time of
posting of collateral for each phase.
8.0 Improvements Guarantee: The five types of collateral listed below are acceptable to Weld
County subject to final approval by the Board of County Commissioners.
8.1 An irrevocable Letter of Credit from a Federal or State licensed financial institution
on a form approved by Weld County. The Letter of Credit shall state at least the
following:
8.1.1 The Letter of Credit shall be in an amount equivalent to One-Hundred
percent(100%)of the total value of the improvements as set forth in Section
6.0 and Exhibits "A" and "B."
8.1.2 The Letter of Credit shall provide for payment upon demand to Weld County
if the developer has not performed the obligations specified in the
Improvements Agreement and the issuer has been notified of such default.
8.1.3 The applicant may draw from the Letter of Credit in accordance with the
provisions of this policy.
8.1.4 The issuer of the Letter of Credit shall guarantee that, at all times, the
unreleased portion of the Letter of Credit shall be equal to a minimum of
One-Hundred percent (100%) of the estimated costs of completing the
uncompleted portions of the required improvements,based on inspections of
the development by the issuer. In no case shall disbursement for a general
improvement item exceed the cost estimate in the Improvements Agreement
(i.e., streets, sewers, water mains and landscaping, etc.). The issuer of the
Letter of Credit will sign the Improvements Agreement acknowledging the
agreement and its cost estimates.
8.1.5 The Letter of Credit shall specify that fifteen percent (15%) of the total
Letter of Credit amount cannot be drawn upon and will remain available to
Weld County until released by Weld County.
8.1.6 The Letter of Credit shall specify that the date of proposed expiration of the
Letter of Credit shall be either the date of release by Weld County of the
final fifteen percent(15%),or one year from the date of Final Plat approval,
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whichever occurs first. Said letter shall stipulate that, in any event, the
Letter of Credit shall remain in full force and effect until after the Board has
received sixty(60)days written notice from the issuer of the Letter of Credit
of the pending expiration. Said notice shall be sent by certified mail to the
Clerk to the Board of County Commissioners.
8.2 Trust Deed upon all or some of the proposed development or other property
acceptable to the Board of County Commissioners provided that the following are
submitted:
8.2.1 In the event property within the proposed development is used as collateral,
an appraisal is required of the property in the proposed development by a
disinterested Member of the American Institute of Real Estate Appraisers
(M.A.I.)indicating that the value of the property encumbered in its current
degree of development is sufficient to cover One-Hundred percent(100%)of
the cost of the improvements as set forth in the Improvements Agreement
plus all costs of sale of the property.
8.2.2 In the event property other than the property to be developed has been
accepted as collateral by Weld County,then an appraisal is required of the
property by a Member of the Institute of Real Estate Appraisers (M.A.I.)
indicating that the value of the property encumbered in its current state of
development is sufficient to cover One-Hundred percent(100%)of the cost
of the improvements as set forth in the Improvements Agreement plus all
costs of sale of the property.
8.2.3 A title insurance policy insuring that the Trust Deed creates a valid
encumbrance which is senior to all other liens and encumbrances.
8.2.4 A building permit hold shall be placed on the encumbered property.
8.3 Escrow Agreement that provides at least the following:
8.3.1 The cash in escrow is at least equal to One-Hundred percent(100%)of the
amount specified in the Improvements Agreement.
8.3.2 The escrow agent guarantees that the escrowed funds will be used for
improvements as specified in the agreement and for no other purpose and
will not release any portion of such funds without prior approval of the Weld
County Board of Commissioners.
8.3.3 The escrow agent will be a Federal or state-licensed bank or financial
institution.
8.3.4 If Weld County determines there is a default of the Improvements
Agreement,the escrow agent,upon request by the County,shall release any
remaining escrowed funds to the County.
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8.4 A surety bond given by a corporate surety authorized to do business in the State of
Colorado in an amount equivalent to One-Hundred percent(100%)of the value of
the improvements as specified in the Improvements Agreement.
8.5 A cash deposit made with the County equivalent to One-Hundred percent(100%)of
the value of the improvements.
9.0 Request for Release of Collateral: Prior to release of collateral for the entire project or for a
portion of the project by Weld County,the Applicant must present a Statement of Substantial
Compliance from an Engineer registered in the State of Colorado that the project or a portion
of the project has been completed in substantial compliance with approved plans and
specifications documenting the following:
9.1 The Engineer or his representative has made regular on-site inspections during the
course of construction and the construction plans utilized are the same as those
approved by Weld County.
9.2 Test results must be submitted for all phases of this project as per Colorado
Department of Transportation(CDOT)Schedule for minimum materials sampling,
testing and inspections found in CDOT Materials Manual.
9.3 "As-built" plans shall be submitted at the time the letter requesting release of
collateral is submitted. The Engineer shall certify that the project "as-built" is in
substantial compliance with the plans and specifications as approved, or that any
material deviations have received prior approval from the County Engineer.
9.4 The Statements of Substantial Compliance must be accompanied,if appropriate,by a
letter of acceptance of maintenance and responsibility by the appropriate utility
company,special district or town for any utilities.
9.5 A letter must be submitted from the appropriate Fire Authority indicating the fire
hydrants are in place in accordance with the approved plans. The letter shall indicate
if the fire hydrants are operational and state the results of fire flow tests.
9.6 The requirements in Sections 9.0 thru 9.5 shall be noted on the final construction
plans.
9.7 Following the submittal of the Statement of Substantial Compliance and
recommendation of acceptance of the streets for partial maintenance by the County,
the applicant(s)may request release of the collateral for the project or portion of the
project by the Board. This action will be taken at a regularly scheduled public
meeting of the Board.
9.8 The request for release of collateral shall be accompanied by"Warranty Collateral"in
the amount of fifteen percent(15%)of the value of the improvements as shown in
this Agreement excluding improvements fully accepted for maintenance by the
responsible governmental entity, special district or utility company.
9.9 The warranty collateral shall be released to the applicant upon final acceptance by the
Board of County Commissioners for full maintenance under Section 5.3 herein.
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10.0 Public Sites and Open Spaces: When the Board of County Commissioners, pursuant to a
rezoning, Subdivision or Planned Unit Development, requires the dedication,development
and/or reservation of areas or sites other than Subdivision or Planned Unit Development
streets and utility easements of a character, extent and location suitable for public use for
parks, greenbelts or schools, said actions shall be secured in accordance with one of the
following alternatives,or as specified in the Planned Unit Development plan, if any:
10.1 The required acreage, as may be determined by relevant Sections of the Weld
County Code,shall be dedicated to the County or the appropriate school district,for
one of the above purposes. Any area so dedicated shall be maintained by the County
or school district.
10.2 The required acreage,as determined by relevant Sections of the Weld County Code
may be reserved through deed restrictions as open area,the maintenance of which
shall be a specific obligation in the deed of each lot within the Subdivision or
Planned Unit Development.
10.3 In lieu of land,the County may require a payment to the County in an amount equal
to the market value at the time of Final Plat submission of the required acreage as
determined by relevant Sections of the Weld County Code. Such value shall be
determined by a competent land appraiser chosen jointly by the Board and the
Applicant. The cash collected shall be deposited in an escrow account to be
expended for parks at a later date.
11.0 Successors and Assigns: This Agreement shall be binding upon the heirs,executors,personal
representatives,successors and assigns of the Applicant,and upon recording by the County,
shall be deemed a covenant running with the land herein described,and shall be binding upon
the successors in ownership of said land.
IN WITNESS WHEREOF,the parties hereto have caused this Agreement to be executed on the day
and year first above written.
APPLICANT: 94' -
TITLE: O wove
Subscribed and sworn to before me this 2(51 day of IUD tl 2.4_-/ 20 DI .
My Commission expires:
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ATTEST: 104/1,a4
BOARD OF COUNTY COMMISSIONERS
WEIUNTY,COLORADO
Weld County Clerk to the . arDavi E. Long C air
(03/17/2003)
o �
Deputy Clerk to the Boar C 1
APPROVED AS TO FORM:
County Attorney
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EXHIBIT "A"
Name of Subdivision or Planned Unit Development: Mill Creek PUD
Filing:
Location: Lot B, RE-2835, located in part of the SW4 29-04-68 of the 6th P.M.,Weld County,CO
Intending to be legally bound, the undersigned Applicant hereby agrees to provide throughout this
Subdivision or Planned Unit Development the following improvements. (Leave spaces blank where they
do not apply)
Improvements Quantity Units Unit Estimated
Costs Construction
Cost
Road Relocaton
Street prep and asphalt paving, weed kill I $27,900.00
Curbs, gutters, and culverts N/A
Sidewalk N/A
Storm sewer facilities
Retention ponds 1 $12,700.00
Ditch Improvements
Subsurface drainage
Sanitary sewers N/A
Trunk and forced lines
Mains
Laterals (house connected)
On-site sewage facilities
On-site water supply and storage
Water Line 1 1,320' $14.00 $18,480.00
Fire hydrants 3 $2000.00 $6000.00
Survey and street monuments and boxes
Street lighting at Bus Delivery Site 1 $200.00 $200.00
Street Name Signs 1 $50.00 $50.00
Fencing requirements
Landscaping 7 $180.00 $1260.00
Park improvements
Road culvert
Grass lined swale
Telephone
Gas
Electric 9 $3,169.66 $28,527.00
Water transfer
SUB-TOTAL: $95,117.00
Engineering and Supervision Costs$ 13,700.00
(Testing, inspection, as-built plans and work in addition to preliminary and final plat; supervision of
actual construction by contractors)
TOTAL ESTIMATED COST OF IMPROVEMENTS AND SUPERVISION $ 108,817.00
1111111 11111 1111111 11 11111111111 1111111 III 111111 III I'll
3046722 03/28/2003 02:50P Weld County, Co
11 of 16 R 0.00 D 0.00 Steve Moreno Clerk& Recorder
The above improvements shall be constructed in accordance with all County requirements and
specifications, and conformance with this provision shall be determined solely by Weld County, or its
duly authorized agent.
Said impr a ents shall be completed according to the construction schedule set out in Exhibit"B."
By: /f Vl
pplicant
Off AeL.,---- Date: H Z ,20 CR.
Title
(If corporation,to be signed by President and attested to by Secretary,together with corporate seal.)
1111111 HIDED II 1111111 III' 1111111 III HMO IIII
3046722 03/28/2003 02:50P Weld County, CO
12 of 16 R 0.00 D 0.00 Steve Moreno Clerk& Recorder
EXHIBIT "B"
Name of Subdivision
or Planned Unit Development: Mill Creek PUD
Filing:
Location: _Lot B,RE-2835,located in part of the SW4 29-04-68 of the 6th P.M.,Weld County,CO
Intending to be legally bound, the undersigned Applicant hereby agrees to provide throughout this
Subdivision or Planned Unit Development the following improvements.
All improvements shall be completed within three years from the date of approval of the final plat.
Construction of the improvements listed in Exhibit"A" shall be completed as follows:
(Leave spaces blank where they do not apply.)
Improvements Time for Completion
Site grading Fall/Winter 2005
Street base Fall/Winter 2005
Street paving Fall/Winter 2005
Curbs,gutters,and culverts
Sidewalk
Storm sewer facilities Fall/Winter 2005
Retention ponds Fall/Winter 2005
Ditch improvements Fall/Winter 2005
Subsurface drainage
Sanitary sewers
Trunk and forced lines
Mains
Laterals(house connected)
On-site sewage facilities
On-site water supply and storage Fall/Winter 2005
Water mains
Fire hydrants Fall/Winter 2005
Survey and street monuments and boxes Fall/Winter 2005
Street lighting Fall/Winter 2005
Street name signs Fall/Winter 2005
Fencing requirements
Landscaping Fall/Winter 2005
Park improvements
Road culvert Fall/Winter 2005
Grass lined swale
Telephone Fall/Winter 2005
Gas
Electric Fall/Winter 2005
Water Transfer
HBO 11111 IMO 11 1111111 I'll IMO III 111111 III IIII
3046722 03/28/2003 02:50P Weld County, CO
13 of 16 R 0.00 D 0.00 Steve Moreno Clerk& Recorder
The County, at its option, and upon the request of the Applicant,may grant an extension of time for
completion for any particular improvements shown above,upon a showing by the Applicant that the
above schedule cannot be met.
I
By: ;
Applicant
d1/4.,V✓ te- Date: I I 2 l , 20 ao\ .
Title
(If corporation,to be signed by President and attested to by Secretary,together with corporate seal.)
1 Inn 11111 IIIIIII 11 IS 11 Mt t HP 111 it3046722 0312812003
14 of 16 R 0.00 0 0.00 Steve Moreno Clerk& Recorder
w
MEMORANDUM
o .4-
co ch TO: Dennis Neal
•
Todd Hodges/Anne Johnson, Todd Hodges Design
o Drew Scheltinga, County Public Works
cc2 o FROM: Matt Delich
O N
U a)
• a DATE: November 14, 2002
o It
2
SUBJECT: Dennis Neal Development (Mill Creek PUD) - Road
improvement formula methodology
(File: 0123ME02)
• co
w O
N
m This memorandum describes a possible cost allocation/sharing
formula for treatment of Weld County Road 40 (WCR40'11) between WCR3
wo and WCR5. It is not known whether the preferred treatment would be
a) dust suppression or paving. Since WCR3 is also a gravel road, it
S
z ui would appear that dust suppression would be more practical. However,
w o from available draft agreements, it appears that paving of the road
CD m will be required. The length of WCR40 that would require treatment
a is approximately 0. 32 miles. The length of the road segment should
be introduced into the formula, since all traffic was assigned to the
N
west. It is the most likely route for trips produced at this site.
Based upon the traffic impact study (TIS) , the Mill Creek PUD
Development would add 86 trips per day to the subject segment of
WCR40'-�. The threshold volume that would require treatment is 200
vehicles per day (vpd) . The forecasted total traffic at build-out
of the Mill Creek POD Development is 210 vpd. It is reasonable to
use 210 vpd as the denominator in the cost allocation formula. The
suggested formula is:
W Cost Allocation Percentage for
1 mile of WCR40ll = (Site Traffic/210) (100%) (Segment impacted)
a
Where: Site Traffic = 86 vpd
Uw Cost Allocation Percentage for
[4 0.32 mile of WCR40'h = 6/210) (100 ) (0.32)
z
J Ui = 13%
o
O a
The 13 percent is the contribution that the Mill Creek PUD
-1 a Development would make to Weld County, specifically for treatment of
aone mile of WCR401 . According to Weld County requirements, this
amount would only be used if WCR40'-t was treated or paved. In
addition to this, if no treatment occurred in a five year period,
W ad then the Mill Creek POD Development would be absolved of this
L v obligation.
F- LL
a
6
Q '-
2
IIIIIII VIII IIIIIII II IIIIIII IIII IIIIIII III IIIIII III III Recorder •
3046722 0312812
15 of 16 R 0.00 D 0.00 Steve Moreno t e
_ s ,TE
tokS
00-1, 19
2'7
MEMORANDUM
co
o
C9 M TO: Dennis Neal
'9 Todd Hodges/Anne Johnson, Todd Hodges Design
o co Drew Scheltinggaa,, Weel)d County Public Works
O
2 0 FROM: Matt Delich
U Cm
• x DATE: November 14, 2002
o LL
SUBJECT: Dennis Neal Development (Mill Creek PUD) - Road
p improvement formula methodology
(File: 0123ME02)
• co
w O
> N
C) This memorandum describes a possible cost allocation/sharing
C°o formula for treatment of Weld County Road 404.1 (WCR40441) between WCR3
> o and WCR5. It is not known whether the preferred treatment would be
dust suppression or paving. Since WCR3 is also a gravel road, it
w w would appear that dust suppression would be more practical. However,
o from available draft agreements, it appears that paving of the road
U = will be required. The length of WCR40>1 that would require treatment
0_ is approximately 0.32 miles . The length of the road segment should
N be introduced into the formula, since all traffic was assigned to the
N
west. It is the most likely route for trips produced at this site.
Based upon the traffic impact study (TIS) , the Mill Creek PUD
Development would add 86 trips per day to the subject segment of
WCR40%1. The threshold volume that would require treatment is 200
vehicles per day (vpd) . The forecasted total traffic at build-out
of the Mill Creek PUD Development is 210 vpd. It is reasonable to
use 210 vpd as the denominator in the cost allocation formula. The
suggested formula is:
W Cost Allocation Percentage for (Site Traffic/210) (1008) (Segment impacted)
I mile of WCR40 ah =
C7
Where: Site Traffic = 86 vpd 3 -J5 C/
w Cost Allocation Percentage for i7
U 5 0.32 mile of WCR404 _ (86/210) (100£) (0.32)
z 7
J W = 13%. .
W O G f� ✓J
a
The 13 percent is the contribution that the Mill Creek PUD
• m Development would make to Weld County, specifically for treatment of
one mile of WCR40;1. According to Weld County requirements, this
amount would only be used if WCR4031 was treated or paved. In
I' addition to this, if no treatment occurred in a five year period,
W °1•3 then the Mill Creek PUD Development would be absolved of this
ILL obligation.
CQ ~
1111111 III!! 1111111 II 1111111 111 1111111 III 111111 III 1111
3046722 03/28/2003 02.50P Weld County, rk
16 of 16 R 0.00 D 0.00 Steve Morena Clerk& Recorder
AGREEMENT FOR IMPROVEMENTS FOR WCR 40.5
721
THIS AGREEMENT is made and entered into this 17th day of mar. by and
between Dennis Neal, developer of Mill Creek PUD hereinafter referred to as
Developer", with an address of 4770 Baseline Road, Suite 200, Boulder, Colorado 80303
Boulder County, Colorado and the County of Weld, State of Colorado, by and through
the Board of County Commissioners of Weld County, Colorado, hereinafter referred to as
"County," with offices located at 915 10th Street, Greeley, Colorado 80631.
WITNESSETH:
WHEREAS, the Developer has obtained approval for a Site Specific Development
Plan and Subdivision Final Plat for 9 Residential Lots and one Agricultural Lot with
existing gifted conservation easement for the Mill Creek PUD hereinafter referred to as
the "Development," and
WHEREAS, WCR 40.5 from WCR 3 to WCR 5, hereinafter referred to as 'the
Road", will need paving, in part, due to the increased traffic generated by the
Development, a distance of approximately one mile, and
WHEREAS, WCR 40.5 abuts a portion of Lots 1-3 and 9-10, 9 of the lots will
need WCR 40.5 for residential access to the Development, and
WHEREAS, the average daily trips anticipated from the Development are 86.
Due to the location of the Development access along WCR40'h, it is expected that site
generated traffic would be oriented to WCR3. The distance from WCR3 to the access is
0.32 miles. Given this, the Development contribution of traffic, in consideration of the
trip distribution, is 13 percent of the cost of paving WCR40Yz,
and
WHEREAS, the proportional costs of paving the Road attributable to the traffic
generated by the lots in the Development using the Road, is estimated to be $5060 per lot.
NOW, THEREFORE, in consideration of the mutual promises and covenants
contained herein, the parties hereto agree as follow:
1. TERM
A. The term of this Agreement shall be from the date first written above
to the completion of paving the Road and fmal accounting by
County and payment of all land development charges by the
Developer for the 9 residential lots accessing the Road, or five years
if WRC 40.5 is not paved.
1111111 11111 111111111FBI 1111111 III 11111 11II 1111
3046721 03/28/2003 02:50P Weld County, CO
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2. OBLIGATIONS OF THE COUNTY
A. Weld County plans to pave, within five years of the date first written
above,the Road at a current estimated cost of$350,000. The paving
improvements are anticipated to be for 12 foot travel lanes with 4
foot shoulders designed in accordance with generally accepted
engineering practices but the actual design shall be at the discretion
of Weld County
B. Design, construction, and maintenance of this portion of Road shall
be the responsibility by the County.
C. County must pave the roads within five years of the date first written
above or forfeit all rights to land development charges, which are the
obligation of the Developer whether already in escrow or remaining
to be paid.
D. Weld County shall perform a final accounting once paving is
complete and may collect from the escrow account (or from the
developer if the amount in the escrow is insufficient to satisfy
developers obligation ) up to 13 percent of the total cost of paving
WCR 40.5. If additional traffic is generated prior to paving WCR
40.5, such that the percentage of traffic generated by the
development is less than 13 percent, the County shall adjust the
percentage charged to the developer proportionately. Any amount
which must be collected from the developer which is not paid within
45 days of final accounting shall assessed interest in the amount of 8
percent per annum.
3. OBLIGATION OF THE DEVELOPER
A. Developer agrees to pay the amount of 5060 per each lot accessing
the Road. The actual amount to be determined in accordance with
paragraph 2.D.
B. The Developer agrees to escrow monies as follows At the sale of the
first lot $5060, at the sale of the second lot $5060, at the sale of the
third lot $5060, at the sale of the fourth lot $5060, at the sale of the
fifth lot 5060, at the sale of the sixth lot $5060, at the sale of the
seventh lot $5060, at the sale of the eight lot $5060, and at the sale
of the ninth lot $5060. The escrow account shall be set up according
to paragraph 4 herein.
C. The Developer shall not be released from this obligation unless
County does not pave the road within the time frame set forth in
HBO 11111 NMI Il 1111111 IIII 1111111 III 11111 IIII IIII
3046721 03/28/2003 02:50P Weld County, CO
2 of 5 R 0.00 D 0.00 Steve Moreno Clerk& Recorder
paragraph 2.C. herein. In no event shall Developer's obligation
under this Agreement exceed $45,540 subject to adjustment to a
higher or lower figure from the first quarter of 2002 to the year and
quarter in which the contemplated work is being performed based on
"The State Highway Bid Price index contained in the "Quarterly
Cost report" of The Engineering News-Record as published by The
McGraw-Hill Companies.
4. ESCROW AGREEMENT the terms of which will be subject to review by
the County, that provides at least the following:
A. The cash in escrow when fully funded is $45,540.
B. The escrow agent guarantees that the escrowed funds will be
disbursed according to the terms of this agreement and will not
release any portion of the funds without prior written approval of the
Weld County Board of County Commissioners.
5. SEVERABILITY
If any term or condition of this Agreement shall be held to be invalid,
illegal, or unenforceable, this Agreement shall be construed and enforced
without such provision to the extent that this Agreement is then capable of
execution within the original intent of the parties hereto.
6. NO THIRD PARTY BENEFICIARY ENFORCEMENT.
It is expressly understood and agreed that the enforcement of the terms and
conditions of this Agreement, and all rights of action relating to such
enforcement, shall be strictly reserved to the undersigned parties and
nothing in this Agreement shall give or allow any claim or right of action
whatsoever by any other person not included in this Agreement. It is the
express intention of the undersigned parties receiving services of benefits
under this Agreement shall be an incidental beneficiary only.
7. MODIFICATION AND BREACH
This Agreement contains the entire agreement and understanding between
the parties to this Agreement and supersedes any other agreements
concerning the subject matter of this transaction, whether oral or written.
No modification, amendment, notation, renewal, or other alteration of or to
this Agreement shall be deemed valid or of any force or effect whatsoever,
unless mutually agreed upon in writing by the undersigned parties. No
Breach of any term, provisions, or clause of this Agreement shall be
1 111111 11111 1111111 11 ENO /III 1111111 III 11111 /III1ill
3046721 03/28/2003 02:50P Weld County, CO
3 of 5 R 0.00 D 0.00 Steve Moreno Clerk& Recorder
deemed waived or excused, unless such waiver or consent shall be in
writing and signed by the party claimed to have waived or consented. Any
consent by any party hereto, or waiver of, a breach by any other party,
whether express or implied, shall not constitute a consent to waiver of, or
excuse for any other different or subsequent breach.
8. NO WARRANTY.
Neither County nor Developer, by virtue of their entering into this
Agreement and upon their promises to perform the work described herein,
make warranties, either express or implied, that the improvement work
and/or maintenance of these roads meet standards other than those
generally required for counties and cities of the size and type similar to
County.
9. BINDING
This agreement shall be binding on the heirs, successors, and assigns of the
parties.
1111111111111111111 1111111 1111 1111111 III 11111 1111
t h/
3046721 03/28/2003 02:50P Weld County, CO
d
4 of 5 R 0.00 D 0.00 Steve Moreno Clerk& Recorer
IN WITNESS WHEREOF the parties hereto have signed this Agreement this
2 \ day of r/eU , 2002.
By: ilk
developer
ATTESteli BOARD OF COUNTY COMMISSIONERS
WELD COUNTY, COLORADO
Weld County Clerk to e
tE5l ctellif:.,
'1 David E. Long, Chat 3/17/2003)
BY: ' at/[ . �.
Deputy Clerk to the BY. (// c\z
APPRO 9 AS TO FORM:
Co my Attorney
II1IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII
II"III"II'Itil 0.00.50e a Moreno C We lerk&Re
3046721 0 012812003
50I6R
U7cZ' -cc2s
fit MEMORANDUM •
WITO: Board of County Commissioners
COLORADO DATE: March 5, 2003
FROM: Sheri Lockman, Planner II
SUBJECT: Acceptance of Improvements Agreement According to
Policy Regarding Collateral for Improvements (Public Road
Maintenance), Acceptance of Improvements for Weld
County Road 40.5 and Irrevocable Letter of Credit
Mill Creek PUD
Case Number PF-553
Dennis Neal, applicant
The Departments of Planning Services and Public Works have reviewed the Improvements
Agreements for Mill Creek PUD.
Items covered under the Improvements Agreement According to Policy Regarding Collateral for
Improvements (Public Road Maintenance include:
Street preparation and asphalt paving, weed kill $ 27,900.
Retention ponds $ 12,700.
Water line $ 18,480.
Fire hydrants $ 6,000.
Street light $ 200.
Street name signs $ 50.
Landscaping $ 1,260.
Electric $ 28,527.
Total Estimated Cost of Improvements and Supervision $ 95,117.
Items covered under the Improvements for Weld County Road 40.5 include:
Cash in escrow $ 45,540.
The Department of Public Works and the Department of Planning Services, have determined
that the amount of the agreement will be sufficient to complete the work required for Mill Creek
PUD and future improvements to Weld County Road 40.5. The Department of Planning
Services recommends acceptance of the Improvements Agreement According to Policy
Regarding Collateral for Improvements (Public Road Maintenance) Acceptance of
Improvements for Weld County Road 40.5 and Irrevocable Letter of Credit.
2003-0695
ai&/0
Weld County Planning Department
ie 6 GREELEY OFFICE
MEMORANDUM JAN 312003
RECEIVED
TO: Sheri Lockman, Planner II DATE: January 30, 2003
• FROM: Donald Carroll, Engineering Administrator ♦
COLORADO '
SUBJECT: PF-553; Mill Creek PUD
I have reviewed the Improvements Agreement According to Policies Regarding Collateral for
Improvement (public road maintenance), utilizing the plat drawing, verifying quantities and unit
costs the transportation portion of the Exhibit A section. All transportation items appear to be
adequate in quantity and unit cost to complete the project.
pc: Peter Schei, Public Works
PF-553 m:/planning/PF-553.doc
5
EXHIBIT "A" You r�c i c
Name of Subdivision or Planned Unit Development: Mill Creek PUD
en
Filing:
r+
Location: _Lot B,RE-2835, located in part of the SW4 29-04-68 of the 61h P.M.,Weld County, CO
Intending to be legally bound, the undersigned Applicant hereby agrees to provide throughout this J
Subdivision or Planned Unit Development the following improvements. (Leave spaces blank where they s
do not apply)
Improvements Quantity Units Unit Estimated
Costs Construction #--
Cost
Road Relocaton
Street prep and asphalt paving, weed kill I $27,900.00 V
Curbs, gutters, and culverts N/A
Sidewalk N/A
Storm sewer facilities
Retention ponds 1 $12,700.00 /
Ditch Improvements
Subsurface drainage
Sanitary sewers N/A
Trunk and forced lines
Mains
Laterals (house connected)
On-site sewage facilities
On-site water supply and storage
Water Line 1 1,320' $14.00 $18,480.00
Fire hydrants 3 $2000.00 $6000.00
Survey and street monuments and boxes
Street lighting at Bus Delivery Site 1 $200.00 $200.00
Street Name Signs 1 $50.00 $50.00
Fencing requirements
Landscaping 7 $180.00 $1260.00
Park improvements
Road culvert
Grass lined swale
Telephone
Gas
Electric 9 $3,169.66 $28,527.00
Water transfer
SUB-TOTAL: $95,117.00
Engineering and Supervision Costs$ 13,700.00
(Testing, inspection, as-built plans and work in addition to preliminary and final plat; supervision of
actual construction by contractors)
TOTAL ESTIMATED COST OF IMPROVEMENTS AND SUPERVISION $ 108,817.00
/
. 3" 4.57 a4' E
4" CJ-
4.
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•
Weld County Planning Department
GREELEY OFFICE
414 jarl MEMORANDUM JAN 312003
� RECEIVED
O TO: Sheri Lockman, Planner II DATE: January 30, 2003
• FROM: Donald Carroll, Engineering Administrator Lw.,'
COLORADO
SUBJECT: PF-553; Mill Creek PUD; Off Site
Utilizing the traffic study provided by Matt Delich, P.E., for the Mill Creek PUD, the current
estimate to upgrade and pave one mile of county road is approximately $350,000. The traffic
generated by the Mill Creek PUD is 13%. The applicant will escrow $5,060 at the sell of each
lot for a total of $45,540. The adjustment is subject to the higher or lower figure from the first
quarter of the 2002 to the year and quarter in which the contemplated work is being performed
based on (STATE HIGHWAY BID PRICE INDEX CONTAINED IN THE QUARTERLY COST
REPORT) of the Engineering News Report as published by McGraw-Hill Companies. The dollar
amount appears to be the 13% identified in the traffic study.
pc: Peter Schei, Public Works
PF-553 m:/planning/PF-553.doc
Horizon
Banks., IRREVOCABLE
LETTER OF
CREDIT
HORIZON BANKS,N.A.
3002 BLUFF ST
BOULDER,CO 80301 NO. 030006
303-413-0700 "LENDER"
BENEFICIARY: CUSTOMER:
WELD COUNTY COMMISSIONERS DENNIS W.NEAL
ADDRESS&TELEPHONE NO: ADDRESS&TELEPHONE NO:
ATTN:CLERK TO THE BOARD 4770 BASELINE RD.,#200
P.O.BOX 758 BOULDER,CO 80303
GREELEY,CO 80632
970-356-4000 303-772-1336
IDENTIFICATION NO: IDENTIFICATION NO:520-68-7454
EXPIRATION DATE
This Letter of Credit shall expire upon the earlier of:
1. It is a condition of this letter of credit that it shall be deemed automatically extended without amendment for one(I)year from
the present or any future expiration date unless at least sixty(60)days prior to such expiration date you are notified by registered
letter,return receipt requested,or overnight courier service that we elect not to consider this letter of credit renewed for any such
period. Subject to the foregoing,this letter of credit shall expire on February 19,2004,and all drafts and accompanying
statements or documents must be presented to Lender on or before that time;or
2. The day that Lender honors a draw under which the full amount of this Letter of Credit has been drawn.
Lender hereby establishes at the request and for the account of Customer,an Irrevocable Letter of Credit in favor of Beneficiary for a
sum of One Hundred Eight Thousand,Eight Hundred Seventeen Dollars($108,817.00).
These funds shall be made available to Beneficiary upon Lender's receipt from Beneficiary of sight drafts drawn on Lender at Lender's address
indicated above(or such other address that Lender may provide Beneficiary in writing)during regular business hours and accompanied by the
signed written statements or documents indicated below.
WARNING TO BENEFICIARY: PLEASE EXAMINE THIS LETTER OF CREDIT AT ONCE. IF YOU FEEL UNABLE TO
MEET ANY OF ITS REQUIREMENTS, EITHER SINGULARLY OR TOGETHER, YOU SHOULD CONTACT THE CUSTOMER
IMMEDIATELY TO SEE IF THE LETTER OF CREDIT CAN BE AMENDED. OTHERWISE YOU WILL RISK LOSING PAYMENT
UNDER THIS LEI 1ER OF CREDIT FOR FAILURE TO COMPLY STRICTLY WITH ITS TERMS AS WRITTEN.
1. DRAFT TERMS AND CONDITIONS
Lender shall honor drafts submitted by Beneficiary under the following terms and conditions:
Beneficiary's draft drawn at sight on Horizon Banks,N.A.,accompanied by the following documents:
1. The original of this letter of credit and any subsequent amendments,along with a description of the work and improvements that
need to be completed.
2. Beneficiary's manually signed statement on its letterhead reading exactly as follows:
"THE FUNDS DRAWN UNDER LETTER OF CREDIT NO.030006 ISSUED BY HORIZON BANKS,N.A.ARE DUE BY
REASON OF Dennis W.Neal has committed a material breach of the Improvements Agreement according to policy regarding
collateral for improvements regarding dated the day of I9_by and between Dennis W.Neal
and the Board of County Commissioners of the County of Weld"
3. Copy of the certified letter,return receipt requested,of such default sent to Dennis Neal dated at least 10(TEN)days prior to this '
drawing.
Upon Lender's honor of such drafts,Lender shall be fully discharged of its obligations under this Letter of Credit and shall not be
obligated to make any further payments under this Letter of Credit once the full amount of credit available under this Letter of Credit has been
drawn. If a non-conforming demand is made, Lender shall notify Beneficiary of its dishonor on or before the time specified in Paragraph 5
bel-.ww.
Beneficiary shall have no recourse against Lender for any amount paid under this Letter of Credit once Lender has honored any draft
or other document which complies strictly with this Letter of Credit,and which on its face appears otherwise in order but which is signed,issued,
or presented by a party or under the name of a party purporting to act for Beneficiary,purporting to claim through Beneficiary,or posing as
Beneficiary without Beneficiary's authorization. By paying an amount demanded in accordance with this Letter of Credit, Lender makes no
representation as to the correctness of the amount demanded and Lender shall not be liable to Beneficiary,or any other person,for any amount
paid or disbursed for any reason whatsoever,including,without limitation,any non-application or misapplication by Beneficiary of the proceeds
of such payment. By presenting upon Lender or a confirming bank,Beneficiary certifies that Beneficiary has not and will not present upon the
other,unless and until Beneficiary meets with dishonor. Beneficiary promises to return to Lender any funds received by Beneficiary in excess of
the Letter of Credit's maximum drawing amount.
2. USE RESTRICTIONS
All drafts must be marked"DRAWN UNDER HORIZON BANKS,N.A.IRREVOCABLE LETTER OF CREDIT NO.030006",
and the amount of each draft shall be marked on the draft. Only Beneficiary or Beneficiary's Transferee(if this Letter of Credit is
transferable)may complete a draft and accompanying statements or documents required by this Letter of Credit and make a draw
under this Letter of Credit. This original Letter of Credit must accompany any draft drawn hereunder.
Partial draws are permitted under this Letter of Credit. Lender's honor of a partial draw
shall correspondingly reduce the amount of credit available under this Letter of Credit. Following a partial draw,Lender
shall return this original Letter of Credit to Beneficiary with the partial draw noted hereon;in the alternative,and in its sole .
discretion,Lender may issue a substitute Letter of Credit to Beneficiary in the amount shown above,less any partial
draw(s).
3. PERMITTED TRANSFEREES
If checked,this Letter of Credit may be transferred by Beneficiary upon prior written notice to Lender of the transfer. The
Transferee shall be deemed the new Beneficiary of this Letter of Credit and the documents of the Transferee,including drafts
required under this Letter of Credit,will be processed by Lender(or any intermediary)without the original Beneficiary's
intervention and without any further obligation of Lender to the original Beneficiary.
X _If checked,the right to draw under this Letter of Credit shall be nontransferable,except for:
A. A transfer(in its entirety,but not in part)by direct operation of law to the original Beneficiary's administrator,executor,
bankruptcy trustee,receiver,liquidator,successor,or other representative at law;and
B. The first immediate transfer(in its entirety,but not in part)by such legal representative to a third party after express approval
of a governmental body(judicial,administrative,or executive).
4. TRANSFEREE'S REOUIRED DOCUMENTS
When the presenter is a permitted Transferee under paragraph 3 above,the documents required for a draw shall include:
A. All documents required elsewhere in this Letter of Credit,except that such documents may be in the name of and executed by
either the original Beneficiary or the presenter permitted by paragraph 3;and
B. When the presenter is a permitted Transferee under paragraph 3.A.or a third party under paragraph 3.B.,a certified copy of the
one or more documents which show the presenter's authority to claim through or to act with authority for the original
Beneficiary.
5. TIMING OF DISHONOR
Lender may rely upon any reason for dishonor which it communicates to Beneficiary or the presenter within three(3)Banking Days
after Lender has received the last document forming Beneficiary's presentment(the"Three-Day Period"). Lender shall be entitled
to rely upon such reason without regard to either(i)the timing of any presentment made before the Expiration Date,or(ii)the timing
inside the Three-Day Period of any preliminary communication(s)from Lender concerning the dishonor decision or any reason for
dishonor. For any reason for dishonor given during the Three-Day Period,Lender shall be conclusively deemed to have met the
"reasonable time","without delay",and other timing requirements as the Uniform Customs and Practice for Documentary Credits,
1993 Revision,ICC Publication No 500,as most recently published by the International Chamber of Commerce(the"UCP")may
impose. The Expiration Date shall not be extended to accommodate a presentment made less than three(3)Banking Days before the
Expiration Date,and Beneficiary shall not be entitled to submit a draw request or provide Lender with any documents in support of a
draw after the Expiration Date. Lender shall not be required to communicate a dishonor decision or its reasons within a time less than
the Three-Day Period. "Banking Day"means any day,except Saturday,on which commercial banks located in Colorado are open.
6. COMPLIANCE BURDEN
Lender is not responsible for any impossibility or other difficulty in achieving strict compliance with the requirements of this Letter of
Credit precisely as written. Beneficiary understands and acknowledges:(i)that unless and until the present wording of this Letter of
Credit is amended with Lender's prior written consent,the burden of complying strictly with such wording remains solely upon
Beneficiary;and(ii)that Lender is relying upon the lack of such amendment as constituting Beneficiary's initial and continued
approval of such wording.
7. NON-SEVERABILITY
If any aspect of this Letter of Credit is ever declared unenforceable for any reason by any court or governmental body having
Jurisdiction,Lender's entire engagement under this Letter of Credit shall be deemed null and void ab initio,and both Lender and
Beneficiary shall be restored to the position each would have occupied with all rights available as though this Letter of Credit had
never occurred. This non-severability provision shall override all other provisions in this Letter of Credit,no matter where such
provision appears within this Letter of Credit.
8. CHOICE OF LAW/JURISDICTION
This Letter of Credit is subject to the UCP. This Letter of Credit shall be governed by and construed in accordance with the laws of
the State of Colorado, United States of America, except to the extent such laws are inconsistent with the UCP. Lender and
Beneficiary consent to the jurisdiction and venue of any court selected by Lender in its discretion located in the State of Colorado in
the event of any legal proceeding under this Letter of Credit.
9. EXPIRATION
Lender hereby agrees with Beneficiary that drafts drawn under and in compliance with the terms of this Letter of Credit will be duly
honored if presented to the Lender on or before the Expiration Date.
Dated: March 3,2003
LENDE • Todd A.P ok,Bou Branch President
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ENDORSEMENT OF DRAFTS DRAWN:
Date Negotiated by Amount in Words Amount in Figures
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