2018-15RESOLUTION 2018-15
COUNCIL MEMBER ANDERSEN INTRODUCED THE FOLLOWING RESOLUTION:
WHEREAS the City of Blair, Nebraska has been presented with a Developer's Agreement
between the City of Blair, Nebraska, City of Blair, Nebraska, and Eriksen Construction Co. Inc to
include extension districts for paving and storm sewer, water, and sanitary sewer services for
development of Lots 12-26 of Transformation Hill Addition, excluding Lot 18.
WHEREAS, the terms and conditions of the Developer's Agreement are acceptable to the
City of Blair, Nebraska.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF
THE CITY OF BLAIR, NEBRASKA, that the Developer's Agreement attached hereto, marked
Exhibit "A" and by this reference made a part hereof as though fully set forth herein, which has
been presented to the City Council, is hereby accepted and adopted by the City of Blair, Nebraska,
and that the Mayor and the City Clerk of Blair, Nebraska, are hereby authorized and directed to
execute said Developer's Agreement on behalf of the municipality.
COUNCIL MEMBER ANDERSEN MOVED THAT THE RESOLUTION BE ADOPTED AS
READ, WHICH SAID MOTION WAS SECONDED BY COUNCIL MEMBER JENSEN.
UPON ROLL CALL, COUNCIL MEMBERS SHEPARD, STEWART, WILLIS, HANSEN,
JENSEN, HALL, ANDERSEN AND WOLFF VOTING "AYE", AND COUNCIL MEMBERS
NONE VOTING "NAY", THE MAYOR DECLARED THE FOREGOING RESOLUTION
PASSED AND APPROVED THIS 12TH DAY OF JUNE, 2018.
CITY OF BLAIR, NEBRASKA
C., 4
BY`--
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'S REALPH, MAYO,
ATTEST:
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BRENDAWHEELER, CITY CLERK
(SEAL)
STATE OF NEBRASKA )
) :ss:
WASHINGTON COUNTY )
BRENDA WHEELER, hereby certifies that she is the duly appointed, qualified and acting City
Clerk of the City of Blair, Nebraska, and that the above and foregoing Resolution was passed and
adopted at a regular meeting of the Mayor and City Council of said City held on the 12th day of
June, 2018.
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BRENDA WHEELER, CITY CLERK
DEVELOPER AGREEMENT
THIS AGREEMENT made this 12th day of June, 2018, by and between the City of Blair,
Nebraska, hereinafter referred to as "City", and Eriksen Construction Co. Inc., 2546 South
Highway 30, Blair, Nebraska, a Nebraska Corporation, hereinafter referred to as "Developer".
WHEREAS, City has approved a final plat for the subdivision legally described as:
Transformation Hill Addition (Lots 1 through 57 inclusive) City of Blair, Nebraska, Washington
County; and
WHEREAS, Developer is purchasing Lots 12 through 26, inclusive, via a separate
purchase agreement with the current owner of the property, Angel's Shares; and WHEREAS,
Developer requests that City create improvement or extension districts for paving and storm sewer,
water, and sanitary sewer services for development of Lots 12-26 of Transformation Hill Addition,
excluding Lot 18.
NOW, THEREFORE, IN CONSIDERATION OF MUTUAL COVENANTS AND
BENEFITS TO EACH PARTY AS SET FORTH HEREIN, IT IS AGREED AS FOLLOWS:
1. The Developer and the City hereby each agree and acknowledge that the obligation to perform
under this Purchase Agreement is contingent on the Developer providing documentation to the
City that he holds title to the Lots 12-26, inclusive, which are currently owned by Angel's
Shares. The parties hereby acknowledge and understand that the obligation and duties to
perform require that the Developer purchase the property from Angel's Shares via a separate
purchase agreement. If the Developer does not secure a purchase agreement with Angel's
Shares to own said property, then this agreement shall have no effect and neither party shall
have any obligation to perform under this particular purchase agreement.
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2. Developer hereby files with City its Petition for creation of said improvement districts.
Pursuant to the applicable terms, conditions or prohibitions of the statutes of the State of
Nebraska, City will create paving and storm sewer, water and sanitary sewer improvement
districts for the construction of said improvements within parts of the Transformation Hill
Addition according to the terms of this Agreement.
3. All improvements and construction under said districts shall be made pursuant to the
specifications of City. All contracts for such improvements shall be entered into by City and
according to the terms and conditions approved by City.
4. STORMWATER MANAGEMENT. The City has enacted a stormwater management
ordinance to protect, maintain, and enhance the public health, safety, and general welfare by
establishing minimum requirements and procedures to control the adverse impacts associated
with increased and altered stormwater runoff. Therefore, a Post -Construction Stormwater
Management Plan shall be included in the engineering design contract for the design and
installation of a stormwater management system. The parties hereby acknowledge and agree
that for the benefit of the public that the design and installation of a stormwater management
system for Lots covered by this agreement shall call for a storm water management system that
will not result in a surface detention basis. It is specifically agreed between the parties that for
the benefit of the public that any and all storm water management costs shall be paid as part of
any TIF proceeds.
5. ENGINEERING DESIGN COSTS. Developer hereby agrees that City shall be responsible
for contracting with an Engineering consultant to design, bid, and complete construction
management services for all improvements.
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6. CONSTRUCTION AND CONSTRUCTION ENGINEERING COSTS Developer hereby
agrees to pay for a part of the cost of Engineering for all construction and construction
engineering costs attributed to such districts that benefit his/her subdivision as part of
improvement district costs and as partially assessed per this agreement.
7. TAX INCREMENT FINANCING. The Developer acknowledges and agrees that this
Agreement is contingent on the City obtaining Tax Increment Financing (hereinafter referred
to as "TIF") to complete this Agreement and/or Project. If the City is unable to secure TIF for
the project, the parties hereby acknowledge and agree to release each other from the terms of
this Agreement.
8. PAVING DISTRICT. The City shall create a Paving District to extend Viking Circle west
from 27th Street.
9. WATER EXTENSION DISTRICT. The City shall create a Water Extension District to
extend water service west along Viking Circle west of 27th Street.
10. SEWER EXTENSION DISTRICT. The City shall create a Sewer Extension District to
extend Sewer Service to serve Lot 17, which said extension district shall include laterals for
each condominium to be constructed on Lot 17 as laid out by Developer. The City shall create
a Sewer Extension District to include Sewer Service to Lots 19 through 26, inclusive, as part
of a Sewer Extension District extending from College Drive along Cauble Creek and extending
west in the right of way of Krejci Boulevard. The Sewer Extension District shall include
running laterals to west right of way line of 27th Street.
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11. REMOVAL OF BUILDINGS AND TENNIS COURTS. The City, using TIF funds, shall
be responsible for the removal of three (3) buildings (former Dana College Dorms, commonly
referred to has "Omaha Village.") and the old tennis courts.
12. GRADING. The City, using TIF funds shall grade Lots 12-26, excluding Lot 18 per grading
plan approved by the City and the Developer. Grading shall include the tree removal on site
and Viking Circle. Both parties acknowledge and agree that the Grading shall be part of the
City's application for approval of Tax Increment Financing (hereinafter referred to as "TIF.").
13. ELECTRICAL SERVICE TO LOTS. The City, using TIF funds, shall be responsible for
the installation of underground electrical service to all Lots covered by this agreement.
Service to Lot 17 shall be sufficient to serve power to a minimum of 16 single family living
units, whether constructed as single family or single family attached units.
14. ACTUAL CONSTRUCTION COSTS. It is specifically agreed between the parties that City
shall be responsible for and pay upon completion of construction under the contracts, a
Hundred percent (100%) of the actual construction cost of which part of the costs shall be
assessed to the said Lots. Actual construction cost includes the cost of construction engineering
services, geotechnical services and the total contract price for all improvements including any
change orders approved by the City from time to time and shall be assessed as set forth below.
15. SPECIAL ASSESSMENTS. City shall specially assess the special assessment portion of the
actual construction and engineering costs against the property owned by developer and
specially benefited based upon an allocation of special benefits from the improvements
completed by the projects engineer and approved by the City and the Developer. The City
shall levy such special assessments within one hundred and twenty (120) days from the date
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that engineer certifies the completion of the improvements being installed under the
improvement districts. The procedure for levying the special assessments shall be that set forth
in the City of Blair Municipal Code and the laws of the State of Nebraska. The term "actual
construction cost" shall include the engineering cost that relate to the improvement along with
other costs associated with such construction. All specially assessed costs shall be assessed as
follows:
a. Lots 12 through 16, inclusive, shall have no special assessments for paving, sewer, or
water construction.
b. Lot 17 shall be assessed forty percent (40%) of the cost of the improvement districts
for street, paving, and sewer serving the lot, but shall not exceed $42,000. The balance
of the cost shall be paid from TIF proceeds for benefit of the public. Said special
assessments shall be assessed for a period of twenty (20) years at 5.5% annually.
Furthermore, Assessments on Lot 17 shall be assessed against the entire lot, unless Lot
17 is subdivided prior to the final assessment being levied, in which case, the
assessments shall be divided equally among the replatted lots. Should the assessments
be levied against the entire Lot 17, the Developer shall pay all interest due and 1/6 (one
sixth) of the assessment principal when each building is built, with a maximum of six
(6) buildings to be assessed. The remaining principal shall be reassessed for the
remaining number of years. Each subsequent construction and sale shall be reassessed
in the same manner until assessments are paid in their entirety.
c. Lots 19 through 26, inclusive, shall be assessed thirty-three percent (33%) of the cost
of the improvement districts for extending the sewer main and laterals to the west side
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of 27th street, or Five Thousand Dollars ($5,000.00) per Lot, whichever is less. The
balance of the cost shall be paid from TIF proceeds for the benefit of the public. Said
special assessments shall be assessed for a period of twenty (20) years at 5.5% annually.
d. It is further agreed by all parties, including the Developer and any other persons,
including but not limited to the Lending Institution who may have or claim an interest
in or have an encumbrance or lien upon the above-described real estate, that said special
assessments shall be a first lien on the real estate for all improvements made under such
improvement districts, subject only to general real estate taxes levied and assessed
against said premises and that all other interests, encumbrances or liens on said real
estate or any part thereof, of any parties to this Agreement shall be junior and inferior
to the special assessments of the City against said real estate.
16. City's participation in this Agreement and all of its responsibilities and obligations hereunder
shall be subject to any and all provisions imposed on City by the statutes of the State of
Nebraska and the Municipal Code of the City of Blair, and upon securing TIF.
17. Developer hereby agrees that it will timely pay all installments due for the special assessments
made against the above-described real estate and that it will not allow any installments due
under said special assessments to become delinquent.
18. Developer hereby agrees that it will timely pay all taxes due on the above-described real estate
and it will not allow any taxes to become delinquent.
19. CONSTRUCTION OF HOMES. The Developer shall complete homes and/or
condominiums on said Lots as specified under this Agreement as follows:
a. The Developer shall Complete construction of one (1) new home valued at a minimum
of Two Hundred Thousand Dollars ($200,000.00) on one (1) of the following lots: Lot
12, Lot 13, Lot 14, Lot 15, and Lots 16, within one (1) year of the City agreeing to the
start of construction, estimated at July 1, 2018, and then start construction on each of
the remaining lots, a minimum of one (1) lot at a time, within three (3) months of the
closing of a house completed on one of the aforementioned lots until all five (5) lots
have houses constructed on them. Nothing in this Agreement prohibits building on all
lots sooner than minimum agreed.
b. On Lot 17, build a minimum of five (5) — Two unit or larger single family attached
housing units and two single family units. The two single family units may, at
discretion of developer, be built as two- unit single family attached units. All units
constructed and sold on Lot 17 as originally platted shall be built and sold as
condominiums and/or townhomes with a minimum value of at least Two Hundred
Twenty -Five Thousand ($225,000.00) per single family housing unit. Developer
shall complete a minimum of one (1) — 2 unit single family attached housing unit,
within one (1) year of the completion of the paving of Viking Circle. Developer shall
construct 2 — two unit single family attached or 1 — two unit single family attached
and 1— single family unit within two years of the completion of the paving on Viking
Circle. Construction of the remaining housing units shall start, a minimum of one of
the previously agreed to housing units at a time, within three (3) months of the
closing of majority of housing units previously constructed under this subparagraph
(c). That a minimum of six structures containing twelve (12) living units with a
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minimum value of Two Hundred and Twenty-five thousand dollars ($225,000.00)
each will be completed within five (5) years of completion of paving on Viking Circle
and an additional 2 -unit single family attached condo/townhouse within seven (7)
years.
c. Complete construction of new homes with a minimum value of Two Hundred
Thousand Dollars ($200,000.00) on Lot 19, Lot 20, Lot 21, Lot 22, Lot 23, Lot 24,
Lot 25, and Lot 26 within five (5) years of City notifying developer that sewer
service is available, unless the City agrees to a value of less than Two Hundred
Thousand Dollars. Should the developer submit a successful proposal to the MAPA
Foundation for low or no interest funds to build spec houses from program funded by
Rural Workforce Housing grant funds, the Developer shall start construction on a
minimum of five (5) houses on these lots within sixty (60) days of receiving notice to
proceed from MAPA.
d. Nothing in this agreement prohibits Developer from selling any of the lots
covered by this agreement to another individual or builder to build new housing units
on, providing the individual or builder agrees by contract, approved by the City
Attorney as to conformance with the agreement, to build new single-family housing
unit(s) on. City shall be given not less than thirty (30) day notice and shall respond
with approval or denial within thirty (3 0) days of receiving notice. Any sale contract
shall require that buyer clearly outline the time frame for the construction of said
housing units. In no case shall construction commence on said lots later than 90 days
from the date of sale on some or all of the lots.
20. This Agreement shall be binding upon and inure to the benefit of the Developer, City, Lending
Institution and each of their respective successors, representatives and assigns.
IN WITNESS WHEREOF, the parties have executed this Agreement on the date and year
first above written.
ATTEST:
By: &,,,A /
Brenda Wheeler, City Clerk
Jo Eriksen, C 4t
E ksen Cons ction Co., Inc.
CITY OF BLAIR
B
Ja es �ealph, Mayor
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