Loading...
Minutes - 2007 - City Council - 03/13/2007 - Regular y EAGLE CITY COUNCIL Minutes March 13, 2007 PRE-COUNCIL AGENDA: 6:30 p.m. - 7:30 p.m. Council President Guerber: The Mayor is in Washington DC. I. Valley regional Transit; Kelli Fairless will give an update regarding the Highway 44 bus service. Kelli Fairless provides Council an update on the Highway 44 Bus Service. We are going to begin using used buses to see how the service is going to proceed. It also takes about a year to get a new bus. We have also purchased larger buses. We are starting with one trip in the morning and one trip in the afternoon. The largest market for this route will be an 8-5 schedule. This will serve downtown, the Washington Group area and BSU. We are going to be able to utilize the existing park 'n rides in Eagle. We are going to be starting May I st and we will be doing a lot of media. We are not going to provide free fares. We have been working directly with employers who have employees that would utilize this service. General discussion. 2. Aatronics, Ethan Wheeler. Mike Echeita introduces Ethan Wheeler; Ethan will discuss the proposal for audio/video in the conference rooms and will discuss the concerns that the Council has in regards to the sound system in the Council Chambers. Ethan discusses the proposal to provide audio/video in the lobby and the conference rooms and provides Council an overview of the costs. General discussion. Council concurs to proceed with sound only in the lobby and Ethan will bring a proposal back to Council to add sound in the Council Chamber lobby. Discussion on the microphones in the Chambers. General discussion. Discussion on longer goosenecks for the mics on the dais. Council would like to try one long neck gooseneck for Council Member Bastian's mic. 3. Engineer Reports: No report 4. Public Works Directors Report: Discusses the Guerber Park electrical inspection. The electrical failed the inspection. UL is working on changes. Discussion on the specifications of the controls. It is up to the Contractor to meet those specifications. The most recent projection for completion is early or mid April. We haven't seen much activity going on, it is the same story that is hard to get people out there to work. There is some progress being made. There have been cars parked on the dirt and people walking into the parks. I have contacted the Sheriffs Department and they are going to do extra patrols to keep people out of the park since the City has not accepted the park. Discussion on the Brookwood Well. This has been approved by DEQ and we will be advertising for bids on April 2nd. We have received DEQ approval for the design of Legacy well and we can go out to bid depending on what the developer wants to do. Discussion on the water rights. My recommendation is to go out to bid. We are still waiting for the Eaglefield well approval. It shouldn't be a problem as it is basically the same as the Legacy well. Page] K\COUNCIL\t\1INUTES\Temporary Minutes Work Area\CC-OJ-IJ-07min.doc Discussion on the water storage tank. The plans and specs were submitted on March 8th so we are waiting to get comments back by the middle of April and then we can advertise for bids either late April or early May and open bids in late Mayor early June. We are on schedule. The November I" deadline seems to be realistic. Updates Council on the Merrill Park Bridge. The concept report will be submitted to ITD next week. We will proceed with design when we get their approval. These are ITD project so the schedule is up to lTD. The same thing for the Pedestrian Underpass, the concept report was already submitted and we are waiting to hear back from ITD on their comments and approval. Again this is an ITD project so the schedule is up to them. Updates Council on the Dry Creek Pathway. We have FEMA and the Army Corp of Engineer's approval for our design and we are waiting for comments back from lTD. We are keeping in contact with them and trying to move them along. Sharon I met with Trautman last week on their extended contract and we will get an itemized list of work that they plan to do in time for the budget process and we will submit that to you for your review. Council President calls a recess at 7:30 p.m. Council President reconvenes the meeting at 7:35 p.m. 5. Mayor and Council's Report: Moved to end of agenda 6. City Clerk/Treasurer Report: Moved to end of agenda 7. Zoning Administrator's Report: Moved to end of agenda 5. City Attorney Report: Moved to end of agenda REGULAR COUNCIL AGENDA: 7:35 p.m. I. CALL TO ORDER: Council President Guerber calls the meeting to order at 7:35 p.m. 2. ROLL CALL: BASTIAN, GUERBER, NORDSTROM, BANDY. All present. A quorum is present. Council President Guerber: The Mayor is attending a National League of Cities conference in Washington DC this week and as Council President I am presiding over the Council meeting this evenmg. 3. PLEDGE OF ALLEGIANCE 4. PUBLIC COMMENT: 5. CONSENT AGENDA: · Consent Agenda items are considered to be routine and are acted on with one motion. There will be no separate discussion on these items unless the Mayor, a Councilmember, member of City Staff, or a citizen requests an item to be removed from the Consent Agenda for discussion. Items removed from the Consent Agenda will be placed on the Regular Agenda in a sequence determined by the City Council. · Any item on the Consent Agenda which contains written Conditions of Approval from the City of Eagle City Staff, Planning & Zoning Commission, or Design Page 2 K.ICOUN[JL\MINUTESITemporary Minutes Work Area\CC.03-13-07min,doc Review Board shall be adopted as part of the City Council's Consent Agenda approval motion unless specifically stated otherwise. A. Claims Against the City. B. DR-02-07 - Common Area Landscapinl! within Overton Acres Subdivision _ William and Wanda Overton: William and Wanda Overton, represented by Richard Beck with SLN Planning, Inc., is requesting design review approval for the common area landscaping within Overton Acres Subdivision. The 4.66-acre site is located on the west side of North Locust Grove Road approximately 1,000 feet north of Chinden Boulevard at 6799 North Locust Grove Road. (WEV) e. Open Container Permit: The Winery at Eagle Knoll is requesting an open container permit to be used on March 14, 2007 from 6:00 - 8:00 p.m. at 3060 E. State Street (Northwest Pets). (SKB) D. Minutes of February 20, 2007. E. Minute of February 27, 2007. Bastian removes Item #5A Claims Against the City from the Consent Agenda to give the Council Members the opportunity to review the claims. Bastian moves to approve the Consent Agenda without the Claims Against the City. Seconded by Bandy. AYE: ALL AYES: MOTION CARRIES.................... Bastian moves to table the claims against the City to the end of the agenda. City Attorney: I would request that the Council add an Executive Session to the end of the Agenda for threatened litigation and personnel. Bastian amends his motion to add an Executive Session for threatened litigation and personnel making these Item #9E and F. Seconded by Bandy. ALL AYES: MOTION CARRIES.................. 6. PUBLIC HEARINGS: A. A-19-06/RZ-25-06 & PP-19-06 - Annexation and Rezone from RUT -(Rural Urban Transition) to MU-DA - (Mixed Use with Development Al!reement) And Preliminarv Plat for Castleburv West Business Park - Capital Development. Inc.: Capital Development, Inc. represented by Van Elg with The Land Group, is requesting an annexation and rezone from RUT (Rural Urban Transition) to M-U-DA (Mixed Use with Development Agreement), and preliminary plat approval for Castlebury West Business Park. The 8.52-acre site is generally located on the northwest corner of West Chinden Boulevard and North Meridian Road at 6615 North Meridian Road. (WEV) Council President Guerber introduces the issue. City Attorney Buxton: I would request that this matter be tabled to a date certain for the regular City Council in two weeks. We received late last Friday a letter from Mr. Ed Guerricabeitia, representing Castlebury West Business Park, you have a copy of that letter. This letter was forwarded to ITD and I was able to talk to their attorney's today and they have also asked that we table this Public Hearing for two weeks to a date certain so Castlebury West representatives, the City and ITD have an opportunity to work out the issues raised in Mr. Guerricabeitia's letter in regards to the ITD right of way. It does appear that Mr. Guerricabeitia's letter is what I would consider as legal council for the City a threat of litigation and I would request again that the Council table the matter to a date certain. General Council discussion. Page 3 K\COUNClL\MINUTESITemporary Minutes Work Area\CC-OJ-13-07min.doc Bastian moves to continue the public hearing to March 27, 2007 on the Castlebury application. Seconded by Nordstrom. Discussion. ALL AYES: MOTION <:ARRIEIi............... 7. RESOLUTIONS & PROCLAMATIONS: A. Resolution No. 07-06: Declaration of surplus property. (SKB) Council President Guerber introduces the issue. City Clerk Bergmann: I have been working on updating the fixed assets of the City since we moved into the new city hall and have been working with the Library also. Resolution 07-06, 07- 07 and 07-08 are for surplus assets that we no long need and/or have been replaced or need to be disposed of. Bastian moves to approve Resolution No. 07-06 Declaration of surplus property. Seconded by Bandy. ALL AYES: MOTION CARRIES.............. B. Resolution No. 07-07: Declaration of surplus property. (SKB) Council President Guerber introduces the issue. Bastian moves to approve Resolution No. 07-07 Declaration of surplus property. Seconded by Bandy. ALL AYES: MOTION CARRIES.............. e. Resolution No. 07-08 Declaration of surplus property. (SKB) Council President Guerber introduces the issue. Bastian moves to approve Resolution No. 07-08 Declaration of surplus property. Seconded by Nordstrom. ALL AYES: MOTION CARRIEIi.............. D. Arbor Dav Proclamation: A proclamation declaring April 21, 2007 as Arbor Day in the City of Eagle. (WEV) Council President Guerber introduces the issue. Nordstrom moves to approve the Arbor Day Proclamation: A proclamation declaring April 21, 2007 as Arbor Day in the <:ity of Eagle. Seconded by Bandy. ALL A YES: MOTION <:ARRIES................. E. Micron Treasure Vallev Classic Pro-Am Proclamation: A proclamation declaring May 29,2007 Micron Treasure Valley Classic Pro Am Day in Eagle. (NM) Council President Guerber introduces the issue. Bandy moves to approve the Micron Treasure Valley Classic Pro-Am Proclamation: A proclamation declaring May 29, 2007 Micron Treasure Valley Classic Pro Am Day in Eagle. Seconded by Bastian. ALL A YES: MOTION CARRIES................. F. Fair Housinl! Proclamation: A proclamation declaring April Fair Housing month in April. (NM) Council President Guerber introduces the issue. Bastian moves to approve the Fair Housing Proclamation: A proclamation declaring April Fair Housing month in April. Seconded by Nordstrom. ALL A YES: MOTION CARRIES........... '" Page 4 K\COUNCll\MINUTES\Temporary Minutes Work Area\CC+03-13-07min,doc 8. UNFINISHED BUSINESS: A. Discussion of Rib Shack: This item was continuedfrom the February 27,2007 meeting. (SEB) Council President Guerber introduces the issue. General discussion. Nordstrom moves to continue the Rib Shack issue to March 27, 2007 to give staff and the City Attorney sufficient time to finish all of the discussions and bring a settlement forward. Seconded by Bastian. ALL AYES: MOTION CARRIES................. B. Discussion rel!ardinl! Al!reement to reduce Letter of Credit for Rinl!o Ridl!e Subdivision No.2 - P.O. Ventures, represented bv Fredrick Shoemaker. (SEB) Council President Guerber introduces the issue. Council President calls a recess at 7:55 p.m. Council President reconvenes the meeting at 8:05 p.m. City Attorney Buxton: In regards to the Rib Shack you will remember at the appeal hearing that we had with them that they did threaten to sue the City over the removal of the tent and we do have an offer from them in regards to the tent. I would prefer to table this for one week. This is threatened litigation and I will be discussing this with you in executive session. Bastian moves to reconsider the action in regards to the Rib Shack. Second Nordstrom concurs. ALL AYES: MOTION CARRIES.................... Bastian moves to continue the Rib Shack matter to March 20, 2007. Seconded by Bandy. ALL AYES: MOTION CARRIES................ City Attorney Buxton: Last week I sent you an e-mail describing the situation whereby P.O. Ventures that is doing the Ringo Ridge Subdivision has requested that we convert the Letter of Credit to a cash deposit. Mr. Vaughan can give you an up date on the condition of the landscaping and other improvements that have been required in your approval of that subdivision and give you some background. This would release the Letter of Credit that is being held by Syringa Bank. I requested some additional security beyond the $40,000 in the event the City does have to take that cash deposit pursuant to this agreement and use it. I have requested that we have the ability to lien some property so we have some additional security to make sure that we get additional funds if necessary. Mr. Shoemaker agrees with this. I basically said we would lien Phase III. They would like us to accept this cash deposit and then allow them go forward with Phase III of Ringo Ridge Subdivision so that they can get those entitlements and start selling lots to help with their cash flow. We said that would be fine as long as we had the additional security. I believe we have an agreement in concept in regard to that. They would like to have this agreement finished by Friday so they can release that Letter of Credit and go forward, get the landscapers and finish the improvements. My request is to have you approve this with the final language being worked out with legal counsel. Zoning Administrator Vaughan: Provides Council an overview of the present condition of the landscaping and the improvements within Ringo Ridge Subdivision. They are actually out their working on the improvements. They are making a proactive effort on completion of this. Discussion on Phase III. Staff supports the request to approve this agreement and move forward with Phase III. General discussion. Page 5 K:\COUNCIL\MINUTES\Temporary Minutes Work Area\CC-OJ-IJ-07mindoc Bastian moves to approve the Arbor Ridge-Ringo Ridge Cash Deposit Surety Agreement with the City of Eagle dated March 13,2007 with the understanding that language will prepared by the Attorney and property will be identified and placed in the agreement prior to this Friday and authorize the Mayor or the Council President to sign the document after review. Seconded by Bandy. Discussion. Bastian: AYE; Guerber: AYE; Nordstrom: NAY; Bandy: AYE: THREE AYES - ONE NAY: MOTION CARRIES...................... C. Discussion of AATronics Bid: This item was continuedfrom the February 27.2007 meeting. (ME) Council President Guerber introduces the issue. Council general discussion. Bandy moves to continue this to March 20,2007. Seconded by Bastian. Discussion. ALL AYES: MOTION CARRIES................ 9. NEW BUSINESS: A. Review of HV/AC Maintenance Proposals: (ME) Council President Guerber introduces the issue. Mike Echeita: I believe we already discussed this and it was approved at the last Council meeting. B. City consideration of utilitv easement for the Terrazza Condominium Proiect I!enerallv located adiacent to the southeast corner of Reid Merrill Park approximatelv 250 feet east of the intersection of Shore and Riverside Drive. (SEB) Council President Guerber introduces the issue. City Attorney Buxton: With regard to this easement, this piece of property is access to the public road, Riverside Drive, across an ingress egress easement the City held right next to the Park. All that agreement said was ingress and egress it did not have anything in addition to that. In looking at this situation we negotiated this easement with the Developer and you will see that on Item 0 of the Recitals that the consideration for them to have this utility easement across the City property is $3,500.00 to the Eagle City Tree Fund. General discussion. Nordstrom moves to approve the Utility Easement for the Terraza Condominium Project as described in the Easement Agreement 9D. Seconded by Bastian. Bastian: AYE; Guerber: AYE; Nordstrom: AYE; Bandy: AYE: ALL AYES: MOTION CARRIES................ C. Ordinance No. 564 - (Svlvan Wood Subdivision): An ordinance annexing certain real property situated in the unincorporated area of Ada County, Idaho, and contiguous to the corporate limits of the City of Eagle, to the City of Eagle, Idaho; establishing the zoning classification of said real property described herein; amending the zoning map of the city of eagle to reflect said changes; directing that copies of this ordinance be filed as provided by law; and providing an effective date. (WEV) Council President Guerber introduces the issue. Bastian moves, pursuant to Idaho Code, Section 50-902, that the rule requiring Ordinances to be read on three different days with one reading to be in full be dispensed with, and that Ordinance #564 be considered after being read once by title only. Bastian reads Ordinance #564 by title only. Seconded by Nordstrom. ALL AYES: MOTION CARRIES............... Page 6 K:\COUNCIL\M:JNUTES\Temporary Minutes Work AreaICC-OJ-13-07mindoc Bastian moves that Ordinance #564 be adopted. Seconded by Nordstrom. Bastian: AYE; Guerber: AYE; Nordstrom: AYE; Bandy: AYE: ALL AYE: MOTION CARRIES......... D. 200700006-CU - Conditional Use Permit for an Equestrian Facilitv for Spurwinl! Stables - Charlene Hewitt (Ada County Application): Charlene Hewitt, represented by Curt Barber with Custom Steel Construction, is requesting the approval of a conditional use permit to construct a 16,560-square foot (approximate) indoor riding arena and a 5,544-square foot (approximate) covered stall area. The twenty seven (27) acre site is located approximately 1,900- feet west of South Linder Road at 2333 West Duck Alley Road. This site is located in the Eagle Area of Impact. (WEV) Council President Guerber introduces the issue. Curt Barber, representing the applicant, displays overheads and provides Council with an overview of the application. General discussion. Nordstrom moves to approve 200700006-CU - Conditional Use Permit for an Equestrian Facility for Spurwing Stables - Charlene Hewitt (Ada County Application) as presented tonight. Seconded by Bastian. ALL AYES: MOTION CARRIES....................... E. Claims Against the City: Bastian moves to approve the Claims against the City. Seconded by Bandy. Bastian: AYE; Guerber: AYE; Nordstrom: AYE; Bandy: AYE: ALL AYE: MOTION CARRIES......... PRE-COUNCIL REPORTS: City Clerk/Treasurer Report: It is time for the annual Chamber Customer Appreciation Days. Do you want to have a booth? Council concurs to have a booth. At the February 20th meeting there was discussion on the City Hall monument sign but there was not a motion by the Council to approve Classic Design Studio's bid to construction the sign for $14,500. We discussed sole source procurement. General discussion. I need a motion from Council to approve the Classic Design Studio's bid of $14,500 to install the sign. So moved by Bastian. Seconded by Nordstrom. Bastian: AYE; Guerber: AYE; Nordstrom: AYE; Bandy: AYE: ALL AYES: MOTION CARRIES...................... You have a copy of a draft letter to the Eagle Volunteer Fire Association and I don't know if you desire any discussion on this in regards to their advertisement for Eagle Fun Days. General discussion. Council concurs to send the letter to the Eagle Volunteer Fire Association.' Zoning Administrator's Report: Susan passed a memo from our City Forester in regards to the Arbor Day Events. This is specifically in regards to the memorial tree plantings at Merrill Park and the future communications efforts that will be made to keep everyone in the loop. Council President Guerber: I think we need to go one step beyond keeping everyone in the loop, I think we need a policy for the City of Eagle. I would like to staff contact other cities and identiry what other cities do from the stand point of having people wanting to plant trees in memorial so we know who pays for trees, who pays for monument signage and etc. and have a process in place. Instead of reacting to the recent requests we need to have a policy in place. Discussion on the Jeff Cline e-mail in regards to the area to the West of the Colony where the proposed Music Academy was. Zoning Administrator Vaughan will contact Mr. Cline. City Attorney Report: I have been working on the foothills plan with the staff and working with developers on annexation. There will be a number of neighborhood meetings and we have been Page 7 K:\COUNClL\MINUTES\Temporary Minutes Work Area\CC-OJ-IJ-07min.doc assisting them to make sure they meet our code requirements. Discussion on Kastera withdrawing their application. Mayor and Council's Report: Bandy: No report Bastian: I met with the Library Board last night and we discussed continued city growth and planning for library services. Discussed the formula of I sq ft for each resident. They are going to work on this and bring a report back to us. Nordstrom: I met with the Sewer Board last night and shared with them our discussion of no shooting of firearms within the City Limits. They voiced appreciation for this; they were just trying to be accommodating. They are in full support of this. Kastera came into them and asked for sewer management from the Sewer District. General discussion. Bastian: 33% of our circulation is 20% through the City of Boise and I I % through the County. One third of our collection is being used by others. Another problem is that it is convenient for people to drop off books belonging to other libraries at our Library. These books then need to be transported to other libraries. General discussion. Guerber: As you may have read in the paper the Snake River Appellations area has been approved at the national level and this will improve the visibility of our wine industry in the State. Discussion on the press conference held on Monday. We have already talked about an Eagle Wine District. Discussion on the proposed changes to the Comp Plan and the schedule. It looks like we will be seeing changes to the comp plan the mid to latter part of April or the first part of May. Ada County Planning and Zoning approved their comp plan and pulled out the foothills area until they can review the work being done by Eagle and other cities in regards to the foothills. General discussion. F. Executive Session: Bastian moves to go into Executive Session for the discussion of threatened and pending litigation and personnel. Seconded by Nordstrom. Bastian: AYE; Guerber: AYE; Nordstrom: AYE; Bandy: AYE: ALL AYE: MOTION CARRIES......... Council goes into Executive Session at 9: I 0 p.m. Council discusses pending and threatened litigation and personnel. Council leaves Executive Session at 10:35 p.m. 10. ADJOURNMENT: Council President Guerber adjourns the meeting. Hearing no further business, the Council meeting adjourned at 11 :35 p.m. Respectfully submitted: ..,......... -.' .... JQ ~ {<!Ii '{OFE", ". ....'\............?< ..... . SHA~O~B1iR~~NN /h~ . ~.~o\ll'OR...)o;.{ '\ CITY CLERK/TREASURER : * : _._ : * : :.~ :: i ~C\SEAL,{!, i \ <1';. o.~.~~(:l "###11'~ O.p \~ '"",- .... ..~ ............' Page 8 K:\COUNCIL\MfNUTESITemporary Minutes Work Area\CC-03-1 3-07min.doc APPROVED: ~~~ MA OR - A TRANSCRIBABLE RECORD OF THIS MEETING IS A V AILABLE AT EAGLE CITY HALL Page 9 K\COUNCIL\MINUTES\Ternporary Minutes Work Area\CC-03~13-07min.doc March 13, 2007 Eagle Volunteer Fire Association Attn; Scott Pruett 966 E. Iron Eagle Dr. Eagle, ID 83616 NOTICE TO SUBMIT ADVERTISING Dear Mr. Pruett: The City of Eagle is in receipt of your request for an Open Container Permit for the Rocky Mountain Oyster Feed to be held at Merrill Park on June 9, 2007. Please note that each Applicant for a Permit for Possession and/or Consumption of Alcohol Beverages, for an event which is open to the public, shall attach to the appropriate Application a transcript or audio/video file of the proposed advertising that will be utilized for the event in which the permit is to be effective. The City Clerk shall present the Application and the advertising medium to the City Council at its regular meeting for approval along with the application. The City Council's review of the advertising shall preserve the advertiser's freedom of speech protected by both the Constitution for the United States and the State of Idaho while verifying that the advertising message is in compliance with applicable municipal, state, and federal laws restricting types of speech that are not protected by the First Amendment in order to maintain the public health, safety, or welfare. Such unprotected speech includes but is not limited to: speech containing obscenity, fighting words, defamation, child pornography, perjury, blackmail, inciting lawlessness, and other applicable proper time, place, and manner restrictions on unprotected speech. City Council meets on the 2"d, 3rd, and 4" Tuesday of the month. The proposed print advertising and/or audio/video file should be submitted no later than the Thursday prior so that Council can review it prior to their regularly scheduled Council meeting. Also, in regards to your February 7, 2007 e-mail request (see attached copy) to waive fees, the City Council at their February 20, 2007 meeting, they stated that the City would waive fees for this event contingent upon the fees for the City's 4`}' of July event being waived by the Fire Department. Should you have any questions, please feel free to contact me at 939-6813. Sincerely, Sharon K. Bergmann, MMC City Clerk/Treasurer cc: City Council C G 3.-/S-0 7 MOORE SMITH BUXTON & TURCKE, CHARTERED STEPHANIE J. BONNEY SUSAN E. BUXTON* PAUL J. FrrZER MICHAEL C. MOORE* BRUCE M. SntrrH PAUL A. TURCKE* CARL J. WITHROE»* TAMMY A. ZOKAN* ATTORNEYS AND COUNSELORS AT LAW 950 W. BANNOCK STREET, SUITE 520 BOISE, ID 83702 TELEPHONE: (208) 331-1800 FAX: (208) 331-1202 March 13, 2007 VIA EMAIL Mr. Fredric V. Shoemaker GREENER BANDUCCI SHOEMAKER 950 W. Bannock Street, Suite 900 Boise, ID 83702 Re: Arbor Ridge/Ringo Ridge Cash Deposit Security Agreement with the City of Eagle Dear Fred: JOHN J. MCFADDEN*t of Counsel » Also admitted in California ' Also admitted in New Mexico * Also admitted in Oregon c Also admitted in South Dakota tAlso admitted in Washington Enclosed is a revised agreement regarding the cash deposit to replace the existing letter of credit. As we discussed late last week, we agreed to explore a means to create liens on Phase 3 lots as additional security for the Agreement in the even the improvements are not complete or otherwise do not meet the City's specifications. I also added a mediation/arbitration clause to avoid unnecessary litigation of this matter. Unless you have any insurmountable issues with these changes, I expect we will be able to approve this Agreement at the City Council meeting tonight. I will ask the council to approve the Agreement contingent on the parties' attorneys finalizing the language. Sincerely yours, MOORE SMITH BUXTON & TURCKE, CHTD. ,k,Pe,11-0.e.aig16' Susan E. Buxton SEB/clb cc: City of Eagle MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE Planning & Zoning Administrator City of Eagle P.O, Box 1520 Eagle, Idaho 83616 Recording Requested By and When Recorded Return to: For Recording Purposes Do Not Write Above This Line MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE THIS MEMORANDUM ("Memorandum") made and entered into this day of March 2007, by and between the City of Eagle, a municipal corporation ("City") and P.O. Ventures, Inc., an Idaho corporation, ("Developer"). In mutual consideration of the covenants contained herein, the City and Developer agree as follows: 1. Definitions. '`Improvements" shall mean landscaping, irrigation. and sprinkler facilities in the North Echohawk Way right-of-way or the common area located east of North Echohawk Way and west of Highway 55, including drainage, piping, other underground structures, the concrete stamped fence at the top of the berm located in the common area, picnic benches and tables, funscape playground equipment, trees, shrubs, grass and other landscaping improvements located in the common area and in the North Echohawk Way right-of-way, and surface and subsurface drainage facilities located in the common area and any other improvements required by the City's approvals of the Ringo Ridge Subdivision (aka Arbor Ridge Subdivision). "Remedial Work" shall mean the repair or removal of any Improvements, including removal of dead or damaged trees or shrubs, and the replacement of such improvements, including the replanting of trees, shrubs and other landscapist<2 improvements required by the City's approvals of the Ringo Ridge Subdivision. "Bank' shall mean Syringa Bank. the issuer of the Letter of Credit. MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 1 FVS/kIc/d (U 11019/36 - Prime Earth\Memorandum Re Cash Deposit 03-13-07.doc) 3/13/07 "Letter of Credit" shall mean Letter of Credit No. 300011 in favor of Syringa Bank in the original amount of $592,898, and subsequently reduced to $127,218.61. "Cash Deposit' shall mean Developer's deposit of Forty Thousand Dollars ($40,000.00) in the form of cash or other immediately available funds with the City, or in such bank account as the City Clerk for the City may direct the Developer. 2. The Developer has substantially completed the Improvements required as a component of Ringo Ridge Subdivision No. 2, and as identified in the Ringo Ridge Subdivision Agreement dated December 13, 2005. as modified by that certain Agreement dated June 27, 2006 for which Developer posted the Letter of Credit in the amount of $592,898. and subsequently reduced to $127,218.61. 3. To facilitate and ease the City's access to funds should any of the trees and shrubs previously planted die or should any Improvements fail or not meet the specifications of the City's approval for Rinuo Ride Subdivision, and in order to facilitate Developer's access to other funds reserved by the Letter of Credit to complete any remaining improvements, the Letter of Credit previously provided to the City shall be surrendered and released, and Developer shall make the Cash Deposit with the City. Such Cash Deposit, or any portion of such Cash Deposit, may be accessed by the City at any time between the effective date of this Memorandum and March 1, 2009. if upon ten (10) business days written notice to Developer, the City reasonably determines that any of the Improvements have failed; died or otherwise do not meet the specifications of the City's approvals of the Rinuo Ridue Subdivision. In that event, City is at liberty to hire. contract or employ any third -party to undertake the replanting or other remedial work, and may use all or a portion of such Cash Deposit to do so. 4. Developer hereby grants the City, or any employee, contractor or third -party who undertakes such remedial work, a license to go upon Developer's lands or lands owned by the Arbor Ridge Homeowners Association, Inc. 5. Syringa Bank shall be released from the Letter of Credit when Developer deposits the Cash Deposit for the benefit of the City. and the City notifies Syringa Bank in writing of such compliance, which shall be accomplished by the Bank delivering to the City its check in the amount of $40.000. and simultaneously obtaining the original Letter of Credit. 6. Upon the tender of the Cash Deposit to the City. there is herebv created a continuinu claim of lien with the power of sale on each lot in Phase 3 of the Rinuo Ride Subdivision to secure payment for the failure of developer to meet the terms and conditions of this Aureement where the Cash Deposit is insufficient to repair or install the Improvements to meet the specifications of the City's approvals of the Rinuo Ridue Subdivision. Said lien shall be prior and superior to all other liens or claims on the lots located in Phase 3 of the Rine() Ride Subdivision except for the followinu: (1) valid tax and special assessment liens on Lots in favor of a uovernmental unit assessing authority: (2) a lien for all sums unpaid and secured by a first MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 2 f VS/klc/d (U.11019\36 - Prime Earthl.Mcmorandum Re Cash Deposit.03-13-07 doc) 3/13/07 mortgage or first Deed of Trust. duly recorded in Ada County. Idaho. including all unpaid obligatory advances to be made pursuant thereto: and (3) labor or materialman's liens. if the same are prior by reason of applicable law. All other lien holders acquiring liens on any lots in Phase 3 of the Ringo Ridge Subdivision after the recordation of this Agreement shall be deemed to consent that such liens shall be inferior to the lien created herein. irrespective of whether said liens. including liens for assessments bv the homeowners association or others. is prior to or subsequent to the recording of the lien authorized bv this Agreement. Written notice of default shall be deposited by the Citv in the U.S. Mail. postage nrenaid. notifying the lot owner(s) in Phase 3 of the Ringo Ridee Subdivision of the enforcement of the lien created herein that thirty (30) days thereafter the lien shall he foreclosed and the be properly sold to satisfy the lien amount. 6;7. When the Cash Deposit, when after tendered, together with Developer's substantial completion of the common area and North Echohawk Way right-of-way and other Improvements. have been satisfied. this .aureement shall he terminated and anv funds remaining from the Cash I)eposit or other remaining funds received h\ the Cit‘ nursuant to this Agreement shall be returned to the Dev eloper. mil tiuv.:: 1111,1 'M A nr: Ii.n:,;er an [non execution of this Agreement no impediment exist. to the City's approval of the plat for Ringo Ridge Subdivision No. 3, provided that Developer agrees that this Memorandum .\12.reement does not waive the City's ability to enforce Eagle City Code and the approved Findings of Fact and Conclusions of Law for the Arbor Ridge Subdivision and subsequent design review and final plat approvals for phases subsequent to Ringo Ridge Subdivision No. 3. In addition, should any improvements fail; of be damaged or do not meet the specifications of the City's approval of ethe Ringo Ridge Subdivision. during the course of the two (2) year term. and the Cash Deposit is insufficient to repair or install such improvements, the City may: (1) withhold the issuance of any Building Permits for any lot within Ringo Ridge Subdivision No. 3. or any subsequent phase of Ringo Ridge. until such time Developer has paid the City a sum sufficient to remedy such failed improvements at Developer's own expense..-: or (2) 7,8. Developer agrees to provide a copy of this Memorandum to any purchaser of any lot in Ringo Ridge Subdivisions No. 3. The City may include a copy of this Memorandum with any Building Permit issued for Ringo Ridge Subdivision No. 3. &9. The City acknowledges that it has been represented by legal counsel and has negotiated this Memorandum. Neither party shall have been deemed to have been the drafter of this Memorandum. 110. This Memorandum shall be binding upon and inure to the benefit of the heirs. successors, agents, employees and assigns of the parties. 11. .\t an\ time durine the term of this Agreement. if anv dispute. difference and/or disaureement shall arise of or in respect to this :'Agreement that the parties cannot resolve in mediation. said dispute difference and/or disagreement shall be referred to a single arbiter agreed upon by the parties. or if no single arbiter can he agreed upon. an arbiter or arbiters shall be selected in accordance with the rules of the American Arbitration Association ("AAA"). Ani MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 3 IAV$/klc/d (U 11019\36- Prime lanh\Memorandum Re Cash Deposit 03-13-07 doe 3/13/07 unresolved dispute. difference or disagreement shall he settled h\ binding arbitration in accordance with the then prevailing commercial rules of the AAA. and judgment anon the award rendered by the arbiter may he entered by anv court of competent jurisdiction. Notice of the demand for arbitration shall be field in v ritine \yith the other Harty to this Agreement within a reasonable time from \\ hen the unresolved dispute. difference. or disagreement has arisen. 4.0.12. Any and all remedies provided for enforcement of the provisions of this Memorandum are cumulative and not exclusive; and the prevailing party shall be entitled to pursue either the rights enumerated in this Memorandum or remedies authorized by law. or both. The prevailing party shall be liable for any costs or expenses. including attorney fees. arbitration costs and related court costs. incurred by it in enforcing any terms of this Memorandum. or in pursuing any legal action for the enforcement of the its rights. 1-1,13. This Memorandum shall be recorded and run with the land against the property known and identified as Ringo Ridge Subdivision No. 3. IN WITNESS WHEREOF, the undersigned have executed this Memorandum as of the date first above written. P.O. VENTURES, INC. THE CITY OF EAGLE, an Idaho corporation a municipal corporation By Bruce Patterson Its: President ATTEST: Sharon K. Bergmann Its: City Clerk By Nancy C. Merrill Its: Mayor MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 4 I VSRic/d (U 11019\36 - Prime Earth Memorandum Re Cash Deposit 03-13-07 doe) 3/13/07 STATE OF IDAHO )ss. County of Ada ACKNOWLEDGEMENTS On this day of , 2007, before me, a Notary Public in and for said state, personally appeared Bruce Patterson, known or identified to me, to be the person whose name is subscribed to the within instrument, and acknowledged to me that he executed the same. SUBSCRIBED AND SWORN to before me this day of , 2007. STATE OF IDAHO )ss. County of Ada Notary Public for Idaho Residing at Commission Expires On this day of , 2007, before me, a Notary Public in and for said state, personally appeared Nancy C. Merrill, known or identified to me, to be the person whose name is subscribed to the within instrument, and acknowledged to me that she executed the same. SUBSCRIBED AND SWORN to before me this day of , 2007. Notary Public for Idaho Residing at Commission Expires MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 5 FVS/klc/d (U:11019\36 - Prime EarthlMemorandum Re Cash Deposit.03-13-07.doc) 3/13/07 MOORE SMITH BUXTON & TURCKE, CHARTERED STEPHANIE J. BONNEY SUSAN E. BUXTON* PAUL J. FrrzER MICHAEL C. MOORES BRUCE M. SMITH PAULA. TURCKE° CARLJ. WITHROE»• TAMMY A. ZOKAN` ATTORNEYS AND COUNSELORS AT LAW 950 W. BANNOCK STREET, SUITE 520 BOISE, ID 83702 TELEPHONE: (208) 331-1800 FAX: (208) 331-1202 March 13, 2007 VIA EMAIL Mr. Fredric V. Shoemaker GREENER BANDUCCI SHOEMAKER 950 W. Bannock Street, Suite 900 Boise, ID 83702 Re: Arbor Ridge/Ringo Ridge Cash Deposit Security Agreement with the City of Eagle Dear Fred: JOHN J. MCFADDEN•t of Counsel » Also admitted in California ` Also admitted in New Mexico • Also admitted in Oregon • Also admitted in South Dakota =Also admitted in Washington Enclosed is a revised agreement regarding the cash deposit to replace the existing letter of credit. As we discussed late last week, we agreed to explore a means to create liens on Phase 3 lots as additional security for the Agreement in the even the improvements are not complete or otherwise do not meet the City's specifications. I also added a mediation/arbitration clause to avoid unnecessary litigation of this matter. Unless you have any insurmountable issues with these changes, I expect we will be able to approve this Agreement at the City Council meeting tonight. 1 will ask the council to approve the Agreement contingent on the parties' attorneys finalizing the language. Sincerely yours, MOORE SMITH BUXTON & TURCKE, CHTD. Susan E. Buxton SEB/clb cc: City of Eagle ,gi44- MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE Planning & Zoning Administrator City of Eagle P.O, Box 1520 Eagle, Idaho 83616 Recording Requested By and When Recorded Return to: For Recording Purposes Do Not Write Above This Line MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE THIS MEMORANDUM ("Memorandum") made and entered into this day of March 2007, by and between the City of Eagle, a municipal corporation ("City") and P.O. Ventures, Inc., an Idaho corporation, ("Developer"). In mutual consideration of the covenants contained herein, the City and Developer agree as follows: 1. Definitions. "Improvements" shall mean landscaping, irrigation, and sprinkler facilities in the North Echohawk Way right-of-way or the common area located east of North Echohawk Way and west of Highway 55, including drainage, piping, other underground structures, the concrete stamped fence at the top of the berm located in the common area, picnic benches and tables, funscape playground equipment, trees, shrubs, grass and other landscaping improvements located in the common area and in the North Echohawk Way right-of-way, and surface and subsurface drainage facilities located in the common area and any other improvements required by the City's approvals of the Ringo Ridge Subdivision (aka Arbor Ridge Subdivision). "Remedial Work" shall mean the repair or removal of any Improvements, including removal of dead or damaged trees or shrubs, and the replacement of such improvements, including the replanting of trees, shrubs and other, improvements required by the City's approvals of the Ringo Ridge Subdivision. "Bank" shall mean Syringa Bank, the issuer of the Letter of Credit. MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 1 FVS/klc/d (C:\Documents and Senings\ssmith\Local Settings\Temporary Internet Files\OLK2 Memorandum Re Cash Deposit.03-13-07.doc) 3/13/07 r1 Deleted: landscaping "Letter of Credit" shall mean Letter of Credit No. 300011 in favor of Syringa Bank in the original amount of $592,898, and subsequently reduced to $127,218.61. "Cash Deposit" shall mean Developer's deposit of Forty Thousand Dollars ($40,000.00) in the form of cash or other immediately available funds with the City, or in such bank account as the City Clerk for the City may direct the Developer. 2. The Developer has substantially completed the Improvements required as a component of Ringo Ridge Subdivision No. 2, and as identified in the Ringo Ridge Subdivision Agreement dated December 13, 2005, as modified by that certain Agreement dated June 27, 2006 for which Developer posted the Letter of Credit in the amount of $592,898, and subsequently reduced to $127,218.61. 3. To facilitate and ease the City's access to funds should any of the trees and shrubs previously planted die or should any Improvements fail or not meet the specifications of the City's approval for Ringo Ridge Subdivision, and in order to facilitate Developer's access to other funds reserved by the Letter of Credit to complete any remaining improvements, the Letter of Credit previously provided to the City shall be surrendered and released, and Developer shall make the Cash Deposit with the City. Such Cash Deposit, or any portion of such Cash Deposit, may be accessed by the City at any time between the effective date of this Memorandum and March 1, 2009, if upon ten (10) business days written notice to Developer, the City reasonably determines that any of the Improvements have failed,, died or otherwise do not meet the specifications of the City's -Deleted: or annrovals of the Ringo Ridge Subdivision. In that event, City is at liberty to hire, contract or employ any third -party to undertake the replanting or other remedial work, and may use all or a portion of such Cash Deposit to do so. 4. Developer hereby grants the City, or any employee, contractor or third -party who undertakes such remedial work, a license to go upon Developer's lands or lands owned by the Arbor Ridge Homeowners Association, Inc. 5. Syringa Bank shall be released from the Letter of Credit when Developer deposits the Cash Deposit for the benefit of the City, and the City notifies Syringa Bank in writing of such compliance, which shall be accomplished by the Bank delivering to the City its check in the amount of $40,000, and simultaneously obtaining the original Letter of Credit. 6. Upon the tender of the Cash Deposit to the City, there is hereby created a continuing claim of lien with the power of sale on each lot in Phase 3 of the Ringo Ridge Subdivision to secure payment for the failure of developer to meet the terms and conditions of this Agreement where the Cash Deposit is insufficient to repair or install the Improvements to meet the specifications of the City's approvals of the Ringo Ridge Subdivision. Said lien shall be prior and superior to all other liens or claims on the lots located in Phase 3 of the Ringo Ridge Subdivision except for the following: (1) valid tax and special assessment liens on Lots in favor of a governmental unit assessing authority: (2) a lien for all sums unpaid and secured by a first MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 2 FVS/klc/d (C:\Docutnents and Settings\ssnrith\Local Settings\Temporary Internet Files\OLK2 1 \Memorandwn Re Cash Deposit.03-13-07.doc) 3/13/07 Formatted: Bullets and Numbering mortgage or first Deed of Trust. duly recorded in Ada County. Idaho. including all unpaid obligatory advances to be made pursuant thereto: and (3) labor or materialman's liens. if the same are prior by reason of applicable law. All other lien holders acquiring liens on any lots in Phase 3 of the Ringo Ridge Subdivision after the recordation of this Agreement shall be deemed to consent that such liens shall be inferior to the lien created herein. irrespective of whether said liens, including liens for assessments by the homeowners association or others, is prior to or subsequent to the recording of the lien authorized by this Agreement. Written notice of default shall he deposited by the City in the U.S. Mail. postage prepaid, notifying the lot owner(s) in Phase 3 of the Ringo Ridge Subdivision of the enforcement of the lien created herein that thirty (30) days thereafter the lien shall be foreclosed and the be properly sold to satisfy the lien amount. • Formatted: Bullets and Numbering 7. When the Cash Deposit, after tender, together with Develojer's_substantial_- Deleted: eted: wh e. � en completion of the common area and North Echohawk Way right-of-way and other Improvements, have been satisfied, this .A eg.n ent_sh l[_be terminated and anv lands irenlaltltng from the Cash Deposit or other remaining funds received by the City pursuant to this Agreement shall be returned to the Developer. Upon execution of this Agreement no impediment exist, to the City's approval of the plat for Ringo Ridge Subdivision No. 3, provided that Developer agrees that this,A<greement does not waive the City's ability to enforce Eagle City Code and the approved Findings of Fact and Conclusions of Law for the Arbor Ridge Subdivision and subsequent design review and final plat approvals for phases subsequent to Ringo Ridge Subdivision No. 3. In addition, should any improvements fail„ be damaged or do not meet the = Deleted: or specifications of the City's approval of .the Ringo Ridge Subdivision, during the course of the Deleted: o "I Deleted: ed Deleted: and thus there are no longer nn Deleted: Memorandum two (2) year term, and the Cash Deposit is insufficient to repair or install such improvements, the City may: (1) withhold the issuance of any Building Permits for any lot within Ringo Ridge Subdivision No. 3, or any subsequent phase of Ringo Ridge, until such time Developer has paid the City a sum sufficient to remedy such failed improvements at Developer's own expense; or ( Deleted: . i') 8. Developer agrees to provide a copy of this Memorandum to any purchaser of any lot in Ringo Ridge Subdivisions No. 3. The City may include a copy of this Memorandum with any Building Permit issued for Ringo Ridge Subdivision No. 3. 9. The City acknowledges that it has been represented by legal counsel and has negotiated this Memorandum. Neither party shall have been deemed to have been the drafter of this Memorandum. 10. This Memorandum shall be binding upon and inure to the benefit of the heirs, successors, agents, employees and assigns of the parties. 11. At any time during the term of this Agreement, if any dispute, ditrerence and'or. disagreement shall arise of or in respect to this Agreement that the parties cannot resolve in mediation, said dispute difference and/or disagreement shall be referred to a single arbiter agreed upon by the parties, or if no single arbiter can be agreed upon, an arbiter or arbiters shall be selected in accordance with the rules of the American Arbitration Association ("AAA"). Any MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 3 FVS/klc/d (C:\Documents and Settings\ssmith\Local Settings;Temporary Internet Files\OLK21\Memorandum Re Cash Deposit.03-13.07.doc) 3/13/07 Formatted: Bullets and Numbering unresolved dispute. difference or disaizreement shall be settled by bmdm_► arbitration in accordance with the then prevailine commercial rules of the AAA. and iudument upon the award rendered by the arbiter may be entered by any court of competent jurisdiction. Notice of the demand for arbitration shall be field in writins; with the other party to this Aueement within a reasonable time from when the unresolved dispute, difference„ or disa<ereement has arisen. 12. Any and all remedies provided for enforcement of the provisions of this Memorandum are cumulative and not exclusive, and the_ prevailing party shall be entitled to pursue either the rights enumerated in this Memorandum or remedies authorized by law, or both. The prevailing party shall be liable for any costs or expenses, including attorney fees. arbitration costs and related court costs, incurred by it in enforcing any terms of this Memorandum, or in pursuing any legal action for the enforcement of the its rights. 13. This Memorandum shall be recorded and run with the land against the property known and identified as Ringo Ridge Subdivision No. 3. IN WITNESS WHEREOF, the undersigned have executed this Memorandum as of the date first above written. P.O. VENTURES, INC. THE CITY OF EAGLE, an Idaho corporation a municipal corporation By Bruce Patterson Its: President ATTEST: Sharon K. Bergmann Its: City Clerk By Nancy C. Merrill Its: Mayor MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - 4 FVS/klc/d (C:1Docu vents and Settingslssmith'Local Settings\Temporary Internet Files\OLK2111Nemorandmn Re Cash Deposit.03-13-07.doc) 3/13/07 Formatted: Bullets and Numbering Deleted: , STATE OF IDAHO )ss. County of Ada ACKNOWLEDGEMENTS On this day of , 2007, before me, a Notary Public in and for said state, personally appeared Bruce Patterson, known or identified to me, to be the person whose name is subscribed to the within instrument, and acknowledged to me that he executed the same. SUBSCRIBED AND SWORN to before me this day of , 2007. STATE OF IDAHO County of Ada ) )ss. Notary Public for Idaho Residing at Commission Expires On this day of , 2007, before me, a Notary Public in and for said state, personally appeared Nancy C. Merrill, known or identified to me, to be the person whose name is subscribed to the within instrument, and acknowledged to me that she executed the same. SUBSCRIBED AND SWORN to before me this day of , 2007. Notary Public for Idaho Residing at Commission Expires MEMORANDUM RE CASH DEPOSIT AS SECURITY FOR PERFORMANCE - S FVS/klc/d (C:\Docwnents and Settings\ssmith\Local Settings\Temporary Internet Files \OLK21\Mlemorandum Re Cash Deposit.03-I3-07.doc) 3/13/07 Sharon Bergmann From: Sent: To: Subject: Susan E. Buxton [SEB@msbtlaw.comj Tuesday, March 13, 2007 4:23 PM S Guerber; Nancy Merrill; Phillip Bandy; S Nordstrom; Sharon Bergmann; S Bastian Ringo Ridge Cash Deposit Agreement Ltr.Shoemaker.03-1 Memorandum Re 3-07.pdf (32... Cash Deposit.03-... Attached please find an edited version of the Agreement for Ringo Ridge for the meeting tonight. Susan Susan E. Buxton Moore Smith Buxton & Turcke, Chartered 950 W. Bannock Street, Suite 520 Boise, Idaho 83 702 Phone: 208/331-1800 Fax: 208/331-1202 seb@msbtlaw.com CONFIDENTIALITY NOTICE: This transmission is intended only for the use of the individual(s) named as recipients. It may contain information that is privileged, confidential and/or protected from disclosure under applicable law including, but not limited to, the attorney client privilege and/or work product doctrine. If you are not the intended recipient of this transmission, please notify the sender immediately by telephone. Do not deliver, distribute or copy this transmission, disclose its contents, or take any action in reliance on the information it contains. This e-mail is not intended for release to opposing parties, opposing counsel or any other third person or entity. Copies of this e-mail should not be kept in your regular files. If you print a copy of this e-mail, place it in a separate file labeled "Attorney -Client Privilege". Do not produce a copy of this e-mail in discovery. —Original Message— From: Cheryl Bruehl Sent: Tuesday, March 13, 2007 4:21 PM To: 'Fred Shoemaker' Cc: 'dcarlson@greenerlaw.com; Susan E. Buxton; 'Bill Vaughan' Subject: Fred: Please see the attached letter and Agreement for your review. Thank you. Cheryl L. Bruehl, PLS Legal Assistant to Susan E. Buxton and Paul A. Turcke Moore Smith Buxton and Turcke, Chartered 950 W. Bannock Street, Suite 520 Boise, ID 83702 Telephone: (208) 331-1801 (Direct Line) Facsimile (208) 331-1202 1