Reimbursement - 2021 - Agreement With GWC Capital For Reimbursement To TheREIMBURSEMENT AGREEMENT
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TIJIS REIMBURSEMENT AGREEMENT (this "Agreement") is made this OW day of
Q, 2021 by and between the City of Eagle, a municipal corporation organized
and existing under the State of Idaho ("Eagle" or"City"), and GWC Capital, LLC, a Utah limited
liability company ("GWC"). The City and GWC may be referred to in this Agreement individually
as a"Party"or collectively as the"Parties", as warranted under the circumstances.
RECITALS
A. On December 11, 2007 the City approved the Pre-Annexation and Development
Agreement between the City and M3 Eagle, LLC recorded on December 27, 2007 as Instrument
No. 107170114 and amended on January 24, 2014 as Instrument No. 114006036 (collectively the
Development Agreement") addressing the annexation, zoning and development of the M3-
owned property described in the Development Agreement (the "Property").
B. GWC is now the owner of the Property.
C. GWC has requested the establishment of a reimbursement agreement between the
Parties to compensate the City for:
a.Staff time spent reviewing pre-submittal development materials including,
but not limited to,Fiscal Impact Analysis, applications for preliminary plat, final plat,
Planning Unit Master Plans, final development plans, site plans, subdivision plats,grading
plans,construction plans and other similar requests("Pre-Development Submittals");
b. Staff time for the City's review of the Planning Unit Master Plan submittal;
and
c. The cost of outside consulting to review and make recommendations on pre-
submittal materials,park and pathways improvements planning(including work associated
with impact fees),the development of the Conservation Education Program,and
development submittal for the Spring Valley Development including,but not limited to
legal, engineering,and fiscal impact; and
D. The Parties acknowledge that:
1. Development of the Property, including development of public
infrastructure, is expected to progress in phases;
2. This Agreement does not constitute approval of any Development
Submittals, application, development agreement or conceptual plans for the development of
the Property and all development approvals will be in accordance with the notice and
hearing procedures of the Eagle City Code and Idaho State Statutes;
E. The ordinances, rules, regulations, permit requirements, development fees, other
infrastructure fees, exactions, other requirements, and/or official policies however denominated,
applicable to and governing the development of the Property shall be those that are existing and in
force as of the Date of the Development Submittals or as may be established in the Development
Agreement.
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F. To facilitate and ensure the timely processing of Development Submittals, the
Parties agree GWC, on the terms and conditions herein, will deposit and maintain funds with the
City for monthly reimbursement of City expenses for the review and consideration of the
Development Submittals by appropriate land use planners, legal counsel, engineers and/or other
consultants (collectively, "City Consultants") as may be retained by the City, provided that such
additional fees for services are necessary to support City's review of the Development Submittals
where the City would not typically retain an outside consultant (for example, but not limited to, a
traffic engineer) (collectively, "Reimbursable Expenses"). If the City determines that additional
information is necessary to aid in the understanding of the work provided by GWC's consultants
provided with the Development Submittals,the City will first request such information be provided
by GWC before conducting its own third-party review using an outside City Consultant. A third-
party review will not be conducted by the City until GWC has first had an opportunity to present
new information to the City. If the Eagle City Council determines that a third-party review by a
City Consultant is necessary, then the City will provide written notice to GWC of its intention to
retain a City Consultants and City's reason for its necessity. The Parties must agree on a scope of
work prior to commencement of third-party review(s).
G. The Eagle City Council has authorized the Mayor to enter into this Agreement on
behalf of the City and this Agreement shall become effective on the date that the City has executed
this Agreement("Effective Date").
AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged and agreed, and in consideration of the recitals above, which are
hereby incorporated below,the Parties represent, covenant,and agree as follows:
1. Fees. GWC, in lieu of paying the fees established in Eagle City Code and/or
applicable fee resolution or application form, shall provide a cash deposit of Fifty Thousand
Dollars ($50,000.00) ("Review Fund") that will be considered a payment on GWC's account and
drawn down based on the Reimbursable Expenses incurred by the City and invoices received by the
City for the costs incurred to process the Development Submittals in accordance with Eagle City
Code and Idaho State Statutes.
2. Scope of Review. Following the Effective Date, and again at least annually, the
City, through its Zoning Administrator, and GWC will meet and discuss the scope of review of the
Development Submittals by City staff and City Consultants (the "Scope of Review"). In advance
of the meeting, the City will provide GWC a written estimate for the time and expenses for the
Scope of Review, including then-current City Consultant rates. The Scope of Review is understood
to be a good faith estimate that may increase or decrease as City's review and processing of the
Development Submittals progresses. The fees collected by the City in connection with this
Agreement will be used solely for the purpose of reimbursing the City for Reimbursable Expenses
subject to the Scope of Review and its amendments, if any.
3. Processing Applications. The Parties acknowledge that nothing in this Agreement
shall be construed to establish nor grant GWC any right to demand that the Development
Submittals are placed ahead of any other rightfully submitted application. The City will establish
an official submittal date prior to scheduling a formal review and hearing process.
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4. Minimum Balances. GWC shall maintain a minimum balance of twenty percent
20%) of the initial deposit in the Review Fund until the City has taken final agency action on the
Development Submittals and all implementation of said final action has been completed.
Completion of implementation of final agency action shall be determined solely by the City Clerk's
office in conjunction with the Zoning Administrator or its designees. The City shall notify GWC
when the balance reaches the twenty percent (20%) threshold or less of the initial deposit in the
Review Fund on the regular invoice/statement generated by the City Clerk's office.
5. Invoices and Payment. The City will provide a monthly statement to GWC
detailing Reimbursable Expenses incurred in the prior calendar month (each an "Invoice") along
with copies of supporting documentation such as receipts and invoices from City Consultants,
which may be redacted to protect privileged or otherwise undisclosable information. If GWC
contests any portion of an Invoice, GWC will promptly notify the City Clerk's office pursuant to
Eagle City Code § 1-7-4(B)(2)(b), and the Parties will promptly and diligently endeavor to resolve
the contested amounts, including, as necessary, by the City replenishing the deposit by the
contested amount. If the Parties are unable to come to agreement on the Reimbursable Expenses,
either Party may provide the other Party notice and intent to mediate the matter. The Parties shall
agree on a mediator selected from the Idaho Supreme Court Mediators Roster. While the matter is
in mediation, the City will continue to review the Development Submittals and GWC will continue
to pay all uncontested Invoices.
6. City Right to Stop Work. If the Review Fund falls below 10% or less of the initial
balance, the City Clerk shall have the authority to issue a stop work order to all City departments,
including but not limited to City Consultants,but only after City gives GWC notice of City's intent
to issues a stop work order and 30 days to cure by replenishing the Review Fund to no less than
20% of the initial balance. The stop work order may be in effect until: (i) all outstanding Invoices
are paid in full, excluding any contested Invoices; and (ii) the deposit account is brought back to a
minimum balance of no less than 20% of the initial balance. If a stop work order is issued, all
scheduled and noticed hearings shall be deemed vacated and shall not be placed on a public
meeting agenda. The applicant shall pay all costs for new notices and publication required for new
hearings. If after sixty (60) days from the issuance of a stop work order by the City, the Review
Fund remains below 10% of the initial balance and GWC has not replenished the Review Fund or
been granted waiver or modification pursuant to Eagle City Code § 1-7-4, the Development
Submittals shall be deemed abandoned. All remaining funds within the Review Fund shall be
returned to GWC less any outstanding Invoices and costs incurred by the City to collect the
outstanding invoices.
7. Past Due Balances. If there is an outstanding balance after sixty(60) days of a final
action by the City, and the City has given GWC notice of such outstanding balance and 30 days to
cure, the City Clerk may issue a suspension on the acceptance and processing of all City
applications including, but not limited to, building permits, planning and zoning permits, and
design review approvals, regardless of location, until the past due amounts are paid in full. The
City may use any and all legal remedies to collect outstanding balances.
8. GWC's Right to Terminate or Suspend. In the event that GWC elects, in its sole
discretion, to cease or suspend pursuing the Development Submittals or upon completion of the
City's processing of the Development Submittals, GWC will notify the City in writing. GWC will
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be responsible for payment of all Reimbursable Expenses incurred prior to delivery of such notice.
The City will provide and GWC will pay a final invoice, with supporting documentation, in
accordance with Section 5 of this Agreement. Any balance remaining in the Review Fund will be
returned by the City to GWC within sixty (60) days of a final action on the Development
Submittals or notice provided by GWC pursuant to this Section 8.
9. Meetings of the Parties. The City's Zoning Administrator, or their designee, and
GWC may meet from time to time to discuss the review of the Development Submittals and the
manner in which costs might be most effectively managed. The City maintains the sole right to
determine the nature and extent of the City's review of the Development Submittals provided such
review is consistent with the Eagle City Code, Idaho State Statutes, or any future Development
Agreement or other agreements between the Parties. The Zoning Administrator or their designee
will be the City's representative and will oversee the City's review of the Pre-Development
Submittals and coordinate all communications and carry out any and all tasks as may be required
by this Agreement so as to promote the efficient use of time and resources and help control
Reimbursable Expenses.
10. Subsequent Applications. The Parties understand and agree that this
Reimbursement Agreement pertains to the Development Submittals for the Property identified in
the Recitals above. Application fees related to the processing of future land use and administrative
applications including, but not limited to, subdivision, conditional use permit, and design review
applications will be paid in accordance with the City's adopted planning fee and deposit schedule.
11. Miscellaneous.
a. Notices. All notices, filings, consents, approvals and other communications
provided for herein or delivered in connection with this Agreement will be delivered as
provided herein.
b. Entire Agreement. This Agreement constitutes the entire agreement
between the Parties pertaining to the subject matter hereof. No modification or amendment
to this Agreement made or claimed by GWC or the City will have any force or effect unless
the same will be endorsed in writing and signed by both Parties.
c. Severability. If any provision of this Agreement is declared void or
unenforceable, such provision will be severed from this Agreement, and this Agreement
will otherwise remain in full force and effect.
d. Exhibits; Recitals. Any exhibit attached hereto and the Recitals set forth
above are hereby incorporated herein with the same force and effect as if fully set forth in
the body of this Agreement.
e. Construction. The language herein will be constructed simply in accord
with its fair meaning and not strictly for or against a Party, regardless of whether such Party
prepared or caused the preparation of this Agreement.As used in this Agreement references
to one gender and the singular or plural number will each be deemed to include the others
wherever and whenever the context so dictates.
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f.Choice of Law. This Agreement will be construed in accordance with the
laws of the State of Idaho.
g. Waiver. No delay in exercising any right or remedy will constitute a waiver
by either Party thereof, and no waiver by the City or GWC of the breach of any covenant or
condition of this Agreement will be construed as a waiver of any preceding or succeeding
breach of the same or any other covenant or condition of this Agreement.
h. Successors and Assigns. This Agreement will be binding on the City and
GWC, and their respective heirs, administrators, executors, agents, legal representatives,
successors and assigns.
i.No Partnership; No Third-Party Beneficiaries. Nothing contained in this
Agreement will, create any partnership,joint venture or other arrangement between GWC
and City. This Agreement will not be construed to create any rights in any person or entity
who is not a signatory to this Agreement and no person or entity may claim the status of a
third-party beneficiary of this Agreement.
j. No GWC Representations. Nothing contained herein will be deemed to
obligate GWC to complete any part or all of the development of the Property in accordance
with this Agreement, or any other plan, and this Agreement will not be deemed a
representation or warranty by GWC of any kind whatsoever.
k. Time of Essence. Time is of the essence in implementing the terms of this
Agreement.
1.Further Acts. Each of the Parties will act in good faith when undertaking
their respective obligations and covenants contained herein and will promptly execute and
deliver all such documents and perform all such acts as reasonably necessary, from time to
time,to carry out the matters contemplated by this Agreement.
m. Counterparts. This Agreement may be executed in two or more
counterparts, each of which will be deemed an original, but all of which together constitute
one and the same instrument.
n. Notices. Any notice which a Party may desire to give to another Party must
be in writing and may be given by personal delivery, by mailing the same by registered or
certified mail, return receipt requested postage prepaid, or by Federal Express or other
reputable overnight delivery service, to the Party to whom the notice is directed at the
following addresses:
Eagle: City of Eagle
Attn: City Clerk
660 E. Civic Lane
Eagle,ID 83616
with copy to: Borton-Lakey
Attn: Victor Villegas
141 E Carton Ave.
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Meridian, ID 83642
Owner: GWC Development, LLC
Attn: Brook Cole
869 N. 1500 W.
Orem, UT 84057
with copy to: Clyde Companies Counsel
Brandon Hale
730 N 1500W
Orem, UT 84057
or such other addresses and to such other persons as the parties may hereafter designate. Any such
notice will be deemed given upon delivery if by personal delivery, upon deposit in the United
States mail, if sent by mail pursuant to the foregoing.
end of agreement;signatures follow]
IN WITNESS WHEREOF,the Parties hereto, having been duly authorized, have executed
this Agreement to be effective as of the Effective Date.
THE CITY:GWC:
CITY OF EAGLE, IDAHO, a municipal GWC Capital, LLC, a Utah limited liability
corporation organized and existing under company
the laws of the State of Idaho
iBy: By.
Jason Pierce, Mayor Brook : e, its Chief Planner& Project
Manager
A est:
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