Reimbursement - 2017 - Avimor / Reimbursement For Development Submittals For City Expenses - 6/20/2017REIMBURSEMENT AGREEMENT
Between City Of Eagle and Avimor Development, LLC
THIS REIMBURSEMENT AGREEMENT (this "Agreement") is effective on the date last
executed below (the "Effective Date") by and between the City of Eagle, a municipal corporation organized
and existing under the State of Idaho, by and through its Mayor ("Eagle" or the "City") and Avimor
Development, LLC ("Avimor"). The City and Avimor are sometimes referred to herein individually as a
"Party" and collectively as the "Parties."
RECITALS
I. Avimor owns or controls large tracts of property in Ada, Boise, and Gem Counties
("Property").
II. Avimor and City desire to annex the Property into the City of Eagle.
III. Avimor has requested the establishment of a reimbursement agreement between the City
and Avimor for all annexation and development applications that may include but are not limited to
annexation, zoning, comprehensive plan amendment, zoning ordinance amendment, development
agreement, planned unit development and any application leading up to but not including subdivision of the
Property ("Development Submittals").
IV. The Parties acknowledge that:
1. Development of the Property, including public infrastructure, is expected to
progress in phases;
2. This Agreement does not constitute approval of any application, development
agreement or conceptual plans for the Property and all development approval will be in accordance
with the notice and hearing procedures of Eagle City Code and Idaho State Statutes;
3. Due to the size of the Property, the City's standard application fees are cost
prohibitive to bringing the Development Submittals forward under the City's jurisdictional
authority;
4. 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 will be those that are existing and in
force as of the Date of the Development Submittals or as may be established or modified in a future
Avimor Development Agreement, Impact Fee Agreement or other agreement approved by the
Parties.
V. To facilitate and ensure the timely processing of Development Submittals, the Parties agree
Avimor will deposit and maintain funds with the City for monthly reimbursement of City expenses for the
review and consideration of Development Submittals by appropriate land use planners, legal counsel,
engineers and/or other consultants ("Consultants") as may be retained by the City, provided that such
additional fees for services are necessary to support the Development Submittals where the City would not
typically retain an outside Consultant (for example, but not limited to, a traffic engineer) ("Reimbursable
Expenses"). If the City determines that additional information is necessary to aid in the understanding of the
work provided by Avimor consultants, the City will first request such information be provided by Avimor
before conducting its own third -party review using outside Consultants. A third -party review will not be
conducted by the City until Avimor has first had an opportunity to present new information to the City. If
the City Council determines that a third -party review by outside Consultants is necessary, then the City will
provide written notice to Avimor of its intention to retain outside Consultants for Reimbursable Expenses
REIMBURSEMENT AGREEMENT - 1
and City's reason for its necessity. The Parties must agree on a scope of work prior to commencement of
third -party review(s).
VI.
City.
The City Council has authorized the Mayor to enter into this Agreement on behalf of the
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 City and Avimor represent, covenant and agree as follows:
1. Fees. Avimor, in lieu of paying the fees established in Eagle City Code and/or the appropriate fee
resolution, shall provide a cash deposit of Fifty Thousand Dollars ($50,000) that will be considered a
payment on the account and drawn down based on the costs 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 execution of this Agreement, and again at least annually, the City staff
and Avimor will meet and discuss the scope of review of the Development Submittals by City staff and
Consultants ("Scope of Review"). In advance of the meeting, the City will provide Avimor a written
estimate for the time and expenses for the Scope of Review, including then -current Consultant rates. The
Scope of Review is understood to be a good faith estimate that may increase or decrease as the review and
processing work 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. Costs for Public Hearings and Meetings. Out-of-pocket costs, not including Consultant fees, such
as for publication of notices, incurred by City Staff and Consultants in connection with public hearings and
meetings before the City and required agencies will be paid by Avimor to the extent that they are not
covered by other fees in place at the time the City receives the Development Submittals from Avimor.
4. Minimum Balances. A minimum balance of twenty percent (20%) of the initial deposit shall be
maintained until the City has taken final agency action and all implementation of said fmal action has been
completed. Completion of implementation of final action shall be determined solely by the City Clerk's
office in conjunction with the Zoning Administrator or its designees. The City shall notify Avimor when the
balance reaches the twenty percent (20%) benchmark or less of the initial deposit on the regular
invoice/statement generated by the City Clerk's office.
5. Invoices and Payment. The City will provide a monthly statement to Avimor detailing
Reimbursable Expenses incurred in the prior calendar month ("Invoice") along with copies of supporting
documentation such as receipts and invoices from Consultants, which may be redacted to protect privileged
or otherwise undisclosable information. If Avimor contests any portion of the Invoice, Avimor will
promptly notify the City Clerk's office pursuant to ECC 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, the Parties shall 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 Avimor will continue to pay all
uncontested Invoices.
REIMBURSEMENT AGREEMENT - 2
6. City Right to Stop Work. The City Clerk shall have the authority to issue a stop work order to all
city departments, including but not limited to Consultants and outside consultants, once an account falls
below ten percent (10%) or less of the initial balance.
The stop work order shall be in effect until:
1) All outstanding invoices are paid in full, excluding any contested invoices; and
2) The deposit account is brought back to a minimum balance of no less than 10% of the original
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 the applicant's account remains below ten
percent (10%) of the initial balance and the applicant has not replenished the account or been granted
modification to this payment plan pursuant to ECC 1-7-4, the application shall be deemed abandoned. All
remaining funds within the depository account shall be returned to the applicant minus 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, the City Clerk shall 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. Avimor Right to Terminate or Suspend. In the event that Avimor 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, Avimor will notify the City in writing. Avimor will be responsible for payment of
all Reimbursable Expenses incurred prior to delivery of such notice. The City will provide and Avimor will
pay a final Invoice, with supporting documentation, in accordance with section 5 of this Agreement. Any
balance remaining from the escrow account will be returned by the City to Avimor within sixty (60) days of
final action.
9. Meetings of the Parties. The City's Zoning Administrator, or the Zoning Administrator's designee,
and Avimor 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 Eagle City Code, Idaho State Statutes or any future Development Agreement or other agreements
between the Parties. The City's Zoning Administrator or the Zoning Administrator's designee will be the
City's representative and will oversee the City's review of the 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. 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.
REIMBURSEMENT AGREEMENT - 3
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 Avimor or the City will have any force or effect unless the same will be endorsed in writing and signed
by the Party against which the enforcement of such modification or amendment is sought.
c. Severability. If any provision of this Agreement is declared void or unenforceable, such
provision will be severed from this Agreement, which will otherwise remain in full force and effect.
d. Exhibits; Recitals; Headings. Any exhibit attached hereto and the recitals set forth above
will be deemed to have been incorporated herein with the same force and effect as if fully set forth in the
body hereof. 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.
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.
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 Avimor 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 Avimor, 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 Avimor and Eagle. 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 Avimor Representations. Nothing contained herein will be deemed to obligate Avimor
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 Avimor 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 address of such party set forth below.
REIMBURSEMENT AGREEMENT - 4
Eagle: City Council
City of Eagle
660 E. Civic Lane
Eagle, ID 83616
with copy to:
Owner:
with copy to:
Cherese McLain
MSBT Law, Chtd.
950 W. Bannock, Suite 520
Boise, ID 83702
Avimor Development, LLC
Attn: General Manager
18454 N. McLeod Way
Boise, ID 83714
Givens Pursley LLP
Attn: Deborah Nelson, Esq.
601 W. Bannock St
Boise, ID 83702
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]
REIMBURSEMENT AGREEMENT - 5
IN WITNESS WHEREOF, the Parties hereto, having been duly authorized, have executed this
Agreement to be effective as of the Effective Date.
THE CITY:
CITY OF EAGLE, IDAHO, a municipal
corporation organized and existing under the
laws of the State of Idaho
By:
Stan Ridgeway, Mayor
Sharon I Bergmann,C'ty Clerk
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DATED: 6/-
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AVIMOR:
Avimor Development, LLC, an Idaho limited
liability company
By: Ck
Dan Richter, its
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DATED: C J / '1/
REIMBURSEMENT AGREEMENT - 6