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HomeMy Public PortalAbout2001-027 Resolution Authorizing Execution of PUD Development AgreementMember Smith introduced the following resolution and moved its adoption: CITY OF MEDINA RESOLUTION NO.01-27 RESOLUTION AUTHORIZING EXECUTION OF PUD DEVELOPMENT AGREEMENT WHEREAS, on September 19, 2000 the city of Medina (the "City") adopted Ordinance No. 321, An Ordinance Approving PUD Development Plan and Rezoning Property to PUD 1, concerning the property formerly known as Elwell Farms and which is now being developed as Wild Meadows; and WHEREAS, said approval was conditioned upon the City and Restoration Development, LLC (the "Developer") entering into a PUD development agreement (the "Development Agreement") concerning Wild Meadows; and WHEREAS, the City and the Developer have negotiated the terms of the Development Agreement and the Developer has agreed to execute it and conclude all other matters necessary for final approval of the rezoning of Wild Meadows. NOW, THEREFORE, BE IT RESOLVED by the city council of the city of Medina, Minnesota, as follows: 1. The mayor and administrator -clerk -treasurer are hereby authorized and directed to execute the Development Agreement, a copy of which is attached hereto as Exhibit A; and 2. Rezoning Wild Meadows to PUD 1 is subject to the approved PUD Development Plan and to final site and building construction plans prior to issuance of building permits for any lots within Wild Meadows. RHB-197315v 1 ME230-308 1 01-27 May 15, 2001 Dated: May 15, 2001. Philip K. ietlow, Act'> Mayor yor ATTEST: Paul Robinson, Administrator -Clerk -Treasurer The motion for the adoption of the foregoing resolution was duly seconded by member Workman and upon vote being taken thereon, the following voted in favor thereof: Ferris, Lane, Smith, Workman, and Zietlow and the following voted against same: None Whereupon said resolution was declared duly passed and adopted. RHB-197315v1 ME230-308 2 01-27 May 15, 2001 Exhibit A P.U.D. DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF MEDINA AND RESTORATION DEVELOPMENT, LLC This document drafted by: Kennedy & Graven, Chartered 470 Pillsbury Center Minneapolis, MN 55402 (612) 337-9300 (RHB) RHB-188017v l0 ME230-308 01-27 - Exhibit A May 15, 2001 TABLE OF CONTENTS 1. Zoning; Number of Units 1 2. Plans 2 3. Public Improvements 2 4. Streets 2 5. Sanitary Sewer and Water Improvements 4 6. Storm Water Management 5 7. Site Grading 5 8. Trails; Playgrounds 6 9. Landscaping 6 10. Letter of Credit; Contractor's Bond 6 11. Developer's Default 7 12. Insurance 7 13. Sanitary Sewer and Water Area Charges 7 14. Restoration; Conservation Easement 8 15. Footing Drainage System 9 16. Park Dedication Requirements 10 17. Floodplain Regulations 10 18. Staged Development 10 19. Driveways 10 20. Water Quality 10 21. Responsibility for Costs 11 22. Final Site and Building Location Plans 11 23. Erosion Control 12 24. Participation in Cost of Evergreen Road Utilities 12 25. Clean up 12 26. Compliance with Laws 12 27. Agreement Runs With the Land 12 28. Indemnification 13 29. Assignment 13 30. Notices 13 31. Severability 13 32. Non -waiver 13 33. Counterparts 14 TESTIMONIALS 15 SIGNATURES 15 EXHIBIT A EXHIBIT B RHB-188017vI0 M E230-308 LEGAL DESCRIPTION LIST OF PLAN DOCUMENTS 1 This P.U.D. Development Agreement (the "Agreement") is made and entered into this day of May, 2001, by and between the city of Medina, a municipal corporation under the laws of Minnesota (the "City") and Restoration Development, LLC, a Minnesota limited liability company (the "Developer"). WITNESSETH: WHEREAS, the Developer is the fee owner of certain lands in Medina generally located north of Evergreen Road, west of CSAH 101 and south of Hackamore Road. Commonly known heretofore as Elwell Farm and being developed as Wild Meadows, the land is legally described on Exhibit A attached hereto ("Wild Meadows"); and WHEREAS, the Developer applied for approval of a plat and rezoning of Wild Meadows pursuant to section 830.01 et seq. of the City's code of ordinances; and WHEREAS, on September 19, 2000, the City granted approval of the preliminary plat of Wild Meadows and rezoning of Wild Meadows pursuant to the PUD Development Plan (the "PUD Development Plan") submitted by the Developer; and WHEREAS, the rezoning of Wild Meadows pursuant to the PUD Development Plan is contingent upon the Developer and the City entering into a development agreement. NOW, THEREFORE, based on the mutual covenants and obligations contained herein, the parties agree as follows: 1. Zoning; Number of Units. a) Subject to execution of this Agreement, Wild Meadows has been rezoned PUD 1 pursuant to the PUD Development Plan. Wild Meadows may be developed with no more than 150 single family residential units. Development within Wild Meadows shall be regulated by the terms and conditions of the City's land use controls, including but not limited to, section 830.01 et sec . of the City's zoning ordinance and its subdivision regulations, and the PUD Development Plan. b) The City's approval of the PUD Development Plan for Wild Meadows includes authorization to construct 120 residential units allowed by ordinance plus 30 bonus units. The City's willingness to grant approval for 150 single family residential units is based on its findings that the Developer's proposal for development of Wild Meadows RHB-188017v 10 ME230-308 1 exceeds the requirements of the City's ordinance. Approval of the 30 bonus units is strictly conditioned upon the Developer's compliance with all terms and conditions of approval as specified in the Plans, as hereinafter defined, this Agreement, the PUD Development Plan and the resolutions adopted by the City granting approval of the preliminary plat and PUD Development Plan for Wild Meadows. 2. Plans. The Developer agrees to develop the land within Wild Meadows in accordance with the PUD Development Plan and to construct all improvements within Wild Meadows in accordance with the approved plans (collectively, the "Plans"). The documents which constitute the Plans are those on file with and approved by the City and are listed on Exhibit B attached hereto. The Plans may not be modified by the Developer without the prior written approval of the City. 3. Public Improvements. All public improvements within Wild Meadows shall be installed in accordance with the Plans and the City's subdivision regulations and specifications for utilities and street construction. The Developer shall submit plans and specifications for utilities and street construction prepared by a registered professional engineer. The Developer intends to develop Wild Meadows in phases and may submit street and utility plans for each phase as it is submitted to the City for final approval. The Developer shall obtain any necessary permits from the Minnesota pollution control agency, Minnesota department of health, Elm Creek Watershed District and other agencies before proceeding with construction. The Developer shall provide a level of field inspection, not less than one-half time, acceptable to the City. The City reserves the right to approve the identity of the Developer's field inspectors. The City shall have City inspectors and engineers inspect the work at the Developer's expense. The Developer, its contractors and subcontractors, shall follow all instructions received from the City's inspectors. Prior to beginning construction, the Developer or the Developer's engineer shall schedule a preconstruction meeting with all parties concerned, including the City staff and engineers, to review the program for the construction work. Within 30 days after the completion of the improvements, the Developer shall supply the City with a complete set of reproducible "as constructed" plans and two complete sets of blue line "as constructed" plans, each prepared in accordance with City standards. Iron monuments must be installed in accordance with state law. The Developer's surveyor shall submit a written notice to the City certifying that the monuments have been installed. 4. Streets. a) The Developer agrees to install all streets within Wild Meadows in accordance with City specifications and the Plans. The City's street specifications are contained in the most recent edition of its engineering standards (the "Engineering Standards"), which is hereby incorporated into this Agreement by reference. If there is a conflict between the Plans and the Engineering Standards, the Engineering Standards shall prevail except when an alternative has been explicitly approved in writing by the City. Following completion of the streets and inspection thereof by the city engineer, the City agrees to accept the streets for maintenance if they are deemed by the City to have been constructed according to City specifications, including the Engineering Standards, and the Plans. Prior to accepting the streets for maintenance, the City agrees to remove snow from any street or section of street which has a bituminous base and along which is located at least one occupied home. In return for the City agreeing to plow snow prior to acceptance of the streets, the Developer agrees to indemnify and hold the City harmless against any claim or action for injury or damage to the streets or adjacent properties. After the streets have RHB-188017v10 ME230-308 2 been accepted by the City, they will be posted each spring for weight limits in accordance with the City's ordinances and policies. b) In order to allow the Developer to grade Wild Meadows and to construct the streets and related utility improvements, the City hereby agrees to grant to the Developer a temporary easement for purposes of street and utility installation over, under and across the rights -of -way as shown on the plats of Wild Meadows and Wild Meadows Second Addition (collectively, the "First Phrase"). The easement will commence upon filing of the plats of the First Phase with Hennepin County and shall terminate upon acceptance of the streets or street segments by the City for maintenance. c) The Developer shall be peimitted to install the final wear course on each street when construction of at least 90 percent of the houses on the street or street segment has been completed. Notwithstanding the foregoing, the Developer and the City may agree to waive this requirement and allow the Developer to install the final wear course at an earlier time. d) The Developer agrees to warrant the streets against defects in labor and materials for a period of two years from the date of acceptance of the street or street segment by the City. During such period, the Developer agrees to repair or replace any street or street segment which shows signs of failure, normal wear and tear excepted. A decision regarding whether a street or street segment shows signs of failure shall be made by the City in the exercise of its reasonable judgment. If the Developer fails to repair or replace a defective street or street segment during the warranty period, the City may repair or replace the street or street segment and may use the Letter of Credit, as hereinafter defined, to reimburse itself for such costs. The Developer agrees to reimburse the City fully for the cost of street repair or replacement if the cost thereof exceeds the remaining amount of the Letter of Credit. Such reimbursement must be made within 30 days of the date upon which the City notifies the Developer of the cost due under this paragraph. The Developer hereby agrees to permit the City to specially assess any unreimbursed costs against any unsold lots within Wild Meadows if the Developer fails to make required payments to the City. The Developer, on behalf of itself and its successors and assigns, acknowledges the benefit to the lots within Wild Meadows of the street improvements and hereby consents to such assessment and waives the right to a hearing or notice of a hearing thereon. e) If building permits are issued prior to the completion and acceptance of all public improvements serving the lot, the final wear course of bituminous excepted, the Developer assumes all liability and costs resulting in delays in completion of the improvements and damage to the improvements caused by the City, the Developer, its contractors, subcontractors, materialmen, employees, agents, or third parties. No sewer and water connection permits may be issued and there may be no occupancy of any structure for which a building permit has been issued on either a temporary or permanent basis until the streets needed for access have been paved with a bituminous surface and the sanitary sewer and water utilities have been accepted by the City. Notwithstanding the above, the Developer may be granted building permits for up to three model homes pursuant to paragraph 22 of this Agreement. RHB-188017v 10 ME230-308 3 f) The Developer and the City have previously entered into a Petition and Waiver Agreement (the "Petition and Waiver Agreement") regarding the improvement of Evergreen Road, which forms the southern boundary of Wild Meadows and which will provide access to a portion of Wild Meadows. Pursuant to the Petition and Waiver Agreement, the Developer agreed to waive its right to a hearing and notice of hearing under Minnesota Statutes, Chapter 429 regarding the City's improvement project of Evergreen Road. On November 8, 2000, the City adopted resolution no. 00-56, Resolution Adopting Assessment for Evergreen Road Improvement Project, which assessed $31,500 against Wild Meadows. Upon approval of the final plats for the First Phase, the Developer may request that the City reassess some or all of the $31,500 by spreading the special assessments among benefited lots within Wild Meadows. The City agrees to reassess the $31,500 so long as such reassessment is deemed reasonable by the City and the City determines that collection of the total amount of the special assessments specified in the Petition and Waiver Agreement will not be jeopardized by such reassessment. g) The Developer agrees to install street lighting and street signs within Wild Meadows. Street lighting shall include lighting fixtures approved by the City and shall be equipped with luminaries which allow no light more than 5 percent above the horizontal plane. Street signs shall be of a design approved by the City and shall be dedicated by the Developer to the City after installation and acceptance by the City. The Developer shall pay for the cost of the street lighting and street signs. The Developer agrees that the Homeowners' Association, as hereinafter defined, will be made responsible for maintenance and replacement of the street lighting fixtures and street signs if maintenance is not provided by the electric utility company. 5. Sanitary Sewer and Water Improvements. a) The City has previously constructed sanitary sewer and water to serve the Cherry Hills development south of Evergreen Road and has made sanitary sewer and water service available to the southerly property line of Wild Meadows. The Developer agrees to extend sanitary sewer and water within Wild Meadows to serve each lot. All lots within Wild Meadows must be served by sanitary sewer and water. The Developer's work in extending utilities must be in accordance with the Plans and must comply with all City requirements regarding such utilities. The easement hereby granted by the City to the Developer regarding construction of the streets shall also permit construction of the utilities. In approving the PUD Development Plan for Wild Meadows, the City has allocated 150 sewer units to Wild Meadows. The Developer recognizes that the City is subject to limitations on the number of sanitary sewer units which may be utilized within Medina until certain facility improvements are made by the Metropolitan Council and, therefore, that the City's allocation of 150 units to Wild Meadows is valuable. The allocation is specific to the approved PUD Development Plan for Wild Meadows and may not be utilized by the Developer or assignees except in compliance with the PUD Development Plan and construction of all improvements pursuant to the Plans. The Developer may utilize the sewer units at a rate no greater than 50 per calendar year beginning in 2001. Unutilized units may be used in future years. Issuance of a building permit for construction of a dwelling on a platted lot within Wild Meadows by the City constitutes use of an allocated sewer unit. b) The Developer agrees to warrant the sanitary sewer and water improvements against defects in labor and materials for a period of two years from the date of acceptance RHB-188017v 10 ME230-308 4 of the utilities by the City. During such period, the Developer agrees to repair or replace any utility improvement which shows signs of failure, normal wear and tear excepted. The City in the exercise of its reasonable judgment shall make a decision regarding whether the utility segment shows signs of failure. If the Developer fails to repair or replace defective utilities during the warranty period, the City may repair or replace the utility or utility segment and may use the Letter of Credit to reimburse itself for such costs. The Developer agrees to reimburse the City fully for the cost of the repair or replacement if it exceeds the remaining amount of the Letter of Credit. Such reimbursement shall be made within 30 days of the date upon which the City notifies the Developer of the cost due under this paragraph. The Developer hereby agrees to permit the City to specially assess any unreimbursed costs against any unsold lots within Wild Meadows if the Developer fails to make required payments to the City. The Developer, on behalf of itself and its successors and assigns, acknowledges the benefit to the lots within Wild Meadows of the sanitary sewer and water improvements and hereby consents to such assessment and waives the right to a hearing or notice of a hearing thereon. 6. Storm Water Management. a) The Developer has proposed that storm water within Wild Meadows be handled through innovative techniques and not through reliance on traditional storm water improvements. In order to accommodate the storm water requirements of Wild Meadows, the Developer agrees to grade the site and construct improvements known as a storm water treatment train (the "SWTT") in accordance with the Plans. b) In order to assess the performance of the SWTT, the Developer agrees to monitor the quantity and quality of the storm water discharged from Wild Meadows pursuant to the Plans. The Plans include a complete description of the monitoring plan to be followed with regard to all of the land within Wild Meadows. The Developer agrees to share with the City the data collected pursuant to its monitoring efforts. c) The City and the Developer recognize that the SWTT is experimental and may not function adequately. The Developer acknowledges that the City has established a storm sewer improvement tax district which includes all of the land within Wild Meadows. The district was established pursuant to Minnesota Statutes, sections 111.16 to 111.21 and authorizes the City to acquire, construct, reconstruct, extend, maintain, and otherwise improve traditional storm sewer systems and related improvements within Wild Meadows if such improvements are necessary in the opinion of the City. In recognition of this possibility, the Developer agrees to provide prospective lot purchasers with a disclosure statement regarding this fact and the likely tax consequences to lot owners. The disclosure statement must be approved by the City for use in connection with the sale of lots in Wild Meadows prior to its distribution or use by the Developer. 7. Site Grading. In order to construct the streets, sanitary sewer and water improvements and the SWTT and otherwise prepare the site for development, it will be necessary for the Developer to grade portions of Wild Meadows. All site grading must be done in compliance with the Plans. Within 30 days after completion of the grading, the Developer shall provide the City with an "as constructed" grading plan and a certification by a registered land surveyor or engineer that all elements of the SWTT have been constructed on public easements in accordance with the Plans. The "as constructed" plan shall include field -verified elevations of RHB-188017v 10 ME230-308 5 the location and elevations along all swales and ditches and lot corners and house pads. The City may withhold issuance of building permits until the approved certified grading plan is on file with the City and all erosion control measures are in place as determined by the City. 8. Trails; Playgrounds. a) The PUD Development Plan calls for public trails along the north, east and south perimeters of Wild Meadows. The Developer agrees to deed Outlots I and J of Wild Meadows and Outlots F and G of Wild Meadows Second Addition to the City following filing of the plats pursuant to such instruments as may be acceptable to the City. The City may require additional dedications for additional segments of the perimeter trail in connection with future phases of Wild Meadows and to provide a trail under CSAH 101. If any of the land deeded to the City in connection with the trails acquired with the First Phase or any subsequent phase contains wetlands which must be filled in order to construct the trail, the Developer agrees to convey to the City on a 2:1 basis wetland mitigation credits the Developer has earned elsewhere in Wild Meadows as the Developer earns said credit in compliance with Section 828.43 of the City code. b) The Developer agrees to construct interior trails and trail improvements shown on the Plans and to arrange for maintenance of the trails by the Wild Meadows homeowners' association (the "Homeowner's Association") established by the Developer. The interior trails are intended to be privately owned and maintained, will not be made available for use by the public and will not be dedicated to or accepted by the City as part of its trail system. c) The Developer agrees to construct and equip the playgrounds as shown on the Plans. The playgrounds shall be owned and maintained by the Homeowners' Association, will not be made available for use by the public and will not be dedicated to or accepted by the City as part of its parks system. 9. Landscaping. The Developer agrees to install street landscaping on the right-of-way and landscaping on each lot within Wild Meadows according to the Plans. All landscaping within Wild Meadows shall include hardy, non-invasive species appropriate for Minnesota. All landscaping materials shall be maintained and replaced if they die within the standard warranty period. The Developer shall install all street landscaping and maintain it until responsibility therefor is transferred to the Homeowners' Association, which shall have on -going responsibility for maintenance and replacement. The Developer shall be responsible for installing the lot landscaping and maintaining it until sale of the lot to a home buyer or transfer of responsibility to the Homeowners' Association. The Homeowners' Association shall assume responsibility for maintenance of any common areas after they are turned over to it by the Developer. The Developer shall install all landscaping in compliance with the Plans and provide through the restrictive covenants applicable to Wild Meadows (the "Covenants") that landscaping not be planted so as to interfere with site drainage, including the SWTT, that fertilizers containing phosphorous be prohibited and that automatic water irrigation systems be operated only with manual controls. 10. Letter of Credit; Contractor's Bond. a) In order to ensure completion of the streets, sanitary sewer, water, grading, restoration work and other improvements, the Developer agrees to deliver to the City prior to beginning any construction within Wild Meadows a letter of credit (the "Letter of Credit") in the amount of $2,261,250. The Letter of Credit shall be in a form acceptable to the City and shall allow the City to draw upon the RHB-188017v10 ME230-308 6 instrument, in whole or part, in order to complete construction of any or all of the improvements or to satisfy the claims of contractors or suppliers which have not been satisfied by the Developer. The City agrees to release or reduce the Letter of Credit upon substantial completion of all improvements within the First Phase. Prior to releasing any portion of the Letter of Credit or accepting another letter of credit in replacement, the City shall first be satisfied regarding the quality and completeness of the construction or work and that the Developer has taken such steps as may be necessary to ensure that no liens will attach to Wild Meadows. Notwithstanding anything herein to the contrary, the City shall require or retain a letter of credit equal to 75 percent of the cost of the final lift of the street pavement for a period of two years after acceptance of each street or street segment. b) Upon completion of a street or street segment or sanitary sewer and water improvements and acceptance thereof by the City and for purposes of satisfying its obligations related thereto under paragraphs 4(d) and 5(b) of this Agreement, the Developer may deliver to the City a performance bond from the Developer's contractor in an amount suitable to ensure the quality of the work. In such event, the City agrees to: (i) reduce the Letter of Credit in an amount which, in the reasonable judgment of the City, is offset by the performance bond, and (ii) first make a claim against the performance bond and the contractor before making a claim against the Letter of Credit for any claims arising under paragraphs 4(d) or 5(b) of this Agreement. 11. Developer's Default. In the event of default by the Developer as to any of the street, sanitary sewer or water utility work to be performed by it hereunder, the City may, at its option, perform the work and the Developer shall promptly reimburse the City for any expense incurred by the City. This Agreement is a license for the City to act, and it shall not be necessary for the City to seek an order from any court for permission to enter the land. When the City does any such work, the City may, in addition to its other remedies, levy special assessments against the lots within Wild Meadows to recover the costs thereof. For this purpose, the Developer expressly waives any and all procedural and substantive objections to the special assessments, including but not limited to, hearing requirements and any claim that the assessments exceed the benefit to the property. The Developer waives any appeal rights otherwise available pursuant to Minnesota Statues, section 429.081. 12. Insurance. The Developer agrees to take out and maintain or cause to be taken out and maintained until six months after the City has accepted the public improvements, public liability and property damage insurance covering personal injury, including death, and claims for property damage which may arise out of Developer's work or the work of its contractors or subcontractors. Limits for bodily injury and death shall be no less than $1,000,000 for each occurrence; limits for property damage shall be not less than $500,000 for each occurrence; or a combination single limit policy of $1,000,000 or more. The City shall be named as an additional insured on the policy. The Developer shall file with the City a certificate evidencing coverage prior to the City signing the plat. The certificate shall provide that the City must be given 30 days advance written notice of the cancellation of the insurance. 13. Sanitary Sewer and Water Area Charges. In accordance with City policy and to distribute uniformly the costs of public utility infrastructure improvements, the City will charge the Developer area fees for the availability of sanitary sewer and water to Wild Meadows. The fees will be charged on the basis of 170.5 developable acres within Wild Meadows, less credit RHB-188017v10 ME230-308 7 for 65 acres of sanitary sewer availability previously paid by the Developer's predecessor in title. The Developer agrees to pay the fees at the time of issuance of the first building permit in each phase. By way of illustration, the First Phase contains 66 lots. The Developer agrees to pay 66/150ths of the charges upon the issuance of the first building permit for the First Phase, less the credit for 65 units of the sanitary sewer availability charge. The City's availability charges are $1,550 per acre for water and $1,550 per acre for sanitary sewer, which, after credit for 65 units of sanitary sewer availability, result in the total area charges due of $427,800 for all lots within Wild Meadows. 14. Restoration; Conservation Easement. a) Wild Meadows consists of 345 acres and was previously used for agricultural purposes. Although never subjected to intensive development with buildings or similar improvements, the site has been substantially altered from its natural state. It is the desire of the Developer and the basis under which the City has approved the PUD Development Plan that Wild Meadows be developed with single family detached dwellings on individual lots but that a majority of Wild Meadows be preserved and returned to its pre -agricultural condition. An area containing approximately 200 acres of Wild Meadows is being set aside by the Developer and will be subject to a conservation easement (the "Conservation Easement") in a form acceptable to the City. The Conservation Easement will involve Outlots B and C, Wild Meadows and Outlot A, Wild Meadows Second Addition. The Conservation Easement will restrict use of the area and prohibit its development. In order to achieve the desired restoration and enhancement objectives, the Developer agrees to convey the Conservation Easement to the City upon completion of the restoration work pursuant to the Plans and the establishment of vegetation to the City's satisfaction. The Developer and the City anticipate that the Conservation Easement will be conveyed by the Developer by means of several instruments as portions of the restoration work are completed in connection with the First Phase and future development phases. Upon receipt from the Developer of the full Conservation Easement, the City intends to assign its rights under the Conservation Easement pursuant to an assignment agreement (the "Assignment Agreement") to the Minnesota Land Trust (the "Trust"), a qualified holder under Minnesota Statutes, chapter 84C. The Developer agrees to pay the Trust $3,500 at the time the City and the Trust execute the Assignment Agreement and $10,000 as an endowment at the time of assignment of the Conservation Easement by the City to the Trust. Upon assignment, the City will retain a third party right of enforcement. b) In order to promote the restoration and enhancement of the natural development within Wild Meadows, the Plans require that some portions of the single family residential lots be reserved as buffer areas (the `Buffer Areas") and subject to appropriate easements. The Developer agrees to establish restrictions on the use of the Buffer Areas in order to permit their use and integration into the over-all plan for restoration and conservation of the site. The restrictions will be incorporated the Covenants recorded against the property and to which every homeowner in Wild Meadows will be bound and which will impose duties of maintenance and enforcement on the Homeowners' Association. The Covenants must be in a form approved by the City. The City will approve the Covenants if they are consistent with the Plans. c) The Developer will perform the restoration work in accordance with the Plans pursuant to a contract with an entity qualified to conduct such work. The City and the RHB-188017v10 ME230-308 8 Developer acknowledge that the restoration work may need to be revised as field conditions dictate and the parties agree to cooperate in adjusting the restoration plan accordingly. The Developer also agrees to provide a level of field inspection of the restoration work acceptable to the City. The City reserves the right to approve the identity of the Developer's field inspectors. The City shall also have City inspectors inspect the restoration work at the Developer's expense. d) Upon completion of the restoration work in the first area to be restored, the Developer shall develop a plan (the "Management Plan") for the ongoing management and maintenance of the vegetation, wetlands, ponds and other ecological features in a manner consistent with the Plans. Upon development of the Management Plan, the Developer shall submit the Management Plan to the City for its approval in the exercise of its reasonable discretion. The Management Plan shall also be subject to approval by the Trust in the exercise of its reasonable discretion. After approval of the Management Plan by the City and the Trust, the Developer shall maintain the areas subject to the Conservation Easement on an ongoing basis in accordance with the Management Plan. e) The Developer agrees to cause the Homeowners' Association to employ an ecologist or other expert who is knowledgeable about site preservation and restoration in order to enhance the Buffer Areas and the area subject to the Conservation Easement. The Developer shall require that the Homeowners' Association establish assessments on the lots within Wild Meadows for the purpose of funding the on -going work of the ecologist. f) Wild Meadows contains the remains of some of the farm structures in use when the property was actively farmed. Although no final plans have been proposed by the Developer or approved by the City regarding these structural remains, they have potential significance to the residents of Wild Meadows and the community as a whole. Subject to the proposed realignment of CSAH 101 by Hennepin County, the Developer agrees to protect the area with brown silt fence prior to grading and not to otherwise remove or disturb the remains of the farm buildings without the prior approval of the City so that they may be restored or used in the future by the Homeowner's Association or the holder of the Conservation Easement. g) Maintenance of the restored prairie on areas subject to the Conservation Easement as well as the Buffer Areas will require periodic burning of the vegetation. The Developer agrees to notify prospective homeowners of this fact in its sales materials and shall require the Homeowners' Association to comply with all permit and other requirements of the City regarding burning, including notification of the owners of adjacent property prior to each burn. The disclosure statement must be approved by the City for use in connection with the sale of lots in Wild Meadows prior to its distribution or use by the Developer. 15. Footing Drainage System. The Developer agrees to install a footing drainage system around the perimeter of each single family house to be constructed within Wild Meadows. The purpose of the footing drainage system is to prevent discharge of sump pumps into the sanitary sewer. The system shall consist of drain pipe leading from the back of the house to a drainage easement within the SWTT. A plan for each such system shall be submitted to the City for approval at the time of application for a building permit. An as -built for each such system shall be submitted RHB-188017v10 ME230-308 9 to the City and the homeowner prior to issuance of a certificate of occupancy. Construction of a footing drainage system shall be required for all lots but the City may waive the requirement on a case by case basis if, in its sole judgment, a footing drainage system is deemed unnecessary to assure adequate lot drainage. 16. Park Dedication Requirements. Section 820.31 of the City's code of ordinances requires the Developer to dedicate land to the City for parks or pay cash in lieu thereof. The City and the Developer agree that land or cash valued at $495,000 shall be payable for all of Wild Meadows. The Developer will deed to the City the land described in paragraph 8 of this Agreement to be used for the perimeter trail in connection with the First Phase. The dedication includes 2.26 acres and the value of the land is $30,000 per acre, which represents a credit of $67,800 against the Developer's park dedication requirement. The park dedication fee for each phase of Wild Meadows shall be paid by the Developer upon issuance of the first building permit for any lot within said phase. By way of illustration, the First Phase contains 66 lots. The Developer agrees to pay 66/150ths of park dedication fee due after credit for land dedication upon issuance of the first building permit for the First Phase. The City and the Developer agree to recalculate the amount of the park dedication fee remaining after the First Phase, including any additional credit granted for addition land dedications. 17. Floodplain Regulations. No structures, including fences and accessory structures, may be constructed within Wild Meadows below the regulatory flood protection elevation. The Developer must comply with the requirements of the City with regard to flood protection. Any utilities which are installed by the Developer on ground the surface of which is below the regulatory flood protection elevation must be flood proof in accordance with the state building code and City requirements. 18. Staged Development. The Developer intends to stage development of Wild Meadows over several years as market conditions warrant. Preliminary approval was granted to the plat of Wild Meadows on September 19, 2000. The Developer has submitted a final plat for the First Phase of Wild Meadows within 180 days of said date. It is anticipated that areas intended for later phases initially will be platted as outlots and the Developer will thereafter periodically submit other portions of Wild Meadows to the City for final plat approval. The City will grant final approval for subsequent phases of the development provided that each such phase is consistent with the terms and conditions of preliminary plat approval of Wild Meadows, the PUD Development Plan, and the Plans, and provided that the Developer must request final approval of the last phase of Wild Meadows by no later than September 18, 2005. The City agrees not to enact any amendment to its comprehensive plan or official controls as defined in Minnesota Statutes Section 462.358, Subd. 3c, which would impact the approved preliminary plat of Wild Meadows, the PUC Development Plan or the Plans, providing that final approval of the last phase is requested within this time period. 19. Driveways. The Developer is aware of and agrees to locate driveways and off-street parking in accordance with City requirements. Driveways shall be no wider than 24 feet at the curb and shall otherwise be constructed in compliance with sections 400 et seq. and 830 et seq. of the code of ordinances. 20. Water Quality. Because the water lines which will serve Wild Meadows will be at the end of the City's current service area and due to the mineral content of the City's drinking water, RHB-188017v10 ME230-308 10 it is anticipated that at times the quality of the water available to Wild Meadows may be less than desirable. In recognition of this possibility, the Developer agrees to provide prospective lot purchasers with a disclosure statement regarding the quality of the water likely to be available within Wild Meadows. The disclosure statement must be approved by the City for use in connection with the sale of lots in Wild Meadows prior to its distribution or use by the Developer. 21. Responsibility for Costs. a) The Developer agrees to pay to the City an administrative fee in the amount necessary to reimburse the City for its costs and expenses in reviewing the plat and rezoning Wild Meadows, including the drafting and negotiation of this Agreement. The Developer agrees to reimburse the City in full for such costs within 30 days after notice in writing by the City. The Developer also agrees to reimburse the City for the cost incurred in the enforcement of any provision of this Agreement, including reasonable engineering and attorneys' fees. b) The Developer shall pay a fee for City construction observation and administration. Construction observation shall include inspection of proposed public utilities, street construction and restoration work. Fees for this service for Wild Meadows are estimated to be 5 percent of the estimated cost of the improvements and work. To reimburse the City for the cost of inspection of the work in the First Phase, the Developer shall deposit $40,000 into an escrow account with the City, which shall receive and hold such funds solely under the terms of this Agreement. The City will pay for inspection and engineering services from the escrow as billed for actual time spent. If any funds held under this Agreement remain after payment of the above, such funds shall be returned to Developer. If it appears that the actual costs incurred will exceed the estimate, Developer and City shall review the costs required to complete the project and the Developer shall deposit additional sums with the City. The City will notify the Developer of the estimated cost of construction observations for each subsequent phase of Wild Meadows and the Developer shall make a deposit with the City under similar terms and conditions of as described above. 22. Final Site and Building Location Plans. a) The City's approval of the Developer's PUD Development Plan did not include approval of final site and building location plans. The Developer must submit and the City must approve final site and building location plans prior to the Developer's application for building permits for structures within Wild Meadows. The Developer must submit with each building permit application a survey showing all structures, driveways, easements, patios and other impervious surfaces, grading, topography and lowest floor elevations. Grading operations on each lot must provide reasonable protection of the top soil to minimize compaction on the site. b) Following approval of final site and building location plans and installation of the gravel street base and first lift of paving, the City may issue building permits for construction of single family residential dwellings on lots within any phase of Wild Meadows which has been granted final plat approval and filed of record with Hennepin County. Such permits shall be issued only in compliance with the building and other applicable codes and after payment of all fees due and owing. The occupancy of any such structure shall be prohibited until the street upon which it is located is paved and the footing drainage system, if required, has been installed. Notwithstanding the above and upon request by the Developer, the City agrees to grant permits for no more than three model RHB-188017v10 ME230-308 11 homes, provided that the choices are from among the following lots: Lot 1, Block 1; Lots 1 and 2, Block 2; and Lots 8 through 12, Block 4, Wild Meadows. c) Prior to initiation of excavation on the lots, the Developer shall install rock on the areas to be used for driveways at least 20 feet into the lots from the front lot lines and shall install safety fencing around the front yards. 23. Erosion Control. All construction within Wild Meadows shall be conducted in a manner designed to control erosion. Before the site is rough graded, an erosion control plan shall be implemented by the Developer and reviewed by the City. The City may impose additional erosion control requirements if the City deems necessary. All areas disturbed by the excavation shall be reseeded promptly after the completion of the work in that area. Except as otherwise provided in the erosion control plan, seed shall provide a temporary ground cover as rapidly as possible. All seeded areas shall be fertilized, mulched, and disc anchored as necessary for seed retention. The parties recognize that time is of the essence in controlling erosion. If the Developer does not comply with the erosion control plan and schedule or supplementary instructions received from the City, the City may take such action as it deems appropriate to control erosion. The City will endeavor to notify the Developer in advance of any proposed action, but failure of the City to do so will not affect the Developer's obligations or the City's rights hereunder. Developer will reimburse all expenses incurred by the City in connection with such actions. No utility or street construction will be allowed and no building permits will be issued in Wild Meadows unless the Developer is in full compliance with the erosion control requirements. 24. Participation in Cost of Evergreen Road Utilities. The parties acknowledge the existence of overhead electrical lines along Evergreen Road adjacent to Wild Meadows which provide service to Wild Meadows as well as other properties in the area. The Developer does not plan to bury these lines in connection with the extension of electrical services within Wild Meadows. If the City determines to require the utility company to bury these lines and incurs any expense in doing so, the Developer agrees to contribute one-third of the cost of undergrounding but not more than $25,000. 25. Clean up. The Developer shall daily clean dirt and debris from streets that have resulted from construction work by the Developer, its agents or assigns. Prior to any construction in Wild Meadows, the Developer shall identify to the City in writing a responsible party for erosion control, street cleaning, and street sweeping. 26. Compliance With Laws. The Developer agrees to comply with all laws, ordinances and regulations of the state of Minnesota and the City applicable to Wild Meadows. This Agreement shall be construed according to the laws of Minnesota. Breach of the terms of this Agreement by the Developer shall be grounds for denial of building permits, including permits for lots sold to or being developed by third parties. 27. Agreement Runs With the Land. This Agreement shall run with the land and shall be recorded against the title to Wild Meadows. The Developer covenants with the City, its successors and assigns, that the Developer has fee title to Wild Meadows; that there are no unrecorded interests in Wild Meadows; and that the Developer will indemnify and hold the City harmless for any breach of the foregoing covenants. As the Developer sells individual lots to RHB-188017v10 ME230-308 12 independent third party buyers, the City's administrator -clerk -treasurer is authorized to execute releases of individual lots from the terms of this Agreement, but said individual lot releases shall not in any way release the Developer from any of its obligations hereunder. 28. Indemnification. The Developer hereby agrees to indemnify and hold the City and its officers, employees, and agents harmless from claims made by itself and third parties for damages sustained or costs incurred resulting from approval of the plats of the First Phase or the PUD Development Plan for Wild Meadows. The Developer hereby agrees to indemnify and hold the City and its officers, employees, and agents harmless for all costs, damages, or expenses which the City may pay or incur in consequence of such claims, including attorneys' fees, except matters involving acts of gross negligence by the City. 29. Assignment. The Developer may not assign this Agreement without the written permission of the City. The Developer's obligation hereunder shall continue in full force and effect even as the Developer sells lots within Wild Meadows. 30. Notices. Any notice or correspondence to be given under this Agreement shall be deemed to be given if delivered personally or mailed postage prepaid, certified mail, return receipt requested: a) as to Developer: b) as to City: with a copy to: Restoration Development, LLC 1521 — 94t1i Lane N.E. Minneapolis, MN 55449 ATTN: David Newman City of Medina 2052 County Road 24 Hamel, MN 55340 ATTN: City Administrator -Clerk -Treasurer Ronald H. Batty Kennedy & Graven 470 Pillsbury Center 200 South Sixth Street Minneapolis, MN 55402 or at such other address as either party may from time to time notify the other in writing in accordance with this paragraph. 31. Severability. In the event that any provision of this Agreement shall be held invalid, illegal or unenforceable by any court of competent jurisdiction, such holding shall pertain only to such section and shall not invalidate or render unenforceable any other provision of this Agreement. 32. Non -waiver. Each right, power or remedy conferred upon the City by this Agreement is cumulative and in addition to every other right, power or remedy, express or implied, now or hereafter arising, or available to City at law or in equity, or under any other agreement. Each and every right, power and remedy herein set forth or otherwise so existing may be exercised from time to time as often and in such order as may be deemed expedient by RHB-188017v10 ME230-308 13 the City and shall not be a waiver of the right to exercise at any time thereafter any other right, power or remedy. If either party waives in writing any default or nonperformance by the other party, such waiver shall be deemed to apply only to such event and shall not waive any other prior or subsequent default. 33. Counterparts. This Agreement may be executed simultaneously in any number of counterparts, each of which shall be an original and shall constitute one and the same Agreement. IN WITNESS WHEREOF the parties hereto have caused this Agreement to be executed on the day and year first above written. RHB-188017v10 ME230-308 14 CITY OF MEDINA By Philip K. Zietlow, Acting Mayor By Paul Robinson Administrator -Clerk -Treasurer STATE OF MINNESOTA ) ) ss COUNTY OF ) The foregoing instrument was acknowledged before me this _ day of , 2001, by Philip K. Zietlow and Paul Robinson, the Acting Mayor and Administrator -Clerk - Treasurer, respectively, of the city of Medina, a Minnesota municipal corporation, on behalf of the municipal corporation. Notary Public RHB-188017v 10 ME230-308 15 RESTORATION DEVELOPMENT, LLC By Its By Its STATE OF MINNESOTA ) ) ss COUNTY OF ) The foregoing instrument was acknowledged before me this day of 2001, by and , the and of Restoration Development, LLC, a Minnesota limited liability company, on behalf of the limited liability company. Notary Public RHB-188017v10 ME230-308 16 EXIHBIT AT() DEVELOPMENT AGREEMENT Wild Meadows, the land to which this Development Agreement applies, is located in Hennepin,-., ;-'; County, Minnesota and is legally described as follows: The South 1/2 of the Southeast Quarter of Section 1, Township 118, Range 23. Lot 23, Auditor's Subdivision Number 241, Hennepin County, Minnesota, according to the plat thereof on file or of record in the office of the Register of Titles in and for said County. - The Northeast Quarter of Section 1, Township 118 North, Range 23 West. The North Half of the Southeast Quarter of Section 1, Township 118 North, Range 23 West.. RHB-188017v10 ME230-308 A-1 EXHIBIT B TO DEVELOPMENT AGREEMENT The following documents collectively constitute the Plans: 1. PUD General Development Plan Prepared by Dahlgren, Shardlow, and Uban, Inc. and Applied Ecological Services, Inc. 5/15/01. The PUD General Development Plan approved by the City on September 19, 2000 shall be implemented in accordance with the following: 2. Wild Meadows Construction Plan. Sheets 1 through 36 — Prepared by Otto Associates. Labeled and dated as -described below: • Sheet 1 - Cover Sheet (with lot numbers from preliminary plat) 5/09/01 • Sheet la - Cover Sheet (with lot numbers from final plat) 5/09/01 • Sheet 2 - Sanitation Sewer - Evergreen Road 4/20/01 • Sheets 3, 4, 5, 6 - Utility and Street Plan — Wild Meadows Drive 4/20/01 • Sheet 7 - Utility and Street Plan — Cassia Court 4/20/01 • Sheets 8, 9 - Utility and Street Plan — Prairie Creek Road 4/20/01 • Sheet 10 - Utility and Street Plan — Meadowview Lane 4/20/01 • Sheet 11 - Utility and Street Plan — Sunrise Court 4/20/01 • Sheets 12, 13, 14,15 - Utility and Street Plan — Lythrum Lane 4/20/01 • Sheet 16 - Watermain Plan — Cassia Court to Prairie Creek Road 4/20/01 • Sheets 17, 18 - Utility Plan — Along County Road 101 4/20/01 • Sheet 19 - Utility Plan — Along County Road 101 5/09/01 • Sheet 20 - Watermain Plan — Sunrise Court to County Road 101 4/20/01 • Sheet 21 - Utility and Street Plan — Primrose Lane 4/20/01 • Sheet 22 - Utility and Street Plan — Primrose Lane 5/09/01 • Sheets 23, 24 - Utility and Street Plan — Bergamont Dr. 4/20/01 • Sheets 25, 26, 27,28 - Utility and Street Plan — Calamus Circle 4/20/01 • Sheet 29 - Watermain Plan — Hackamore Road 4/20/01 • Sheets 30, 31 — Utility Plan — Wild Meadows Drive to Calamus Circle 4/20/01 • Sheet 32 - Grading Details 4/20/01 • Sheet 33 — Details 4/20/01 • Sheet 34 — Details 5/09/01 • Sheets 35, 36 — Details 4/20/01 3. Grading Plan. Prepared by Otto Associates. Labeled and dated as described below: RHB- l 88017v 10 ME230-308 B-1 " Sheet No. 1  Grading Plan (North) 4/26/01 " Sheet No. 2  Grading Plan (South) 4/20/01 4. Landscape Plan  Phase 1 South and North Prepared by Dahlgren, Shardlow, and Uban, Inc. and Applied Ecological Services, Inc. labeled and dated as described below: " " Sheet 1 of 3 Phase I  South 5/15/01 " Sheet 2 of 3 Phase I  North 5/15/01 " Sheet 3 of 3 Phase I  5/15/01 5. Wild Meadows Restoration Plan & Specifications. Prepared by Dahlgren, Shardlow, and Uban, Inc. and Applied Ecological Services, Inc. and Otto Associates. 5/9/01 Trail Plan. Prepared by Dahlgren, Shardlow, and Uban, Inc. and Applied Ecological Services, Inc. 8/15/01. 7. Renderings  Elevations. Prepared by Bancor Group. 5/01/01. 8. Buffers Areas Prepared by Otto Associates. Labeled and dated as described below: " Sheet Nos. 1,2,3,4,5 - Lots 11, 12, 13, and 14 - Block 4, WILD MEADOWS 5/14/01 " Sheet Nos. 1,2,3,4 - Lots 17, 18, and 19 - Block 4, WILD MEADOWS 5/14/01 " Sheet Nos. 1, 2, 3, 4, 5, 6, 7- Lots 1, 2, 3, 4, 5, and 6 - Block 2, WILD MEADOW SECOND ADDITION 5/14/01 " Sheet No. 1, 2, 3, 4 - Lots 4, 5, 6 - Block 1, WILD MEADOW SECOND ADDITION 5/14/01 " Sheet No.1 Lot 20 - Block 4, WILD MEADOWS 5/14/01 " Sheet No.1 - Lot 2 - Block 1, WILD MEADOW SECOND ADDITION 5/14/01 " Sheet No.1 - Lot 3 - Block 1, WILD MEADOW SECOND ADDITION 5/14/01 9. Storm Water Monitoring Plan Prepared by Applied Ecological Services, Inc. 5/15/01 RHB-188017v 10 ME230-308 B-1