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HomeMy WebLinkAbout08-12-19 City Commission Packet Materials - A1. Addendum 2 to the Agreement with East Main Investments for Highland and Main Commission Memorandum REPORT TO: Mayor and City Commission FROM: Chris Saunders, Community Development Manager Shawn Kohtz, City Engineer SUBJECT: Revision to the Blackmore Bend Impact Fee Payment Agreement for Improvements to the Intersection of Highland Boulevard and East Main Street, IFCR-1705 to increase the City’s contribution by $130,000. MEETING DATE: August 12, 2019 AGENDA ITEM TYPE: Action RECOMMENDED MOTION: I move to authorize City Manager to sign the second addendum to the Blackmore Bend Impact Fee Payment Agreement, IFCR-1705, increase the City’s contribution by $130,000. BACKGROUND: On September 11, 2017 the City Commission approved an Impact Fee Payment Agreement for improvements to the intersection of Highland Boulevard and East Main Street. An addendum was approved on January 7, 2019 as consent item H.10 to remove an occupancy of building restriction included in the original agreement. This coordinated with a zoning variance request for occupancy at Blackmore Bend approved by the City Commission on December 10, 2018 as action item L.1. As detailed in the attached memo from Shawn Kohtz, City Engineer, the cost of the project substantially increased in cost after the City’s initial agreement. The City’s participation is limited in the agreement to $120,000. East Main Investments, LLC has requested the City amend the agreement to increase the City’s financial participation in the project. Staff considered the request and recommends approval of an increase not to exceed $130,000. This is the largest amount presently available in the Street Impact Fee fund without displacing another committed project. The Impact Fee Advisory Committee (IFAC) considered this request on June 27, 2019. The video of the meeting is available for public review. After consideration, the IFAC recommended approval of an increase of $130,000 in the City’s contribution. FISCAL EFFECTS: The City’s contribution to the project from the Street Impact Fee fund increases $130,000 to a total of $250,000 with this amendment. ALTERNATIVES: As suggested by the City Commission. 159 Attachments: City of Bozeman Impact Fee Payment Agreement second addendum Impact Fee Advisory Committee 6/27/2019 packet Report compiled on: 8/1/2019 160 Second Addendum to City of Bozeman Impact Fee Payment Agreement for Blackmore Marketplace Building Site Plan Application 16-531 Page 1 of 2 SECOND ADDENDUM TO CITY OF BOZEMAN IMPACT FEE PAYMENT AGREEMENT THIS SECOND ADDENDUM TO THE CITY OF BOZEMAN IMPACT FEE PAYMENT AGREEMENT dated June 9, 2017 (the “Agreement”) is made and entered into this _____ day of ____________, 2019, by and between the CITY OF BOZEMAN, MONTANA, a self governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and East Main Investments LLC, 1184 North 15th Avenue, Suite 4, Bozeman MT 59715 hereinafter referred to as “Developer.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree to amend the Agreement as follows: 1. Allocation of Actual Project Costs. The Actual Project Costs may be less than or more than Estimated Project Costs. As such, the Developer and the City agree: a. The Actual Project Costs will be allocated as follows: no more than $250,000 $120,000.00 of Actual Project Costs are allocated to and must be paid by the City with the remainder of Actual Project Costs allocated to and must be paid by the Developer. Notwithstanding the above, the City will pay no more than $250,000 $120,000.00 in Actual Project Costs should the allocation of Actual Project Costs between the parties exceed the allocation of Estimated Project Costs between the parties as shown in Section 4. As such, if the Actual Project Costs, as determined by the City based on invoices and other evidence and accepted by the City, are less than originally estimated, (a) the City will pay $250,000 $120,000.00 of the amount of Actual Project Costs up to but not to exceed $250,000 $120,000.00 and (b) the Developer will pay the remainder of the amount of Actual Project Costs incurred including any amount in excess of the City's maximum contribution of $250,000 $120,000.00. 2. Agreement still valid. All remaining terms and provisions of the Agreement remain valid. 161 Second Addendum to City of Bozeman Impact Fee Payment Agreement for Blackmore Marketplace Building Site Plan Application 16-531 Page 2 of 2 **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** IN WITNESS WHEREOF, the parties hereto have executed this instrument the day and year first above written. CITY OF BOZEMAN, MONTANA DEVELOPER (East Main Investments, LLC) By________________________________ By _____________________________ Andrea Surratt, City Manager Print Name: Title: APPROVED AS TO FORM By_______________________________ Greg Sullivan, Bozeman City Attorney 162 Memorandum REPORT TO: Impact Fee Advisory Committee FROM: Shawn Kohtz, City Engineer SUBJECT: Request to Alter the Street Impact Fee Schedule to Accommodate Increased Costs Associated with the Highland and Main Intersection Improvements MEETING DATE: June 27, 2019 Committee Members: The purpose of this meeting is to ask for your consideration and endorsement of a change to the 2018-2022 Street Impact Fee Capital Improvement Plan (CIP) to allocate additional funds from the street impact fee program to the Highland & Main Intersection Improvements (SIF112). The Developer of the Heebs Project, East Main Investments, LLC, entered into an agreement with the City to install improvements to the Highland and Main Intersection. That agreement is attached for reference. The agreement commits $120,000 to the Highland & Main Intersection Improvements described in Street Impact Fees Project Number SIF112. Those funds are available for reimbursement to the developer upon completion of intersection improvements. The attached letter from East Main Investments, LLC describes a request for additional funds for improvements to the intersection at Highland and Main. The original estimate for the work was $241,781. The actual cost of the project is much higher (approximately $1.1 million). The Developer provided a summary of the actual project costs in a submittal titled “Highland Boulevard & Main Improvements Design & Cost Breakout”, which is attached. The primary reason for the higher project cost is that Montana Department of Transportation (MDT) required significantly more improvements to the intersection than originally anticipated. The City and Developer met with MDT in 2016 to review the intersection preliminary design concept and had verbal agreement from MDT on the layout, resulting in the $241,781 project cost estimate. Upon submittal of the detailed design, MDT required substantially more improvements, and multiple additional meetings with MDT followed beginning November, 2017 163 through summer of 2018 to arrive at a final design. The final design resulted in the $1.1M improvement cost. I met with City Management to discuss the Developer’s request for additional funds. We reviewed the Street Impact Fees CIP to determine available funds to help offset the additional cost of the project. Public Works Staff and the City Manager agreed to propose $130,000 in additional impact fee credits to the Developer. This proposal is now brought to the Impact Fee Advisory Committee for consideration. The Developer requested a much higher participation from the City Impact Fee Program at an additional $630,000. However, the request of $630,000 cannot be accommodated without removing another project from the priority list in the CIP. The City is not obligated by agreement to participate in the intersection costs at a level greater than the original $120,000 committed to the project. The items that were not included in the original budget, which are additional scope items include the following:  Alterations to the northern leg of the intersection  New signal poles and mast arms  Alterations to the eastbound lane configuration  Alterations to the signal heads and electronic control systems  Additional engineering to alter the original design  Additional construction administration, inspection, testing & oversight to accommodate the altered project The Developer presented a summary of the scenario to the City Commission in December, 2018 when requesting a variance to the timing for completion of the intersection. The Commission Video of the presentation can be viewed here. Engineering, Public Works, and City Management staff are supporting this request to offset additional costs associated with this project that benefits the community. Staff are proposing an additional $130,000 in impact fee credits to be committed to reimburse the Developer for the increased costs of the project. If approved, the Impact Fee Payment Agreement between the City and the Developer will be amended to reflect the impact fee credits proposed. Encl. Copy of City of Bozeman Impact Fee Payment Agreement between City and East Main Investments, LLC Letter Request from East Main Investments, LLC, dated May 9, 2019, “RE: Blackmore Bend – East Main Street and Highland Boulevard Intersection Upgrades” Submittal from East Main Investments, LLC, dated 1/11/19, “Highland Boulevard & Main Improvements Design & Cost Breakout” Street Impact Fee Project Number SIF112 Summary 164 May 9, 2019 East Main Investments, LLC 1276 North 15th, Suite 104 Bozeman MT 59715 Shawn Kohtz City Engineer 20 E. Olive St. 1st Floor Bozeman, MT 59715 RE: Blackmore Bend - East Main Street and Highland Boulevard Intersection Upgrades Dear Shawn, I hope this letter finds you well. I am writing to you in request for a revision to the existing Impact Fee Agreement East Main Investments, LLC has with the City of Bozeman as it relates to the city’s level of participation. As you will recall, at the time this agreement was negotiated and signed the total project costs were estimated to be $241,781 against which the city was in position to contribute $120,000. Currently the improvements to include engineering are projected to cost $1,099,259, from which the costs directly related to Blackmore Bend have been deducted. You are aware of the circumstances that contributed to the increase in project such as the increase in scope resulting from MDT’s requirement that the improvements extend onto the properties on the north side of East Main Street. Our request is that the city’s total participation be increased from $120,000 to $750,000. We have evaluated the various options through which the city could increase its financial participation to include direct payment from the Capital Improvements Funds, the creation of a payback district or the issuance of impact fee credits. It is our request that the city continue with its current $120,000 Capital Improvements Fund contribution and issue impact fee credits in the sum of $630,000. Should the city prefer to consider funding the entire request of $750,000 through the use of impact fee credits, I anticipate we would be agreeable to that as well. Please do not hesitate to contact me with any questions or comments. You can contact me at (406) 579- 2316 or via email at dcape@jwtcompanies.com. As always, I am appreciative of your help in processing this request and the other assistance you have provided in working through the broader Blackmore Bend project. Sincerely, Don Cape, Jr. Manager 165 Highland Boulevard & Main Improvements Design & Cost Breakout 01/11/19 Table of Contents Full Intersection Design .................................................................................................................2 Morrison Maierle Invoice .......................................................................................................... 3-4 Invoice Less Heebs Portion ...............................................................................................4 North Western Energy Invoice ................................................................................................. 5-8 Walker Excavation Total Bid ................................................................................................. 9-12 Bid Less Heebs Intersection ............................................................................................12 Summary .......................................................................................................................................13 LEGEND PROPOSED ASPHALTIMPROVEMENTS PROPOSED CONCRETEIMPROVEMENTS BP BP BP BP BP BP SD SD SD BP BP BP BP BPBP BP BP BP BP BP BP BP BP BP BP BPBPBT BT BT BT BT BT BT BT BT BT NG NG NG NG NG NG NG NG NG NG NG NG NG OHPOHPOHPOHPOHPOHPOHP OHPOHP OHP OHP BFBFBFBFBFBFBFBFBFBFSSSSSSSSSSSSSSSSSSSS SS WW WWW WWBPBPSDSDBP BP BP BP BP BP BP BP BP W W W W W W W W W W W BT BT BT BT BT BT BT BT BT BT BT BT BT BTWWNGNGNGNGNGNGNGNGOHPOHPOHP OHP OHP SDSDSS SS SSSSSSSSSDSDSDSDSDSDSDSSSSSSSSSDSDSDSD SD W SS SSSS SSSSW WW W W W WWWBTBT BTNGBP SDSDWWWWWWWWWWW WWWGV WV DYH WVWV WV WV WV WV WV SS SS SS UTILUTILUTIL UTIL UTIL 2 2 2 3 PPB PPB PPB HYD PPB PPB 2 PPB UTILUTIL 2 UP UP UP DN UP DNE2 E2E2E2E2MPBPBPBPB PB VERIFY SCALE! THESE PRINTS MAY BE REDUCED.LINE BELOW MEASURES ONE INCHON ORIGINAL DRAWING. MODIFY SCALE ACCORDINGLY! 2018COPYRIGHT © MORRISON-MAIERLE, INC., SHEET NUMBER PROJECT NUMBER DRAWING NUMBER DATEDESCRIPTIONNO.BY N:\2605\027\ACAD\EXHIBITS\OVERALL IMPROVEMENTS EXHIBIT.DWG PLOTTED BY:COOPER KRAUSE ON Oct/24/2018 REVISIONS DRAWN BY: DSGN. BY: APPR. BY: DATE: Q.C. REVIEW DATE:BY: 2880 Technology Blvd WestBozeman, MT 59718 406.587.0721 www.m-m.netengineers surveyors planners scientists MorrisonMaierle EAST MAIN STREET ANDHIGHLAND BOULEVARD IMPROVEMENTS 2605.027 BOZEMAN MT GRAPHICAL PROJECT SCOPEOVERALL EX-1 CPK KDJ MEE 10/2018 #### ######## #### MAIN S T E. CURTISS ST. BLACKMORE B E N D HEEB'S SCALE IN 050 50 10025 FEETHAGGERTY LANEHIGHLAND BLVD166 LEGEND PROPOSED ASPHALT IMPROVEMENTS PROPOSED CONCRETE IMPROVEMENTS BP BP BP BP BP BP SD SD SD BP BP BP BP BPBP BP BP BP BP BP BP BP BP BP BP BPBPBT BT BT BT BT BT BT BT BT BT NG NG NG NG NG NG NG NG NG NG NG NG NG OHPOHPOHPOHPOHPOHPOHPOHPOHPOHPOHP BFBFBFBFBFBFBFBFBFBFSSSSSSSSSSSSSSSSSSSSSSWWWWWWWBPBPSDSDBP BP BP BP BP BP BP BP BP W W W W W W W W W W W BT BT BT BT BT BT BT BT BT BT BT BT BT BTWWNGNGNGNGNGNGNGNGOHPOHPOHP OHP OHP SDSDSS SS SSSSSSSSSDSDSDSDSDSDSDSSSSSSSSSDSDSDSDSD W SSSSSSSSSSWWWW W W WWWBTBTBTNGBPSDSDWWWWWWWWWWW WWWGV WV DYH WVWV WV WV WV WV WV SS SS SS UTILUTILUTIL UTIL UTIL 2 2 2 3 PPB PPB PPB HYD PPB PPB 2 PPB UTILUTIL2 UP UP UP DN UP DNE2 E2E2E2E2MPBPBPBPBPBVERIFY SCALE! THESE PRINTS MAY BE REDUCED.LINE BELOW MEASURES ONE INCH ON ORIGINAL DRAWING. MODIFY SCALE ACCORDINGLY! 2018COPYRIGHT © MORRISON-MAIERLE, INC., SHEET NUMBER PROJECT NUMBER DRAWING NUMBER DATEDESCRIPTIONNO.BY N:\2605\027\ACAD\EXHIBITS\OVERALL IMPROVEMENTS EXHIBIT.DWG PLOTTED BY:COOPER KRAUSE ON Oct/24/2018 REVISIONS DRAWN BY: DSGN. BY: APPR. BY: DATE: Q.C. REVIEW DATE: BY: 2880 Technology Blvd West Bozeman, MT 59718 406.587.0721 www.m-m.netengineers surveyors planners scientists MorrisonMaierle EAST MAIN STREET AND HIGHLAND BOULEVARD IMPROVEMENTS 2605.027 BOZEMAN MT GRAPHICAL PROJECT SCOPE OVERALL EX-1 CPK KDJ MEE 10/2018 #### #### #### #### MAI N S T E. CURTISS ST. BLACKMOR E B E N D HEEB'S SCALE IN 050 50 10025 FEETHAGGERTY LANEHIGHLAND BLVD167 A/R Status ReportTime: 13:09:32Date: 12/26/2018From Period: 07/2003 Thru Period: 12/2019Summary Selection: Project CodeLevel: ProjectResp Type: Co Code: Use Maps: NMap Code: Map Level: A/S Values: SMulti Level Selection: NoneCompanies:(00,01,02)Organizations:(000000,018000,026000)Accounts:(105000,106000)Aging1:30Restrictions:NoneAging2:60Min Value:Aging3:90Max Value:Aging Date:12/26/2018Inquiry Type:History Display Currency:CompanyProject Name:Cape - East Main St./ Highland BlvdProject Code Doc Nbr IG Doc Date Per Billings Per Collect A/R 1 - 30 31 - 60 61 - 90 Over 90 Days Old2605027 171091 ** 9/21/2017 11,260.84 11,260.84 0.00 0.00 0.00 0.00 0.00 0.002605027 171183 ** 10/11/2017 31,378.72 31,378.72 0.00 0.00 0.00 0.00 0.000.002605027 171329 ** 11/13/2017 7,781.79 7,781.79 0.00 0.00 0.00 0.00 0.00 0.002605027 171460 ** 12/12/2017 1,647.32 1,647.32 0.00 0.00 0.00 0.00 0.00 0.002605027 180067 ** 1/9/2018 4,798.71 4,798.71 0.00 0.00 0.00 0.00 0.00 0.002605027 180173 ** 2/16/2018 1,876.16 1,876.16 0.00 0.00 0.00 0.00 0.00 0.002605027 180293 ** 3/20/2018 1,054.59 1,054.59 0.00 0.00 0.00 0.00 0.00 0.002605027 180397 ** 4/16/2018 1,345.53 1,345.53 0.00 0.00 0.00 0.00 0.00 0.002605027 180485 ** 5/7/2018 1,646.18 1,646.18 0.00 0.00 0.00 0.00 0.00 0.002605027 180670 ** 6/15/2018 16,117.40 16,117.40 0.00 0.00 0.00 0.00 0.00 0.002605027 180817 ** 7/16/2018 1,908.79 1,908.79 0.00 0.00 0.00 0.00 0.00 0.002605027 180937 ** 8/6/2018 3,911.26 3,911.26 0.00 0.00 0.00 0.00 0.00 0.002605027 181082 ** 9/11/2018 11,121.76 11,121.76 0.00 0.00 0.00 0.00 0.00 0.002605027 181211 ** 10/5/2018 3,474.01 3,474.01 0.00 0.00 0.00 0.00 0.00 0.002605027 181412 ** 11/19/2018 8,554.89 0.00 8,554.89 0.00 8,554.89 0.00 0.00 37.002605027 181516 ** 12/10/2018 3,655.63 0.00 3,655.63 3,655.63 0.00 0.00 0.00 16.00Page 1 of 2A/R Status12/26/2018file:///C:/Users/tgreenfield/AppData/Local/BSTEnterprise/InquiryReports/Proddbhttpbst.m-m.net/ArStatus.htm168 Totals111,533.58 99,323.06 12,210.52 3,655.63 8,554.89 0.00 0.00 53.00END OF REPORTPage 2 of 2A/R Status12/26/2018file:///C:/Users/tgreenfield/AppData/Local/BSTEnterprise/InquiryReports/Proddbhttpbst.m-m.net/ArStatus.htm169 Notification # 340106114 CUSTOMER AGREEMENT This Customer Agreement (the "Agreement") is made and entered into effective as of 08/06/2018 by and between NorthWestern Energy (the "Company") and EAST MAIN INVESTMENTS, LLC (the "Customer"). Sometimes in this Agreement, Company and Customer are collectively referred to as "Parties" or individually as a "Party." Capitalized terms have the meaning set forth in NorthWestern Energy's Electric Tariff and the NorthWestern Energy Natural Gas Tariff (collectively the "Tariffs" and individually the "Gas Tariff" or "Electric Tariff"), which sets forth service, installation and contribution rules and regulations established by the Montana Public Service Commission (the "MPSC"). The Tariffs are available for review at http://www.northwesternenergy.com/residential-services/how-to-read-your-bill/tariffs-and-rates/montana-tariff s-and-rates. RECITALS WHEREAS, Customer applied for natural gas or electrical service from the Company; and WHEREAS, in accordance with the Tariffs, Customer must execute this Agreement and contribute to the cost of installing the facilities required to provide service to Customer's premises because the distance of the new service line is greater than the permitted free extension allowance; NOW, THEREFORE, in consideration of the covenants and conditions contained in this Agreement, the Parties agree as follows: AGREEMENT 1.SERVICE AND CONTRIBUTION REQUIREMENTS. The Company agrees to install, operate and maintain facilities generally described as OH Primary Removal, Primary UG 3 Phase, Primary OH 3 Phase, UG Primary Removal and is specifically described in Quote 25076713, which is incorporated herein by this reference (the "Quote"), to serve Customer at HIGHLAND BLVD & E MAIN INT, BOZEMAN, MT 59715 in accordance with the requirements of the Tariffs. Customer agrees to comply with the terms and conditions of this Agreement and remit to Company the total contribution of $ 29,651.00 , which may include a federal tax surcharge and administrative/engineering fees and is more fully described as follows: 1.1 Advance. In consideration of the Company's agreement to install facilities, Customer agrees to pay an Advance in the sum of $ 0.00 for construction of the facilities identified in the Quote. ELECTRICAL NATURAL GAS _____ Single Family Residential _____ Residential/Other Core Customers (Electrical Tariff 6-2) (Gas Tariff Rule 6-2) _____ General Service or Non-Single Residential _____ New Subdivision or Housing Project (Electrical Tariff Rule 6-2) (Gas Tariff Rule 6-6) _____ Loads of Uncertain Duration _____ Loads of Uncertain Duration (Electrical Tariff Rule 5-7) (Gas Tariff Rule 5-7) _____ New Subdivision or Housing Project (Electrical Tariff Rule 6-7) For clarification, an "Advance" is a refundable contribution to the installation costs of the Company's facilities, and is made by the applicant prior to the initial installation. A portion of that advance, up to but not exceeding the full amount, may be refunded when additional residences or properties requiring service may connect to the facilities installed under this Agreement within the applicable 5 year (all natural gas customers, General Service electric, non-Single Family Residential electric, all new residential subdivision and townhouse connects) or 10 year (for Single Family Residential electric) periods after Company's completion of the line extension for the Customer. Future applicants attaching to existing facilities that carry Advance line extension designation within the time periods referenced above share in cost of the installation of the original line extension. Any future attachments will result in a refund to Customer in an amount determined by the Company in accordance with the Tariff. No refund will be made after the applicable 5 or 10 year period. 170 Notification # 340106114 AND/OR 1.2 Contribution in Aid of Construction. In consideration of the Company's agreement to install service facilities, Customer agrees to pay a CIAC in the sum of $ 29,651.00 for construction of the facilities identified in the Quote. For clarification, a "CIAC" is a non-refundable payment made by a customer to pay for costs in excess of the free allowance set forth in the Tariffs. 2.CONDITIONS TO INSTALLATION. 2.1 Payment. Customer shall make payment of the Advance or the CIAC prior to Company scheduling a construction start date. Company must receive payment and satisfactory evidence of required permits and right-of-way authority prior to ordering materials, scheduling crews or starting construction. 2.2 Right-of-Way. Customer shall provide the right-of-way required for the installation of the Company's service facilities. Customer shall grant or obtain for the Company an easement along the route of the line extension in a form satisfactory to the Company. 2.3 Permits. Customer shall provide all required permits from appropriate governmental agencies for the construction work and installation of the Company's facilities and Customer's equipment. Copies of all permits must be provided to the Company. 2.4 Additional Costs. If the Customer requests facilities be installed in frozen, rocky or hard ground, the Customer may be responsible for additional charges for installation. The Company will notify the Customer of these charges prior to installation when feasible, and otherwise when encountered during the installation work. If the Company requires additional charges prior to installation, and the basis for such extra cost is not encountered during the performance of the work, Company shall refund such charges to Customer. 2.5 Storm Water. Customer is solely responsible for compliance with all Montana Department of Environmental Quality storm water regulations. All soil disturbing activities deemed necessary by the Company for the installation, operation and maintenance of the facilities must be incorporated by Customer in the Storm Water Pollution Prevention Plan. Customer shall operate and maintain all storm water best management practices at all times. 2.6 Underground Facilities. Prior to construction, all customer-owned, rented or leased underground facilities (including but not limited to sprinkler systems, septic systems propane tanks and associated lines, and communication and electric lines) must be properly identified and physically marked by Customer. The Company is not responsible for damages resulting from mismarked or unidentified customer facilities. Contact the Company's Construction Department with questions related to appropriately marking Customer-owned facilities. 2.7 Customer's Equipment. Customer shall install Customer's facilities in accordance with the Company's "New Service Guide" and "Electric Service Requirements & Guidelines." The location of Customer's meter must be approved by the Company prior to the installation of equipment owned by the Customer. Customer shall provide service entrance and termination points as specified by the Company's installation standards in effect at the time construction begins. 2.8 Restoration and Grading. The Company will make a reasonable attempt to preserve private roadways and landscaping, but Customer is responsible for final compaction and restoration of private roadways and landscaping, including the removal of excess spoil piles. The Company will install facilities with the understanding that ground-level is the final grade, unless otherwise directed in writing by Customer. Should changes to grade be made in the future that result in Company's facilities being raised or lowered, the Customer is responsible for the costs associated with this change. 3.GENERAL CONDITIONS. 3.1 All terms, prices and conditions set forth herein are subject to modification resulting from changes in applicable rules, Tariffs, regulations, ordinances, the scope of project, and laws that may be amended or enacted after the date of this Agreement. 3.2 The payment amounts set forth in this Agreement are effective for 4 months from the date of this Agreement. If construction has not commenced within such period due to any action, omission or failure to act by Customer, the project will be reviewed for any changes in the cost. The Company will perform one line extension engineering cost estimate per year at Customer's location free of charge. If subsequent redesign estimates are requested within the one year period from the original quote, a charge of $61.00/hour (minimum charge = $61.00) will be assessed and is payable prior to delivery of the estimate to Customer. If Customer proceeds with installation, fees paid for estimates will be credited toward the contribution payment. 3.3 If the facilities required to serve Customer must be relocated or modified at the request of Customer 171 Notification # 340106114 after installation, the Customer shall pay the costs of moving Company facilities. 3.4 The Company agrees to establish service within a reasonable period of time after the Customer's equipment passes inspection by the state and local authorities as required by law. The Company will proceed with the survey, design and construction of its facilities in a normal manner using its existing work force (Company employees or contractors) and material supply sources. Installation will be performed during normal working hours and the Company may reschedule the work to achieve efficient workload of Company forces. Availability of materials, weather conditions, frozen ground, access, or obtaining permits from governmental agencies or railroads may cause delays beyond the control of the Company or the Customer. 3.5 In the event of a conflict between the terms of this Agreement and the Tariffs, the terms of the Tariffs prevail. 4.ADDITIONAL CONDITIONS. PLEASE SIGN & RETURN THE CUSTOMER AGREEMENT ALONG WITH PAYMENT (IF ANY) IN ORDER TO PLACE THE PROJECT ON THE CONSTRUCTION SCHEDULE. THIS JOB CONSISTS OF RELOCATING THE EXISTING POLES THAT CONFLICT WITH THE NEW INTERSECTION PLAN. WITH THAT PLAN, THERE IS A CONFLICT WITH DISTANCE TO THE SOON TO BE SIGNAL LIGHT CROSSING EAST MAIN AND THE OVERHEAD CONDUCTOR. N.W.E. WILL BE INSTLALING A 50 FOOT POLE AND MOVING IN 20 FEET SOUTH OF TE EXISTING POLE ON THE EAST SIDE OF THE INTERSECTION. FROM THAT POLE, WE WILL RE-CONNECT OUR UNDERGROUND FACILITIES. ON THE WEST SIDE OF THE INTERSECTION, WE WILL BE INSTALLING A NEW 45 FOOT POLE 30 FEET TO THE WEST OF THE EXISTING POLE AND INSTALL NEW #2 ALUMINUM PRIMARY SOUTH TO WHERE THE EXISTING UNDERGROUND PRIMARY AND THE NEW MEET. AT THAT LOCATION, WE WILL BE MOVING THE NEWLY INSTALLED J-CAN BY THE EXISITNG POLE TO THIS NEW LOCATION AND TIE IN THE EXISTING PRIMARY TO THE GAS STATION. PRIOR TO INSTALLATION THE FOLLOWING ITEMS MUST BE COMPLETED: 1) THE DIG PATH IS TO GRADE AND CLEAR OF ALL CONSTRUCTION MATERIAL, DIRT PILES, ETC. 2) SIDEWALKS, P.U.E., ETC. WILL NEED TO BE LOCATED BY THE CUSTOMER TO INSURE RELOCATION IS EXACTLY WHAT IS NEEDED TO COMPLETE THE INTERSECTION PROJECT. 3) ALL PRIVATE UTILITIES HAVE BEEN LOCATED (EX. SPRINKLER LINES, DOWN STREAM LINES, ETC.) NWE IS NOT ADDING FROST DIGGING CHARGES TO THE COST OF THE PROJECT. HOWEVER, IT IS THE RESPONSIBILITY OF THE CUSTOMER TO MITIGATE FROST EITHER BY PRE-RIPPING OR GROUND THAWING TO NWE SPECIFICATIONS. IF THERE IS MORE THAN 6" OF FROST OR THE PRE-RIPPING IS LEFT WITH UNUSABLE BACKFILL MATERIAL THE CREW WILL EITHER DIG THROUGH THE FROST AND/OR BRING IN BACKFILL MATERIAL. THE COST TO DIG THROUGH FROST IS $1,425 AND FOR BACKFILL MATERIAL A MINIMUM OF $300. THE CREW ALSO HAS THE OPTION OF PULLING OFF THE JOB UNTIL THE THAWING IS COMPLETED OR THE BACKFILL MATERIAL HAS BEEN BROKEN UP. THIS WILL RESULT IN THE PROJECT GOING TO THE BACK OF THE SCHEDULE. BY SIGNING THIS AGREEMENT YOU REALEASE NWE, RMC, MP, AND PAR FROM ANY LANSCAPING RESPONSIBILITIES ASSOCITED WITH THIS PROJECT. IF YOU HAVE ANY QUESTION, PLEASE CONTACT DEREK AT 406-581-3987. THANKS. IN WITNESS WHEREOF, the Parties have caused this Agreement to be duly executed in duplicate as of the day and year first above written. 172 Notification # 340106114 NORTHWESTERN ENERGY CUSTOMER By: _____________________________________ By: _____________________________________ Printed Name: ____________________________ Printed Name: _____________________________ Title: ___________________________________ Title: ____________________________________ Date: ___________________________________ Date: ___________________________________ Phone: __________________________________ Phone: __________________________________ Derek Westveer Engineer 8-9-2018 406-581-3987 Donald E. Cape, Jr. Managing Member 8/10/18 406-579-2316 173 174 175 176 177 Total Cost Heebs Exclusive Cost City Contribution Total Shared Costs Cost Per Group Morrison Maierle (Intersection Design)$111,534 $4,800 $106,733.33 $53,367 North Western Engergy $29,651 $29,651 $14,826 Walker Excavation $1,131,576 $48,701 $120,000 $962,874 $481,437 Total $1,272,760 $53,502 $120,000 $1,099,259 $549,629 Highland Intersection Cost Breakout 178 >^^f\V.y*'u*•-.m^0f..<•»•/^vS3CITY OF BOZEMAN IMPACT FEE PAYMENT AGREEMENTTfflS AGREEMENT is made and entered into this 9th day of June, 2017, by and betweenthe CITY OF BOZEMAN, MONTANA, a self-governing municipal corporation organized andexisting under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman,IVIontana, with a mailing address ofPO Box 1230, Bozeman, MT 59771, hereinafter referred to as"City," and, East Main Investments, LLC hereinafter referred to as "Developer."WHEREAS, the Developer desires to complete certain public transportation systemimprovements to benefit its development project Site Plan Development Application 16-531,Blackmore Marketplace Building (the "Development") and the City desires to make availabletransportation impact fees to the Developer to assist in paying a portion of the costs of theimprovements; andWHEREAS, the improvements include design and construction of traffic signalimprovements at the Highland Boulevard and East Main Street intersection and other related streetimprovements; andWHEREAS, the City's contribution of impact fees to the Developer must comply withSections 2,06.1600 through 2.06.1700, Bozeman Mimicipal Code; andWHEREAS, the City has included the improvements in the City's Capital ImprovementPlan; andWHEREAS, the City and the Developer desire to set forth the terms of their agreement inwriting.NOW THEREFORE, In consideration of the mutual covenants and agreements hereincontained, the receipt and sufficiency whereof being hereby acknowledged, the parties heretoagree as follows:1. Incorporation: The foregoing recitals of this Agreement are contractual and are herebyincorporated by reference.!iiIjIPage 1 of 6I{179 2.3.4.5.The Project: The construction of improvements (the "Project") consists of installation oftraffic signal improvements at the Highland Boulevard and East Main Street intersectionand associated street improvements as shown on the Concept Plans and Specificationsattached as Exhibit 1. Prior to construction and any payment by the City Developer mustsubmit to the City Engineering Division a final set of Plans and Specifications for theProject and receive approval of the Plans and Specifications from the City EngineeringDivision. No occupancy of any structure to be built on the Development will be authorizeduntil the City Engineering Division, in its sole discretion, performs a final inspection,receives final certification by the Developer's engineer, and approves the final Project perthe process defined in the City ofBozeman Design Standards and Specifications Policy.Contracts for Design and Construction of Project: The Developer must retain a licensedprofessional engineer to provide construction inspection and oversight services for theProject and retain a licensed and qualified contractor to construct the Project. TheDeveloper is solely responsible for selection and hiring of the engineer and contractor.Estimated Project Cost and Allocation: The Developer's estimate of the cost of the Projectis $241,781 ("Estimated Project Costs"). An itemization of Estimated Project Costsprovided by the Developer is attached as Exhibit 2. The payment by the City of impactfees will not be based on Estimated Project Costs; rather, payment by the City will be basedon the actual costs ofconsti-uction of the Project as determined by invoices for material andlabor and other evidence ("Actual Project Costs"),For purposes of this Agreement, to establish an understanding between the parties' of eachparty's Estimated Project Costs prior to construction and prior to a determination of ActualProject Costs, the City and the Developer agree to allocate the Estimated Project Costs asfollows:Estimated Developer Costs:Estimated City Costs:TOTAL:$121,781$120,000$241,781Allocation of Actual Project Costs: The Actual Project Costs may be less than or morethan Estimated Project Costs. As such, the Developer and the City agree:a. The Actual Project Costs will be allocated as follows: no more than$120,000.00 of Actual Project Costs are allocated to and must be paid by theCity with the remainder of Actual Project Costs allocated to and must be paidby the Developer. Notwithstanding the above, the City will pay no more than$120,000.00 in Actual Project Costs should the allocation of Actual ProjectCosts between the parties exceed the allocation of Estimated Project CostsPage 2 of 6jiII180 between the parties as shown in Section 4. As such, if the Actual Project Costs,as determined by the City based on invoices and other evidence and acceptedby the City, are less than originally estimated, (a) the City will pay $120,000.00of the amount of Actual Project Costs up to but not to exceed $120,000.00 and(b) the Developer will pay the remainder of the amount of Actual Project Costsincun-ed including any amount in excess of the City's maximum contributionof$120,000.00.6. Project Reimbursement/Inspection/Payment: The City will reimburse the Developer forthe City's portion of the Actual Project Costs only after construction of the Project has beencompleted, the Project has been accepted by the City, and Actual Project Costs (includingevidence of those costs) is provided to the City. As such:a. The City may inspect the Project at reasonable times and the Developer mustnot interfere with such inspections.b. The City will only accept the construction of the improvements upon receipt bythe City of (a) certification by the Developer's licensed professional engineerthat the Project is complete in accordance with the Approved Plans, and (b)evidence of the Actual Project Costs have been delivered to and accepted by theCity.c. The City will pay the Developer, by single check, the City's portion of theProject's costs no later than thirty (30) days following the City's determinationthe requirements of this Agreement are satisfied.7, Amendment and Waiver: This Agreement may only be amended or modified by a writtenagreement signed by the City and the Developer. No waiver by any party hereto of anyprovision or breach of, or default under, this Agreement shall be deemed to have been madeunless the same is in writing and signed and delivered by the party charged with makingthe waiver, and no waiver of any provision or breach of, or default under, this Agreementshall be deemed a waiver of any other provision or breach of, or default under, thisAgreement.8. Representations and Wan-anties: Each party represents and warrants to the other that:a. Execution of this Agreement does not violate any agreement, bylaw, statute orordinance binding on or applicable to such party; andb. The individual executing this Agreement on behalf of the party is dulyauthorized and empowered to execute this Agreement for the party, andfollowing execution and delivery by both parties this Agreement will be aPage 3 of 61II181 legally binding obligation of the party, enforceable against the party inaccordance with its terms.9. Choice of Law and Venue: This Agreement shall be governed by, and interpreted under,Montana Law, without regard to conflict of law principles. Mandatory and exclusivejurisdiction for any dispute shall be in the Eighteenth Judicial District Court, GallatinCounty, Montana.10. Severability: Each provision of this Agreement shall be considered severable and if forany reason any provision which is not essential to the effectuation of the basic intent of thisAgreement is determined to be invalid, such invalidity shall not impair the operation of oreffect those provisions of this Agreement which are valid.Dated this ';'- L day of_^J^EAST MAIN INVESTMENTS,2017By: Dop^tpe, Managing MemberDated this JJ^day of _^Q£c^^~. 2017CITY OF BOZEMAN^,By: Dennis Taylor, Interim City Manager/Page 4 of 6182 Exhibit 1Construction Proposal(attached)/Page 5 of 6183 ^w^y.^-A.llslIIIs.SiIllM^^S'S..;^^, ^«^^VNVINOW Nvnazoa 'laayis NIVW '3 tZEtONiaiina aovidiaxyvwgyoiAixov-ia0.'I" Is<caUJII-zsgs2i?^:11io£'-50)u5"E^(U§^u3sE."£u m§3a: a;Ei"sb§s0uE^u?3Ntr'-<^393caVHg/(.•I'&-S,?&ad^gS'K§3"g10"1^7$zs-/.§/^ffl/^"»^sa.'s&^s»»^?^.£^!?^Sls3c^t.(\/?~-\f3«/"<u wCt: 2s'S3Ssss§s:1s»t"-1&is'@;®?"I//A1»sgUlffl£r 2035?s.ss^f5^z?sItiSSJS^imowui^g,E003;s<g,s^^£%iuS 8 S25syi5uuV)sCM^RwCMN??'°in184 -i;s-t•iu^»^^^/^<./%^•s///h/t{•^^<•-wc/,•f^>h•^^7kB7»^/^/UlI'<j^»/^^//A•Iu\<*.r^y1.'ur71,V'J7•I•Ht«u//^/*/.'?»fe"-,^//?s*f.f•Ih/?^:- (.;. fA //f^ ^ /-^ ,y.yTzsft^3F^'?^^<-'../3..-•y-<r .t,'tw•I^^/<,'/^^"7<<tw((/i&*./M•:;,•'/ttfr!?-A-«^H^'/i03?'/><,»^^te<V.,-/"*,0/1yr^9^^^T<?A;(1;V;,1^?su,Fi61?.*.•^wi!r«^&C3«».<•"(y.?H»x<•<•<r.•^^^/02*-.•f.-s/-.^^co^z s'^i^.•»,t•9sf."t^b\II.:.^.^ '¥•"..i.'<':;!i"•?1-' ':tslt"; • :.\^/iji«-*'Iih.'.•sV-*v•^^fsg/.Ss<T3's-5eiL§§/.^tf/ I1{ai"I!gga<3,-.':-•;•?^¥<^^«c. "S",r\;I .-,•-•,ei',•••I-^•7»^h.^h.^>:•5t4Irii''»•|!^0^:ti .-1 'f^*;^ifc^^lw^^^•y.uerp^rfa.:?/-^'V.I> •.'<**•^f-^-g^v^ =<:<u;^>.'•»•iy-a-Ti/,.;'t185 Exhibit 2Anticipated Project Costs(attached)iIi;Page 6 of 6•i,^I186 Exhibit 2BID PRICESlune 2016Montana Department of TransportationPreliminary EstimatePage 1 of 1Project Number: 11415006Project Name: Bozeman - East Main Traffic Impact Study (90° Re-align)UPN Number:Project Length:Design Stage: PreliminaryMilesPrepared By: KUDate:County:District:December 9, 2016GallatinType of Work: Surfacing, Curb & Gutter, Lighting, and SignalsItem NumberQuantityDescriptionUnitG-MatchAverage Bid PricesUnit PriceDollarsAmountAdjusted Unit PricesUnit PriceDollarsDollarsAmountDollars202020353100REMOVE CONCRETESQYDN?21.0$2,105.01$2,105.0C203020100700EXCAVATION-UNCLASSIFIEDCUVDN$3,9f$2,786.0[$10.01$7,000.0(301020340235CRUSHED AGGREGATE COURSECUVDN$26.3$6,183.01$30.01$7,050.013010206251410AGGREGATE TREATMENTSQYDN$0.44$620.0($620.01401020022255COMMERCIAL MIX.PG 64-28TONN$86.13$21,963.0C$21,963.0(4010203004HYDRATED LIMETONN$213.85$855.01$855.01603013453280PIPE.PVC 18 INLNFTN$0.01$60.00$16,800.016030135491CONNECT TO EXISTING PIPEEACHN$552^14$552.01$552.016030142422IADJUST VALVE BOXEACHN5433^6$868.0CSS68.01604000100IAOJUST MANHOLEEACHN5666.74$2,667.0C$2,667.0(6040001403'REMOVE DROP INLETEACHN$983.81$2,951.00$2,951.0C6040102203NLET DROP SPECIAL DESIGNEACHN$3,400,00$10,200.00;$3,100.00$9,300.0160801002012051DEWALK-CONCRETE 4 INSQYON$67.22$8,066.0C$8,066.0(60801011055CONCRETE 6 INSQYDN$76.38$4,201.001$4,201.0C6080101253DETEC WARNING DEVICES TYPE 1SQYD$400A6?1,202.00$1,202.0C60901020080SCURB AND Gun-ER-CONCLNFTN$25.65$20,568.00;$20,568.00609010209152REMOVE MEDIAN CURBLNFTN53.S8SS44.00|$S44.0C6170000004IFOUNDATION-CONCRETECUYDY$1,000.37$4,001.00$4,001.00;6175031302ISIG-TRAF 3 COL.l WAY 12-12-12EACHY$1,068.58S2,137.00|$2,137.00|6175131252ISIG TRAF 4 COL 1 W 12-12-12-12EACHYSl.312,96$2,626.00$2,626.006175530202SIG-PEDESTRIAN TVPE 2EACHv$923.90$1,848.00|$1,848.00,6176955251ISIS STANDARD TYPE 2-A-900-0EACHYSo.oo|$1,600.00$1,600.00|6177810002REMOVE AND SALVAGE MISC ELECTRICALLSN$7,590.48$15,181.00^$15,181.006177830301IREMOVE AND RESET MISC ELECTRICALLSN$3,000.77$3,001.00|$3,001.00,6179032552USH BUnON-PEDESTRIAN-TACTIlEEACHy$1,385.69$2,771.00|$2,771.0061S0300801ITRAFFIC CONTROlLS$21,ll7.00|$21,117.00$15,000.00|$15,000.0061901008610ilGNS.ALUMREFL SHEET IVSOFTY$26.06$261.00]$261.0061901020011ESET SIGNSEACHYS200.53$201.00,$201.006190102101IRESET SIGNS-GUIDEEACHY$785-75$786.0<^$786.006200103011CURB MARKING.YELLOW EPOXYGALYS254.45$254.00|$254.006200112606AfORDS AND SYMBOLS-WHITE EPOXYGAL1$295.94^$1,776.00$1,776.00;G2001126S6•VOROS AND SYMBOLS-YELLOW EPOXYGALY$305.06$1,830.00|$1,830.00^62001395523801EMOVE PAVEMENT MARKINGSLNFTN51.93i$4,593.00$4,S93.00i6200139607.TRIPING-WHITE EPOXYGALY$65.51$459.00$459.0062001496012JRIPING-YELLOW EPOXYGALYS56.12$673.00^$673.006230001551MAILBOXEACHN$205.77$206.00|$206.00^$iso,os2.oq$166,516.0010%Mobilization$15,005.20|$16,651.60,Subtotal$165,057.20]$183,167.60;20%Contingency$33,011.44|$3G,633.52|Construction Total$198,068.M|$219,801.12|10%Construction Engineering$21,980.11|Total$241,781.23|User: Dillon McLainFile Name: P:\Private\MT\aty\Bozeman\11415006 East Main Commerdal\C.Date: 12/12/20169:17187 ^<»IK»»wKdCIP Project FundImpact Fees StreetsIpROjicTNIAMEDEPARTMENTSTREET IF{PROJECT NUMBERBE.!.!!fHighland & Main Intersection ImprovementsFY20FY21FY22Unscheduled@ NewReplacementEquipment@ ProjectFY18 FY19$120,000[DESCRIPTioNbFPROJECT•Improve intersection control at Highland & Main|Describe the criticality (i.e., importance) of this project to the operation: Future developments which impact this intersectionjarea may not be allowed to proceed until improvements are in place. Functionality of the network at large is dependent on thisjelement functioning as intended. The incomplete transportation network in this vicinity is putting unnecessary demand on thoseelements of the street network that are in placejHow is capacity affected by this project: Adding additional phases and improving geometry will increase capacity for deficientjmovements at this intersection.[How is connectivity affected by this project: Connectivity already exists at this location, it is capacity which is being expanded.(What regulations or standards are attained with this project: The Level of Service (LOS) Standard (BMC) and conformance with[the Transportation Master Plan are attained.|How is this project leveraged with other stakeholders/projects/funds: A Payback District or SID may be created to leverage other[stakeholders.|Are there other affected projects: Highland Boulevard corridor improvementssALTERNATIVES CONSIDEREDAccept the existing level of service, create an SID for financing.ADVANTAGES OF APPROVALIncreased capacity and safety at this intersection.ADDITIONAL OPERATING COSTS IN THE FUTURE, IF FUNDEDAnnual Operating and Maintenance Costs: Incremental increases in sweeping, plowing and general maintenance costs.FUNDING SOURCES100% Street Impact Fees277188