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HomeMy WebLinkAbout07- Joint Development or Sale of County Land 911 Center Fire Station 3 (Not Final!) MEMORANDUM OF AGREEMENT JOINT DEVELOPMENT OR SALE OF COUNTY LAND THIS AGREEMENT made this 10 day of October, 2007, by and between: GALLATIN COUNTY, MONTANA (COUNTY), 311 West Main Street, Bozeman, MT 59715; and THE CITY OF BOZEMAN, MONTANA (CITY), 411 East Main Street, P. O. Box 1230, Bozeman, MT 59771-1230. RECITALS: WHEREAS, currently the COUNTY and CITY are in the planning phases for individual projects to build a 911 Dispatch Center and Fire Station, respectively; WHEREAS, COUNTY and CITY have a mutual interest in pursuing the possibilities of joint use of certain land for those individual projects; WHEREAS, COUNTY owns certain real property in or near the city limits of CITY, of which portions may be appropriate to achieve mutual project goals; WHEREAS, COUNTY and CITY seek to provide a mechanism to achieve the evaluation and development of a project on COUNTY owned property; and WHEREAS, ifmutual development of the Project is not possible COUNTY and CITY wish to leave the possibility open for the CITY to purchase certain lands from the COUNTY for a Fire Station. NOW, THEREFORE based on mutual consideration it is understood and agreed that the above recitals are true and correct and as follows: 1. Project Description. The "Project" shall consist of the mutual development of an approximate 2 acre portion of COUNTY owned property located at Vaquero Parkway and Davis Road and generally legally described as a parcel ofland approximately consisting of80,130 square feet located in the eastern portion of Tract 3A-l ofCOS 2202B, Gallatin County Montana ("Project Site") for the purpose of a COUNTY 911 Dispatch Center and a CITY Fire Station. The COUNTY's 911 Dispatch Center shall consist of approximately 4100 square feet of building space and 31,665 square feet of parking and landscape. The CITY's Fire Station shall consist of approximately 11,400 square feet of building space and 31,665 square feet of parking and landscape. In addition approximately 5400 square feet of driveway space to be used for CITY's Fire Station. 2. Reservation of Project Site. Upon execution ofthis Agreement, COUNTY shall reserve the appropriate location of the real property located at the Project Site for the purpose of creating and accomplishing the Project. The Project Site is set forth in Exhibit A to this Agreement. 3. Escrow of Land Payment. Upon receipt of evidence of such reservation of the Project Site, CITY shall tender $ I 66,720.00 ("Land Payment") to an escrow agent mutually agreed on by COUNTY and CITY. CITY shall pay all escrow fees. The Land Payment represents the cost of the Project Site that may be utilized by the CITY for the purposes of construction of a Fire Station and is calculated on a square foot basis based on an established land value of $150,000.00 per acre. From time to time, as design and construction progresses, COUNTY may require additional deposits to escrow for the purposes of the Land Payment if CITY wants to utilize more square footage. Such deposits shall be made after 14 days notice from COUNTY. COUNTY shall not have any claim to any interest accrued in of the Land PaYment while it is in escrow. 4. Mutual Proiect. Upon the satisfaction ofthe contingencies set forth in Section 6 below COUNTY and CITY agree to the following mutually developed design, development and construction process for the Project. Such agreement may eventually vest title of portions ofthe Project Site in the CITY pursuant to Montana's Unit Ownership Act or by other means. Allocations and costs ofland, design, construction, project changes and long term operations and management are as follows. 4.1 Think One Architects shall be under contract not later than October 9, 2007, with County for Design Services through the Schematic Design Documents Phase (AlA B141) for the 911 facility and Fire Station 3. Think One Architects is already under a similar contract with the City. County will procure the services of an architect and consultants to complete Design Services in order to publish proper documents for construction bids no later than February 4,2008. 4.2 Joint selection of Construction Manager at Risk (CMR) shall be conducted. A joint committee of County and City will be appointed by Mr. Mathers and Mr. Kukulski in order to complete the selection process by October 30,2007. The RFP has been previously prepared by the City and County. Copies ofthe RFP and evaluation criteria are attached to this Agreement by reference. 4.3 Both City and County will appoint construction representatives who will serve as the principal point of contact for issues that arise during all stages of the planning, designing, bidding, and construction schedule. Larry Watson, Grants and Projects Administrator, will serve as the County representative. James Goehrung, Director of Facility Services, will serve as the City representative. Questions that arise from the Architect or any contractor will first be brought to the attention of the construction representatives for answers. For items that have a potential impact on the operation of either the 911 Communications Center or the Fire Station, the item needing attention will be discussed with the County Director of the 911 Communication Center and/or the City Fire Chief prior to issuing a directive. Should an issue require formal approval by the respective elected bodies, the construction representatives will bring that information to their respective Commissions for appropriate action. 4.4 During the design and construction phase of the project, the CMR will submit all payment requests to the Architect of record for the project. The Architect will be responsible for assigning the invoices, or the appropriate portion of the invoices, to the County and City for processing and payment. All costs directly associated with or attributable to the construction of the 911 Communications Center will be directed to the County for payment at 100%. All costs directly associated with or attributable to the construction ofthe Fire Station will be directed to the City for payment at 100%. All costs associated with common areas shall be divided between the City and County on a 50/50 basis. Costs that are attributable to shared benefit but are related to a proportional split; will be billed according to a cost per square foot price or a quantity price and billed accordingly to both parties. In the event of a dispute in assigning costs or the payment of claims, a committee of the Architect, CMR, County Administrator, City Manager, and the City and County Construction Representatives will be responsible for resolving the differences within 15 calendar days. 4.5 Formal change orders shall be submitted to the County and City construction representatives for appropriate action. 4.6 The following is a design and bid schedule for the joint 911 Fire Station 3 project: 4.6.1 This MOU approved by both County and City not later than by October 15, 2007 4.6.2 Advertise by for CMR by Oct 3, 2007 and Selection ofCMR must be completed by October 30,2007. 4.6.3 Parties authorize architects to begin Design Services through the Schematic Design Documents Phase process by October 15, 2007. 4.6.4 Design Services through the Schematic Design Documents Phase completed by December 14, 2007 4.6.5 The construction bids pursuant to the CMR process must be advertised not later than February 4,2008 4.6.6 Award bids for contracts not later than March 17,2008 4.6.7 Final plat approval for the Project Site not later than March 17,2008. 4.6.8 Prior to initial occupancy a long term maintenance and operations agreement must be signed which may be provided for in the documents forming a property owners association if unit ownership is created. 5. Sale of Land. If the contingencies set forth in Section 6 below are not satisfied then COUNTY may sell the Project Site or any portion thereof to CITY for the sole and exclusive purpose of a Fire Station. COUNTY and CITY shall execute written agreements for the sale of all or a portion of the Project Site in a form substantially similar to Exhibits Band C which are attached and incorporated herein by reference. 6. Mutual Project Contingencies. The COUNTY's and CITY's participation in the process of designing, developing or constructing the Project pursuant to Section 4 above is contingent upon the following: 6. I The ability to comply with the "Open-Space Land and Voluntary Conservation Easement Act" and any bond issued thereunder. 6.2 The ability to comply with any relevant Montana law for the purchase and sale of property by a political subdivision. 6.3 The ability to comply with Montana's Unit Ownership Act. 6.4 The ability to comply with any other relevant Montana law. 6.5 COUNTY's evaluation of the feasibility and cost effectiveness of the Project. 6.6 CITY's evaluation of the feasibility and cost effectiveness ofthe Project. The COUNTY and CITY shall diligently pursue resolving these contingences upon execution hereof. The Contingency Removal Date shall be March 17, 2007, which is the date all of the contingencies are resolved or waived by either COUNTY or CITY. If the contingencies are not resolved or waived on or before that date, COUNTY and CITY shall pursue the written agreements for the sale of all or a portion ofthe Project Site pursuant to Section 5 above. 7. Sale of Land Contingencies. The COUNTY's and CITY's entrance into the written agreements for the sale of all or a portion of the Project Site pursuant to Section 5 above is contingent upon the following: 7.1 The ability to comply with the "Open-Space Land and Voluntary Conservation Easement Act" and any bond issued thereunder. 7.2 The ability to comply with any relevant Montana law for the purchase and sale of property by a political subdivision. 7.3 The ability to comply with any other relevant Montana law. The COUNTY and CITY shall diligently pursue resolving these contingences upon execution hereof. The Contingency Removal Date shall be 5:00 p.m. Tuesday October 30,2007, which is the date all of the contingencies are resolved or waived by either COUNTY or CITY. If the contingencies are not resolved or waived on or before that date, this Agreement shall be void and CITY shall be entitled to the Land Payment from escrow including all accrued interest. 8. Land Payment Disbursement. The Land Payment shall not be disbursed to COUNTY until such time title vests in the CITY to all or any portion ofthe Project Site. At closing of the transaction to vest title in the CITY the Land Payment shall be made to COUNTY. If the Project or the sale ofland as set forth above does not take place then all of the Land Payment made by CITY shall be returned to it with any accrued interest. 9. Notice. Any notice required or given under this Agreement shall be made by certified mail or personal delivery to the following: To COUNTY: To CITY: County Administrator 311 W. Main Bozeman, MT 597 15 City Manager 411 E. Main Bozeman, MT 59715 10. Binding Effect; Amendment. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. This Agreement shall be amended or modified only as expressly provided in a writing signed by the party against which enforcement of such amendment or modification is sought. 11. Exhibits And Recitals. The various exhibits appended to this Agreement and the opening recitals herein are incorporated herein and for all purposes are a part of this Agreement. 12. Captions. The captions or headings placed upon sections of this Agreement are for convenience only, do not constitute a part ofthis Agreement, and shall not limit or affect in any way the interpretation or construction of this Agreement. 13. Severability. If any part of this Development Agreement shall be found to be invalid or unenforceable, such finding shall not affect the validity or enforceability of any other provisions hereof which can be given effect in the absence of the parts determined to be invalid or unenforceable. 14. Governing Law. All matters relating to the making, enforcement and performance of this Agreement shall be governed by the internal laws of the State of Montana. 15. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute an original and all of which shall constitute one and the same Agreement. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and delivered as of the day and year first above written. GALLATIN COUNTY, MONTANA er, Chairman, Board of County Commissioners ATTEST: ~c /7[(1& Date: It; ////N Charlotte Mills, Clerk and Recorder ~ CITY OF BOZE~ r~ ' Chris A. Kukulski, City Manager ATTEST: I>ate: ~ . . -.- ~- , ,- -'- - ./ - ...- -- /"" .:~ - ~ ~ r;:=.. -- ~ " ------/.. -~ - -~~ -. .-: .- -'..... i i t ~ . i ,~ j J :. J I I'''' '; "I ~!- i ~ ~'" I" l't ;, p,:: ',F i',.,~ r 1 ~:,., ~~'~.!~t ~.~ ;zl~ ! -: 1 ~ :~ ':! ~l ~,~~, "~.. .'. ~ ~!f~ .; , ~ - '-', l ~; " I h.. 4; ~ ~ ti ,'I ~. '-..... %. ~. a, ~ i ~ 1 ,. ~ ~ ; i. ~ "!: ~ ^ :i'l! ~..,. .~, " "1 'i ~ \ -~! :'i-:~J .~~.; ~ & s f' ~ f , .i ~ ' j H_l ~ ~ 12 ii''t, j " "'fh I ii ~ i. f i ~ ~ 7: ~ , , , . 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I ~~ ~. s ~ ~, " ~ ~ 'i ;If' " f: " Lf~~i i........ !,:. ~'.M ~.~......~~.~ b,.., 2 ~ ~ 2~,'~1~J ,~ si i ~ t ~ i~ tV ~ii$ ~ Hi c', nIT '-.1 It.. m I... 'i~:"'....: 1 , 'litl., ~ irl~" ~.,,1}} ~ ~ p~: i:l '" i i ,'- i;21~ nl~ z 'Pi f I!I ;~t .l~ ~W'l .~. 'I~ t~~ "" ~~ II: ;::~ J" .h lIll ""4 ~ a"~ : (';l ~" N~" :=; t, ~ ii' I~' iii .' Ii,,~ _. III ' .. I I i :"~ ~ 'i . - ''1' II!l! I t l: ~ I 1') 'i:! i,~~ ~i;i. ";tl". c :: f~~ i ~ &~r I ~ -. A~ EXHIBIT B REAL ESTATE SALES AGREEMENT City of Bozeman Fire Department Lot With Deposit Receipt This Agreement is entered into by and between the CITY OF BOZEMAN, MONTANA, a political subdivision of the State of Montana ("Buyer"), and GALLATIN COUNTY, MONTANA, a political subdivision ofthe State of Montana ("Seller"). In consideration of the mutual covenants contained herein and other valuable consideration received, and with the intent to be legally bound, Seller and Buyer agree as follows: 1. SALE OF PREMISES. Seller agrees to sell and convey to Buyer, and Buyer agrees to purchase from Seller, the following Premises: [To be determined-See Reservation Agreement] The sale shall include all improvements, fixtures and attached to the Premises and used in connection therewith, if any. 2. PURCHASE PRICE. The purchase price for the Premises is to be paid in cash at closing and is based on a price of $150,000.00 per acre for each square foot of the Premises based on the actual square footage purchased by Buyer. All payments must be with cash or certified funds. Seller acknowledges the sum held in escrow with American Land Title Company, Bozeman Montana pending the closing as a deposit for this transaction pursuant to the Memorandum Of Agreement Joint Development Or Sale Of County Land dated . The deposit will be applied to the purchase price at the closing. 3. DEED. At the time of closing, Seller shall execute a Grant Deed in favor of Buyer, together with a Realty Transfer Certificate as required by the laws ofthe State of Montana. This Deed shall convey good and marketable title to the Property, subject to the exceptions noted in the final title insurance policy, taxes and assessments as herein provided to be paid by Buyer, and any interest or liens which Buyer may permit to attach to the property. Seller, at its sole cost, shall furnish Buyer with a preliminary report or abstract of title from American Land Title Company as soon as possible after the execution of this Agreement. Buyer shall give written notice to Seller of any objections to title within 5 days of receipt of the preliminary report or abstract. 4. CLOSING. The deed will be delivered and the purchase price paid on [To be determined] unless extended in writing by the parties. The closing will be held at American Land Title Company, Bozeman, Montana. The sale will be closed according to the usual and customary closing procedures in effect in the county where the Premises is located. At the closing, Seller and Buyer agree to execute and deliver to the other all instruments required by law or which may EXHIBIT C Page 1 of 5 EXHIBIT B reasonably be requested by the other party or the closing agent. The Buyer shall pay the closing costs. Any encumbrances to be discharged by the Seller shall be paid prior to closing or out of purchase money at closing by closing agent. It is agreed that American Land Title Company, Bozeman Montana shall be the closing agent for this transaction. Upon closing, said agent shall have the authority to credit or debit Seller or Buyer for the prorated taxes assessments and other items of expense provided to be paid by Buyer or Seller, if any. s. MECHANIC'S LIENS. Seller warrants to Buyer that no work has been performed on the Premises for which a mechanic's or materialman's lien could attach. If any work was performed on the Premises for which a lien has or may attach, Seller will obtain and deliver to Buyer appropriate lien waivers and releases executed by all contractors, subcontractors and suppliers. 6. DEFECTIVE TITLE. If Seller shall be unable to deliver title or make conveyance as provided herein, Buyer, at its option, may (i) terminate this Agreement whereupon the deposit shall be refunded to Buyer and all obligations of the parties shall cease, or (ii) waive the defects and accept whatever title Seller is able to convey, without any reduction in the purchase price and as a full performance by Seller. 7. POSSESSION. On the closing, the Premises and all improvements, fixtures and items of personal property, if any, will be delivered to Buyer in their present condition, reasonable wear and tear excepted. 8. ADJUSTMENTS. Current property taxes, regular and special assessments, water and sewer charges, fuel, rents, interest, insurance, operating expenses and other customary matters, if any, shall be prorated between the parties on the closing. 9. Reserved. 10. Reserved 11. CONTINGENCIES: A. USE. The obligations of Buyer under this Agreement are expressly subject to Buyer assuring itself that the Premises may be used to build a fire station in accordance to all applicable law, governmental and zoning regulations and covenants. B. INSPECTION. The obligations of Buyer under this Agreement are expressly subject to Buyer obtaining, at Buyer's expense, satisfactory inspection reports from qualified EXHIBIT C Page 2 of 5 EXHIBIT B professionals. If any such inspections reveal conditions unacceptable to Buyer, Seller may, at its option, repair such conditions or afford Buyer a credit at the closing. If Buyer fails to notifY Seller in writing within days that any ofthe forgoing individual contingencies are not satisfied, Buyer shall be required to perform its obligations under this Agreement and the individual contingency shall lapse. I f Buyer informs Seller in writing that any forgoing individual contingency has not been satisfied then this Agreement shall terminate and any deposit will be refunded to Buyer. 12. BUYER'S DEFAULT. Upon default by Buyer, Seller, at its option, may enforce this Agreement and pursue any and all remedies available at law or equity, including an action for specific performance and damages. 13. SELLER'S DEFAULT. Upon default by Seller, Buyer, at its option, may (i) treat this Agreement as terminated and be entitled to the return of the escrowed deposit, or (ii) enforce this Agreement and pursue any and all remedies available at law or equity, including an action for specific performance and damages. 14. BROKER'S COMMISSION. Seller and Buyer promise that they have not dealt with any broker or finder in connection with this sale. In the event of any claim by any broker or finder, the party who procured such broker or finder will pay the claim in full. 15. ATTORNEY'S FEES. In the event of any litigation or other proceeding between the parties relating to this Agreement, the prevailing party shall be entitled to recover all costs and expenses incurred, including reasonable attorney's fees including that of the Gallatin County Attorney or Bozeman City Attorney. 16. ENTIRE AGREEMENT. This Agreement contains the entire agreement and understanding between the parties and is subject to no understandings, conditions or representations that are not set forth herein. Prior verbal representations or agreements do not modifY or affect this agreement. This Agreement may only be amended in writing and signed by both parties. Time is of the essence in the performance of this Agreement. 17. JOINT AND SEVERAL LIABILITY. Each person signing this Agreement as Seller and Buyer shall be jointly and severally liable for the performance of every term and condition ofthis Agreement. 18. INVALID PROVISION. If any provision of this Agreement shall be invalid or unenforceable, the remaining provisions shall remain in full force and effect. 19. PARTIES BOUND. This Agreement shall be binding upon and shall inure to the benefit of the parties and their respective heirs, legal representatives, successors and assigns. EXHIBIT C Page 3 of 5 EXHIBIT B 20. GOVERNING LAW. This Agreement shall be governed by and enforced in accordance with the laws of the state of Montana. Venue shall be in Gallatin County, Montana. 21. CAPTIONS. The captions in this Agreement are inserted only for convenience and in no way construe or interpret the provisions hereof or affect their scope or intent. 22. ADDITIONAL PROVISIONS: A. Buyer acknowledges that it has had the opportunity to have this Agreement and related documents examined by their own attorney before execution, and that they shall pay their own costs in connection therewith. B. This agreement is binding upon the heirs, executors, administrators, successors and assigns of each of the parties hereto. C. Real property taxes and assessments upon the Property shall be prorated as of the date of closing. Taxes and assessments through the date of closing, and all prior taxes and assessments, shall be paid by Seller. All subsequent taxes and assessments levied against the Property shall be paid by Buyer. It is understood by Buyer that the real estate taxes on the property are subject to change due to new construction, changing assessment values, and tax rates. D. Any facsimile copy of this Agreement with the parties signatures may be used as the original. E. All covenants, agreements, representations and warranties made by Seller or Buyer hereunder or pursuant hereto shall survive the closing and the consummation of the transactions contemplated herein. 23. RIDERS. The riders and exhibits, if any, attached hereto and initialed by the parties are made a part of this Agreement. THIS IS A BINDING LEGAL CONTRACT. IF ANY PROVISIONS ARE NOT UNDERSTOOD, CONSULT AN ATTORNEY BEFORE SIGNING IN WITNESS WHEREOF, this Agreement is executed under seal on this day of ,20_ CITY OF BOZEMAN, MONTANA BUYER: EXHIBIT C Page 4 of 5 EXHIBIT B I/we agree to purchase the above described real property on the terms and conditions set forth C~A-~ GALLATIN COUNTY, MONTANA SELLER: I1we agree to sell and convey to buyer the above described real property on the terms and conditions set forth above. We further warrant that we own the above property and have authority to perform the above agreement. EXHIBIT C Page 5 of 5 EXHIBIT C RESERVATION AGREEMENT City of Bozeman Fire Department Lot This Reservation Agreement ("Reservation Agreement") is made on this _ day of ,200_ by and between GALLATIN COUNTY, MONTANA ("Seller") and CITY OF BOZEMAN, MONTANA ("Buyer"). 1. Reserved Lot. Buyer reserves Exhibit B 1, dated incorporated herein by reference. located in ("Reserved Lot"). on the drawing labeled as Said lot is additionally described as being , PMM, Gallatin County, Montana 2. Reservation Deposit. Previous to the execution of this Reservation Agreement, the Buyer has delivered to American Land Title Company the sum of in the form of the Land Payment as described in the Memorandum Of Agreement Joint Development Or Sale Of County Land dated which shall be referred to as the "Reservation Deposit" herein the receipt of which is hereby acknowledged by Seller. Said Reservation Deposit shall be held in American Land Title Company's Escrow Trust Account until final plat approval for the any subdivision, at which time the parties shall execute a Real Estate Sales Agreement, based upon the terms and purchase price provided herein and in a form significantly similar to that attached as Exhibit A to this Reservation Agreement. Upon receipt of final plat approval, Seller shall provide Buyer notice of said approval. Should Buyer fail to close within ninety (90) days of receipt of notice of final plat approval, this Reservation Agreement and any subsequent Real Estate Sales Agreement executed by the parties shall terminate and Seller shall instruct American Land Title to return the Reservation Deposit to Buyer. Buyer shall be responsible to perform all services and pay all costs to obtain preliminary plat approval to create the Reserved Lot no later than one year from the date of execution of this Reservation Agreement. Seller shall cooperate with Buyer in obtaining preliminary plat approval. Final plat approval shall be obtained within 3 years from the date of preliminary plat approval. If preliminary plat approval or final plat approval does not take place within the time frames set forth above, this Reservation Agreement shall terminate and Seller shall instruct American Land Title Company to return the Reservation Deposit to Buyer. 3. Purchase Price and Payment Terms. In consideration of the Reservation Deposit paid by the Buyer, Seller agrees to sell the Reserved Lot to Buyer, if and when final plat approval is obtained and Buyer agrees to buy the Reserved Lot from Seller for the purchase price as set forth in the Real Estate Sales Agreement and the Memorandum Of Agreement Joint Development Or Sale Of County Land. 4. Reservation Aszreement and Termination. The parties acknowledge that this Reservation Agreement may be terminated by Buyer prior to the Real Estate Sales Agreement being executed. Should Buyer elect to terminate the Reservation Agreement, Buyer shall provide Seller written notice and Seller shall instruct American Land Title Company to return the EXHIBIT B 1 EXHIBIT C Reservation Deposit to Buyer. 5. Bindine: Effect. This Reservation Agreement shall be binding upon and inure to the benefit of the parties hereto, and their respective heirs, personal representatives, successors and assigns. 6. Attorney Fees. In the event it becomes necessary for a party to enforce any of the provisions of this Reservation Agreement through legal action, it is understood and agreed that the prevailing party shall recover said party's reasonable attorney's fee (including fees of the County or City Attorney) together with all costs and expenses pertaining thereto. 7. Severability: Modification. If any provision or paragraph of this Reservation Agreement is adjudged by any court to be invalid, illegal, void, or unenforceable in whole or in part, this adjudication shall not affect the validity of the remainder of this Reservation Agreement, including any other provision or paragraph. Each provision or paragraph of this Reservation Agreement is severable from every other provision or paragraph and constitutes a separate and distinct covenant. This Reservation Agreement may be amended only by a written document executed and acknowledged by both parties. 8. Buver's Default. Upon default by Buyer, Seller, at its option, may enforce this Reservation Agreement and pursue any and all remedies available at law or equity, including an action for specific performance and damages. 9. Seller's Default. Upon default by Seller, Buyer, at its option, may (i) treat this Agreement as terminated and be entitled to the return of the Reservation Deposit, or (ii) enforce this Agreement and pursue any and all remedies available at law or equity, including an action for specific performance and damages. 10. Assignment. No party shall assign or transfer the duties specified herein without the express written consent of the other parties. Any assignment or transfer of a party's duties without the written consent of the other parties shall not relieve the transferring or assigning party from said party's duties as provided herein. 11. Waiver. No waiver of any breach of anyone ofthe terms, conditions, provisions, paragraphs or covenants of this Reservation Agreement by a party shall be deemed to imply or constitute a waiver of any other term, condition, provision, paragraph or covenant of this Reservation Agreement. The failure of a party to insist on strict performance of any term, condition, provision, paragraph or covenant herein set forth, shall not constitute or be construed of as a waiver of the rights of a party to enforce any other default or breach of such term, condition, provision, paragraph or covenant. Such failure by a party to insist upon strict performance of this Reservation Agreement shall not be deemed sufficient grounds to enable a party to forego or subvert or otherwise disregard any other term, condition, provision, paragraph or covenant of this Reservation Agreement. EXHIBIT B 2 EXHIBIT C 12 Governine: Law and Jurisdiction. The laws of the State of Montana shall govern this Reservation Agreement. All lawsuits filed to interpret or enforce the terms and conditions of this Reservation Agreement must be filed in the 18th Judicial District Court, Gallatin County, Montana. 13. Execution in Counterparts. This Reservation Agreement may be executed in counterparts and each counterpart may be taken together to comprise a binding and fully enforceable complete agreement. Fax signatures on this Reservation Agreement shall be deemed an equivalent of original signatures and shall be considered of equal legal binding effect on each of the parties. 14. Complete Agreement. By signing this Reservation Agreement, the parties acknowledge that there are no covenants, promises, undertakings, or understandings outside of this Reservation Agreement, except as specifically set forth herein. Any modification or addition to this Reservation Agreement must be in writing, signed by all parties. IN WITNESS WHEREOF, the parties have set their hands the date and year first above written. GALLATIN COUNTY, MONTANA SELLER: CITY OF BOZEMAN, MONTANA BUYER: ~A~\ EXHIBIT B 3