HomeMy WebLinkAbout10246ORDINANCE NO. 10246
AN ORDINANCE APPROVING A DEPOSIT AGREEMENT
BETWEEN THE CITY OF PUEBLO, A MUNICIPAL
CORPORATION AND LEGENDS SUBDIVISION, LLC., A
UTAH LIMITED LIABILITY COMPANY, STEPHANIE J.
SUMMERS, DALE MAJORS, AND ALAN ROSE RELATED
TO THE INSTALLATION AND CONSTRUCTION OF
REQUIRED PUBLIC IMPROVEMENTS WITHIN RIVERS
RUN SUBDIVISION AND AUTHORIZING THE MAYOR TO
EXECUTE SAID AGREEMENT
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The Deposit Agreement between the City of Pueblo, a Municipal Corporation and
Legends Subdivision, LLC., a Utah Limited Liability Company, Stephanie J. Summers,
Dale Majors, and Alan Rose, a copy of which is attached hereto, having been approved
as to form by the City Attorney, is hereby approved.
SECTION 2.
The Mayor is authorized to execute and deliver the Deposit Agreement in the name
of the City, and the City Clerk is directed to affix the seal of the City thereto and attest
same.
SECTION 3.
This Ordinance shall become effective on the date of final action by the Mayor and
City Council.
Action by City Council:
Introduced and initial adoption of Ordinance by City Council on July 25, 2022 .
Final adoption of Ordinance by City Council on August 8, 2022 .
President of City Council
Action by the Mayor:
☒ Approved on August 9, 2022 .
□ Disapproved on based on the following objections:
_
Mayor
Action by City Council After Disapproval by the Mayor:
□ Council did not act to override the Mayor's veto.
□ Ordinance re-adopted on a vote of , on
□ Council action on _______ failed to override the Mayor’s veto.
President of City Council
ATTEST
City Clerk
City Clerk’s Office Item # R-13
BACKGROUND PAPER FOR PROPOSED
ORDINANCE
COUNCIL MEETING DATE: July 25, 2022
TO: President Heather Graham and Members of City Council
CC: Nicholas A. Gradisar, Mayor
VIA: Marisa Stoller, City Clerk
FROM: Andrew Hayes, Director of Public Works
SUBJECT: AN ORDINANCE APPROVING A DEPOSIT AGREEMENT BETWEEN
THE CITY OF PUEBLO, A MUNICIPAL CORPORATION AND LEGENDS
SUBDIVISION, LLC., A UTAH LIMITED LIABILITY COMPANY,
STEPHANIE J. SUMMERS, DALE MAJORS, AND ALAN ROSE RELATED
TO THE INSTALLATION AND CONSTRUCTION OF REQUIRED PUBLIC
IMPROVEMENTS WITHIN RIVERS RUN SUBDIVISION AND
AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT
SUMMARY:
The Ordinance will approve a deposit agreement with Legends Subdivision, LLC., a Utah
Limited Liability Company (“Legends”) which allows it to defer the construction and
installation of specified public improvements within the subdivision for up to a year from
the date of its first building permit application within the Phase 2 area of the subdivision.
PREVIOUS COUNCIL ACTION:
The Rivers Run Subdivision plat was approved by City Council under Ordinance No. 7279
on February 28, 2005.
BACKGROUND:
Since the Rivers Run Subdivision was approved by Council in 2005, the first phase of the
subdivision was completed and most of the public improvements in Phase 2 were also
completed by the original developer. Around 2009, the original developer stopped work
and the subdivision went dormant. In 2021, Legends Subdivision became the owner of
the property and has subsequently transferred a minority ownership interest in the land
to several different individuals. Legends Subdivision’s builder has pulled building permits
and completed construction on several existing approved lots within the Phase 2 area.
Their Subdivision Improvements Agreement requires that all required improvements be
installed within 180 days of the application for a building permit or upon the issuance of a
certificate of occupancy for any building, whichever occurs first. In lieu of installing the
improvements within the specified time period, the SIA alternatively allows Legends
Subdivision to deposit cash or other collateral as a guaranty the improvements will be
completed.
In order to keep construction moving forward on the approved lots, the developer has
requested to provide a deposit for the remaining unfinished public improvements. The
unfinished improvements do not impact the lots currently being built upon, but they are
part of the current phase under construction.
After estimating the value of the remaining unfinished improvements, a total deposit of
$155,857.56 is required as a guarantee that the required work will be completed.
FINANCIAL IMPLICATIONS:
Legends Subdivision will provide a deposit of $155,857.56 as its guaranty that required
public improvements in the Rivers Run Subdivision will be installed in a timely manner.
BOARD/COMMISSION RECOMMENDATION:
Not applicable to this Ordinance.
STAKEHOLDER PROCESS:
Not applicable to this Ordinance.
ALTERNATIVES:
Legends Subdivision will not be permitted to apply for additional building permits until
required public improvements are installed unless this agreement is approved by City
Council.
RECOMMENDATION:
Approval of the Ordinance.
Attachments:
Proposed Ordinance
Deposit Agreement
DEPOSIT AGREEMENT
THIS AGREEMENT, made and entered into this Zj day of 4r/4y7 2022 by and
between the CITY OF PUEBLO, a Municipal Corporation, hereinafter referred to as "City", and
LEGENDS SUBDIVISION, 11C, a Utah limited liability company,hereinafter referred to as
"Subdivider".
WITNESSETH:
WHEREAS, Subdivider is the owner and/or developers of Block 3, Lots 33-48; Block
5, Lots 9-30; and Block 6, Lots 40-62 ("Subdividers' Lots") located within the River's Run
Subdivision, City of Pueblo, Colorado and legally described as set forth in Exhibit "A", which
is attached hereto and incorporated herein; and
WHEREAS, Subdivider is required, pursuant to Section 12-4-7(j) of the Code of
Ordinances of the City,to construct certain public improvements including those set forth in
Exhibit ``B", which is attached hereto and incorporated herein; and
WHEREAS, Subdivider's predecessor-in-interest, CSM Investments, LLC, and City
entered into a Subdivision Improvements Agreement dated December 7, 2005 which requires
Subdivider to construct and install at its sole cost all required public improvements within a
specified timeframe; and
WHEREAS, Paragraph 2 of the Subdivision Improvements Agreement requires that
the Subdivider or any subsequent owner of the land or any portion thereof shall deposit cash
or other collateral if said improvements are not installed within the specified timeframe; and
WHEREAS, the Subdivider agrees that the estimate of the City Director of Public
Works to construct and install improvements necessary to satisfy Paragraph 2 of the
Subdivision Improvement Agreement with respect to Subdivider's Lots is reasonable; and
WHEREAS, Subdivider agrees to establish a Deposit Account with the City to
guarantee payment of the costs of installation and construction of said public improvements
according to City's Subdivision Regulations and the Subdivision Improvement Agreement.
NOW THEREFORE, in consideration of the foregoing in consideration of the foregoing
and mutual covenants contained herein, the City and Subdividers agree as follows:
1
Subdivider agrees:
1. To deposit with the City Director of Finance $155,857.56 being an amount equal to
the estimate of the public improvements necessary to satisfy Paragraph 2 of the
Subdivision Improvement Agreement with respect to Subdivider's Lots and the City
Subdivision Regulations. Such estimate and improvements are set forth in Exhibit
"B", which is attached hereto and incorporated herein.
2. To install the required public improvements in said Subdivision as described in.
Exhibit"B".
3. That the funds deposited by Subdivider shall be held by the City in a non-interest
bearing Deposit Account to be established by the Director of Finance who may
disburse said funds only as herein provided. The Director of Finance shall release
from said Deposit Account and pay out therefrom only such deposited funds as
directed in writing by the Director of Public Works. That the funds deposited with
the Director of Finance may be withdrawn at the discretion of the Director of
Public Works upon written request to the Director of Finance.
4. When Subdivider completes all or a portion of the improvements described in Exhibit
"B", Subdivider may apply to the City for a partial or full release of the deposited
funds and, upon written notice of the City's Director of Public Works to the Director
of Finance, the Director of Finance shall release said funds to the Subdivider as
directed by the Director of Public Works.
5. In the event that Subdivider fails to install all or any part of the required public
improvements described in Exhibit "B" on or before one (1) year from the date of
application for the first building permit issued on any of the Subdivider's Lots, the
Director of Public Works may, upon written notice to the Director of Finance,
withdraw the deposited funds to complete all or any part of the said improvements.
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II. The City agrees:
6. To have the Director of Public Works or his designee periodically inspect said
improvements while under construction and inspect completed improvements within
a reasonable time after receiving written notice that the improvement has been
completed. The Director of Public Works shall notify Subdivider within 10 days after
inspection of the required public improvements if the same are satisfactorily
completed and approved by the City and if so satisfactorily completed and approved,
the Director of Public Works shall authorize a partial release and payment of said
escrowed funds to be made to Subdivider in an amount determined by the Director of
Public Works based on the percentage of improvements completed and approved.
III. The City and Subdivider agree:
7. That this Deposit Agreement shall constitute full satisfaction of the covenants set
forth in Paragraph 2 of the Subdivision Improvement Agreement with respect to
Subdivider's Lots only. Nothing contained herein is intended to be, relied upon or
otherwise act as an amendment of the Subdivision Improvement Agreement.
CITY OF PUEBLO
By:. (,..64,___A:A.,,ee,.4:7
Nicholas A. Gradisar, Mayor
Subscribed and sworn to before me this 0.2/ day of , 2022.
My commission expires: h /,o/20.3
Eilene Tracey Sample �� 1 .f, /
NOTARY PUBLIC •
��siti _ .it-a-
Notary
lQ
STATE OF COLORADO
NOTARY ID# 20074038010 Notary Public
MY COMMISSION EXPIRES 101012023
3
LEGENDS SUBDIVISION, LLC
By: 4a. rt-zzi
Subscribed and sworn to before me this 2 j Si day of e p+e m h p,� , 2022.
My commission expires: 7 IaU I Q bob
ASHLEY VETOS
NOTARY PUBLIC•STATE OF COLORADO Notary Public
Notary ID#20214029959
My Commission Expires 7/28/2025
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EXHIBIT "A"
A parcel of land being a portion of Mattice and Gibson's Addition, filed for record November 10, 1899,
in Book 13 at Page 17, in the records of the Pueblo County Clerk and Recorder, and a portion of the SW
1/4 of Section 32, Township 20 South, Range 64 West of the Sixth Principal Meridian, being more
particularly described as follows:
BEGINNING at a point on the easterly line of said Mattice and Gibson's Addition, from which the
southwest corner of said Section 32 bears S 02°05'32" E (Bearings based upon the Colorado State Plane
Coordinate System, South Zone,North American Datum 1927; said bearings based upon the line between
the said southwest corner of Section 32, also known as Pueblo County GPS Monument No. 1405, being
a Lead Plug and Tack in a Stone, in a cast iron monument box, and Pueblo County GPS Monument No.
7, being a No. 7 rebar, which bears S 04°32'49" E), a distance of 88.20 feet, said point being the north
corner of that portion of said Section 32, described in that document filed for record January 9, 1967, in
Book 1608 at Page 04, in the records of the Pueblo County Clerk and Recorder; thence N 34°23'10" W
a distance of 74.87 feet to the northeast corner of Block 57 of said Mattice and Gibson's Addition;thence
continuing N 34°23'10" W a distance of 18.28 feet to a point on the northeasterly line of that portion of
Block 56 of said Mattice and Gibson's Addition, described in said, in Book 1608 at Page 04, if produced
southeasterly, said line also being the northeasterly right of way line of Colorado State Highway No. 227
(also known as Joplin Street); thence northwesterly along the northeasterly lines of the parcels described
in said Book 1606 at Page 04,and said right of way line of Colorado State Highway No.227 the following
eight(8) courses:
1. N 69°44'22" W a distance of 370.01 feet to a point on the westerly line of said Block 56;
2. N 66°30'49" W a distance of 89.17 feet, to the northeast corner of Lot 28 in Block 55 of said Mattice
and Gibson's Addition;
3. N 75°20'09" W a distance of 53.30 feet, to the southwest corner of Lot 2 in said Block 55;
4. N 61°45'08" W a distance of 232.68 feet,to the northwest corner of Lot 10 in said Block 55;
5. N 34°41'14" W a distance of 94.24 feet, to the southeast corner of Lot 16 in Block 51 of said Mattice
and Gibson's Addition;
6. N 09°37'55" W a distance of 257.91 feet, to the northeast corner of the west 20.00 feet of Lot 14 in
said Block 51;
7. N 09°52'53" W a distance of 80.62 feet to the southeast corner of the west 10.00 feet of Lot 15 in
Block 48 of said Mattice and Gibson's Addition;
8. N 02°45'22" W parallel with the west line of said Block 48,a distance of 266.08 feet,to a point 10.00
feet northerly, and perpendicular to the north line of said Block 48, said point being on the north line of
the southerly portion of vacated Fir Street, according to the recorded Road and Alley Vacation Plat
thereof, in the records of the Pueblo County Clerk and Recorder;
Thence along said north line of southerly portion of vacated Fir Street the following two (2) courses:
1. N 87°14'15"E a distance of 53.34 feet;
2. Along the arc of a curve to the right, having a radius of 220.00 feet, a central angle of 17°20'29", a
distance of 66.59 feet, to a point on said north line of Block 48;
Thence N 87°14'15" E, along said north line, a distance of 119.63 feet to a point on the south line of the
northerly portion of said vacated Fir Street, thence along said south line along the arc of a non-tangent
A-1
curve to the left, whose center bears S 38°38'50" W, having a radius of 280.00 feet, a central angle of
14°38'39",a distance of 71.56 feet to a point on the centerline of vacated Fir Street, according to the said
recorded Road and Alley Vacation Plat thereof; thence N 87°14'15" E, along said centerline, a distance
of 61.19 feet, to a point on the west line of Lot 25 in Block 43 of said Mattice and Gibson's Addition, if
produce southerly; thence N 02°44'04" W, along said west line, a distance of 167.99 feet to the center
line of the vacated alley in said Block 43, according to the said recorded Road and Alley Vacation Plat
thereof;thence N 87°14'24"E,along said centerline,a distance of 140.88 feet,to a point on the centerline
of vacated Kingston Avenue (platted as Capitol Street), according to the said recorded Road and Alley
Vacation Plat thereof; thence N 02°43'33" W, along said centerline, a distance of 127.98 feet, to a point
on the south right of way line of vacated Evergreen Street(platted as Elm Street), according to ordinance
Number 1228, dated April 4, 1927; thence S 87°14'33" W, along said right of way line, a distance of
40.00 feet to the northeast corner of said Block 43; thence N 02°43'33" W a distance of 80.00 feet to the
southeast corner of Block 40 of said Mattice and Gibson's Addition, said point being on the southerly
right of way line of the AT& SF Railroad; thence easterly along said right of way line the following five
(5) courses:
1. N 87°14'33" E a distance of 485.97 feet to a point on the east line of said Mattice and Gibson's
Addition;
2. N 02°05'32" W, along said east line, a distance of 29.50 feet;
3. N 87°55'43" E a distance of 722.25 feet;
4. N 02°04'17" W a distance of 113.00 feet;
5. N 87°55'43" E a distance of 604.30 feet to a point on the west line of Wiley and Chamberlain's
Subdivision, filed for record June 9, 1887, in Book 2A at Page 40, in the records of the Pueblo County
Clerk and Recorder;
Thence S 02°04'17"E,along said west line,a distance of 1462.39 feet to a point on the apparent northerly
right of way line of Portland Avenue; thence along said right of way line the following two (2) courses:
1. Along the arc of a non-tangent curve to the right, whose center bears N 28°09'59" W, having a radius
of 1785.73 feet, a central angle of 28°02'57", a distance of 874.20 feet;
2. S 88°59'51" W a distance of 470.34 feet, to a point on the easterly line of said portion of Section 32
described in Book 1608 at Page 04;
Thence N 37°45'25" W,along said easterly line,a distance of 20.65 feet to the POINT OF BEGINNING;
Said Parcel contains 69.60 acres, more or less.
A-2
EXHIBIT "B"
Subdividers shall deposit funds in the amount of$155,857.56 with the City's Director of Finance as the
Subdividers' guarantee of the completion of the public improvements listed below:
Description Estimated Cost
Construction of Georgann Lane including pavement, curb and gutter, sidewalk, $95,404.05
water main, wastewater main, and streetlighting in accordance with approved
Subdivision construction drawings.
Perform pavement crack sealing to repair existing paved sections of Fir Street, $29,282.24
Rivers Run Avenue, Georgann Court, Bradley Street, Brewery Road, and Pineda
Court.
Additional 25% of estimated construction cost as required per Pueblo Municipal $31,171.57
Code §12-4-7 (j) (1)
TOTAL AMOUNT OF DEPOSIT $1.55,857.56
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