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HomeMy WebLinkAbout6844RESOLUTION NO. 6844 A RESOLUTION APPROVING AN ESCROW AGREEMENT DATED OCTOBER 24, 1991 BETWEEN PUEBLO, A MUNICIPAL CORPORATION, R.W. WALKER AND COLORADO NATIONAL BANK - PUEBLO. BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, that: SECTION 1. The Escrow Agreement dated October 24, 1991 between Pueblo, a Municipal Corporation, R.W. Walker and Colorado National Bank- Pueblo, a copy of which is attached hereto and incorporated herein, having been approved as to form by the City Attorney, is hereby approved. SECTION 2. The President of the City Council is authorized to execute and deliver the Escrow Agreement in the name of the City and the City Clerk is directed to affix the seal of the City thereto and attest same. INTRODUCED: November 11, 1991 By KENNETH HUNTER Councilperson ATTEST: APP D: r i y Clerk -- . - -2 PRESIDENT OF THE CITY COUNCIL COLORADO NATIONAL BANK �CNB� �aL PUEBLO October 23, 1991 City of Pueblo Pueblo, Colorado This is to confirm that there is a continuation of the Escrow Agreement between the City of Pueblo and R. W. Walker. Funds regarding this agreement are held as Colorado National Bank - Pueblo, Escrow Agent, for R. W. Walker. Sonia Clark Assistant Vice President SC /ef Fifth and Main Mailing Address Pueblo, Colorado 81003 P.O. Box 156 (719) 545 -1331 Pueblo, CO 81002 ESCROW AGREEMENT THIS AGREEMENT, is made on October 24 , 1991, by and among PUEBLO, a Municipal Corporation ( "City ") , R. W. WALKER ( "Subdivider ") , and Colorado National Bank - Pueblo ( "Escrow Agent ") . W I T N E S S E T H: WHEREAS, the Subdivider, doing business as Rancho Del Sol, Inc., formerly owned all lots in Block 1, Rancho Del Sol Subdivision, First Filing, and presently owns all lots in Blocks 1, 3 and 5 of Rancho Del Sol Subdivision, Third Filing ( "the Subdivision "); and WHEREAS, the Subdivider is required to construct the improvements required by Section 12- 4 -7(j) of the 1971 Code of Ordinances of the City of Pueblo, at his sole cost and expense, in accordance with the improvement plans for the Subdivision on file in the City Department of Public Works; and WHEREAS, the Subdivider is also required, under a recorded subdivision improvements agreement ( "Agreement "), to deposit cash or other collateral, computed as provided in the Agreement, with a bank or trust company in the State of Colorado, subject to an escrow agreement; and WHEREAS, the Escrow Agent has agreed to be the depository for such cash or collateral and agrees to pay all or any portion of the escrowed funds to the City upon demand; and WHEREAS, the Subdivider wishes to execute this new Escrow Agreement as required by the Agreement and to renew account number MMIA9103857 with the Escrow Agent with the approximate balance of 1 s $112,600 as the required deposit under the Agreement. NOW, THEREFORE, the Subdivider redeposits and renews with the Escrow Agent account number MMIA9103857, with the approximate balance of $112,600 ( "Escrow Deposit ") , which together with accrued earnings will be paid to the City upon written demand of the City Director of Public Works ( "Director ") to be used by the City in accordance with the Agreement. The Escrow Deposit shall be subject to the following terms and conditions: 1. If a building permit is issued for any building or structure in any lot in the Subdivision, or if the improvements required by the Agreement are not completed by the Subdivider to the satisfaction of the Director before October 24, 1994, the Escrow Deposit and all accrued earnings shall be paid by the Escrow Agent to the City, upon written demand made to the Escrow Agent by the Director before December 24, 1994. 2. If the improvements required by the Agreement are timely completed by the Subdivider to the satisfaction of the Director, the Escrow Deposit, plus any accrued earnings on such account, shall be paid to the Subdivider upon written notice of satisfactory completion given to the Escrow Agent by the Director. 3. If no written demand is made to the Escrow Agent by the Director before December 24, 1994, the Escrow Agent is authorized and directed to return the Escrow Deposit, and any earnings on such funds, to the Subdivider. 4. The Escrow Agent is authorized and directed to renew account number MMIA9103857 under its control and subject to this 2 Escrow Agreement. All earnings on such account shall be retained until paid as provided above and shall be charged to the Subdivider for income tax purposes. 5. The Escrow Agent shall be liable as a depository only. The Escrow Agent shall not be responsible for the sufficiency or accuracy of any document, and it may rely upon any paper or other writing believed by it to be authentic in making any payments of the escrow funds. 6. If there is any disagreement between the City and the Subdivider, the Escrow Agent may withhold all money, property and documents in its possession until a mutual agreement has been reached between the parties or until delivery is authorized by a final judgment or court order. 7. The Escrow Agent shall be entitled to reasonable compensation for its services. It may employ attorneys to reasonably protect the Escrow Deposit and itself. It shall have the right to reimburse itself from the Escrow Deposit in its possession for costs, expenses, attorney's fees and its compensation and shall have a lien on all money, property and documents to pay such amounts. All such fees, costs, expenses and attorney's fees shall be the sole obligation of Subdivider, and upon demand by City, the Subdivider shall reimburse the Escrow Deposit for such amounts. The Escrow Agreement dated November 7, 1988, among the City, the Escrow Agent and Rancho Del Sol, Inc., is cancelled and superseded by this Escrow Agreement. 3 The parties have signed this Escrow Agreement the day and year first above written. PUEBLO, A MUNICIPAL CORPORATION President of the Council ATTEST: City Clerk APPROVED AS TO FORM: City -� STATE OF COLORADO ) SS. COUNTY OF PUEBLO ) The foregoing instrument was acknowledged before me on idovenber 19 , 1991, by Michael Occhiato as President of the City Council and Marian D. Mead as City Clerk of the City of Pueblo Colorado. Witness my hand and official seal. My commission expires: May 2, 1995 . Notary Public 4 SUBDIVIDER: R. W. WALKER STATE OF COLORADO ) SS. COUNTY OF PUEBLO ) The foregoing instrument was acknowledged before me on October, 1991, by R. W. Walker. Witness my hand and official seal. ` ,,•'�`.Y; ! , ; My commission expires: A::2 �L �4.. • Qua ,.�,� -: � G:'�� • q Notary Public 4 ~• '•••...••'' QP Ne terms of this Escrow Agreement are hereby accepted by: COLORADO NATIONAL BANK - PUEBLO U Escrow Officer 5