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Annexation Grand Avenue r , , '. , , AN AGREEMENT REGARDING THE ANNEXATION OF THE GEOPROBE TRACT LOCATED ON THE NORTH SIDE WEST GRAND AVENUE This Annexation Agreement ("Agreement") is made and entered into this 14+h day of - ~, 2004 by and between the City of Salina, Kansas, a municipal corporation, hereinafter referred I. REBECCA SEEMAN C REGISTER IF DEEDS t..J / SALINE COIJfTV KANSAS I" Book: 1091 Page: 1633 Receipt i: 21034 Total Fees: $40.00 Pages Recorded: 9 Date Recorded: 11/4/2004 3:29:28 PÞI to as "City" and Kejr, Inc., hereinafter referred to as "Owner". RECITALS Owner is the owner of the East Twenty-Three and One Tenth (23.1) Acres of the West Seventy- Three and One Tenth (73.1) Acres of the North Half (N/2) of the Northwest Quarter (NW /4) of Section Eleven (11), Township Fourteen (14) South, Range Three (3) West of the Sixth Principal Meridian in Saline County, Kansas, hereinafter referred to as the "Geoprobe Tract" and more specifically described on the attached Exhibit "A" and depicted on the attached Exhibit "B". II. The Geoprobe Tract is currently shown as a Secondary Service Area for the extension of city utilities and services and as suitable for future low density residential development in the City of Salina's Future Land Use Plan. III. The Geoprobe Tract is not currently served by public water and sanitary sewer lines. IV. A public water distribution system extending from Broadway Boulevard to the west down Grand Avenue must be installed in order for development to occur on the Geoprobe Tract. V. Owner has made a request to be annexed into the corporate limits of the City of Salina, Kansas, and the City is agreeable to such annexation provided there is an agreement acknowledging that Owner and its successors, heirs and assigns will be obligated to pay its proportionate share of the cost of water main improvements serving the property at the time of installation and the cost of sanitary sewer, public Book: 1091 Page: 1634 r ' , , , .and' drainage improvements serving the property at the time of actual development and Owner agrees to dedicate needed land and easements for public street, utility and drainage improvements. VI. This agreement is being entered into pursuant to the authority granted by K.S.A. 12 - 535. NOW THEREFORE, IN CONSIDERATION of the mutual covenants contained herein, the parties do agree as follows: 1. Amendment of Comprehensive Plan. The City concurrently with approval of this agreement agrees to amend the Comprehensive Plan of the City of Salina as follows: a. That the Salina Service Area Map (Figure 18, P, 172) of the Comprehensive Plan of the City of Salina be amended to show the Geoprobe Tract changed from a Secondary Service Area to a Primary Service Area for the extension of City utilities and services and eligibility for special assessment financing. b. That the Land Use Map (Figure 11, P. 107) amended to show the Geoprobe Tract as future industrial. 2. Annexation by City. The City concurrently with approval of this agreement agrees to annex the Geoprobe Tract into the corporate limits of the city. 3. Improvements to the City's Water Distribution System. Owner understands and acknowledges that the Geoprobe Tract is not presently serviceable by the City's public water system. Owner further understands and acknowledges that without the public water system being extended to serve the Owner's property, the City can not provide fire protection or issue building permits for new development on the property. City has plans in 2005 to design and initiate construction of a new 12 inch water line connection to the existing 12 inch line near the intersection of Broadway Boulevard and Grand Avenue and to construct approximately 3,200 lineal feet of new 12 inch water line extending west along the north side of Grand Avenue. At some point in the future the City may construct an additional 12 inch water line west on North Street to connect to the 12 inch line in Grand Avenue to create a looped system. Timing of this project is dependent upon availability of financing and the extent of development in this area. 2 Book: 1091 Page: 1635 . " Owner agrees to dedicate necessary utility easements and pay its proportional share of the above described water system through participation in a special assessment benefit district under K.S.A. 12- 6901 et seq. based on the cost of installing the 12 inch water line. Owner understands and acknowledges that Owner will be responsible for connecting to the public water system and extending public water lines into the Geoprobe Tract to serve individual building lots within the tract. These internal public water line extensions shall be financed privately by Owner or may be financed over a 15 year period through the creation of a special assessment benefit district under K.S.A. 12-6a01 et seq. 4. Sanitary Sewer Extension. Owner understands and acknowledges that the Geoprobe Tract is not presently serviceable by the City's public sanitary sewer system. Owner understands and acknowledges that a public sanitary sewer system is needed to make Owner's property developable with uses or processes that require access to a public sewer system. Owner agrees to pay its proportionate share of the cost of constructing a public sanitary sewer collection system to serve Owner's property through participation in a special assessment benefit district. If a special assessment benefit district for the above described sanitary sewer system is established under K.S.A. 12-6a01 et seq. the assessment levied on the Geoprobe Tract shall be deferred until such time as the property is platted. Owner understands and acknowledges that Owner will be responsible for the design and construction of internal sanitary sewer lines needed to serve individual building lots within the Geoprobe Tract. If these are public sanitary sewer line extensions they may be financed privately by Owner or may be financed over a 15 year period through the creation of a special assessment benefit district under K.S.A. 12-6a01 et. seq. 5. Street Improvements. Owner understands and acknowledges that Grand Avenue was not constructed to City street standards and does not meet City standards in its present condition. Owner agrees to dedicate the necessary right-of-way for Grand Avenue through the platting process. Owner 3 . Book: 1091 Page: 1636 . . .herét1y consents to participation in a future special assessment benefit district for improvements to Grand Avenue. If a special assessment benefit district for Grand Avenue is established under K.S.A. 12-6a01 et seq. the assessment levied on the Geoprobe Tract shall be deferred until such property is platted. Owner understands and acknowledges that Owner will be responsible for the design and construction of internal public streets serving individual building lots within the Geoprobe Tract. The cost of constructing internal streets shall be financed privately by the Owner or may be publicly financed over a 15 year period through the creation of a special assessment benefit district. 6. Drainage. Owner understands and acknowledges that Owner will be responsible for the design and construction of internal storm drainage improvements within the Geoprobe Tract. These internal storm drainage improvements (detention basins, inlets, pipelines and flumes) shall be financed privately by Owner. Any public drainage improvements may be publicly financed over a 15 year period through creation of a special assessment benefit district. 7. Cost Defined. The words and phrases "cost" or "entire cost" shall be defined in generally the same manner as defined in K.S.A. 12-6a01(d), which specifies how final costs are determined for public improvements financed through a special assessment benefit district. In addition, for purposes of this Agreement, the deferred cost paid at the time of building permit issuance for future building lots as identified in a Capital Cost Recovery Ordinance, shall include an annual adjustment or escalator based on the interest rate on City of Salina 15-year General Obligation Bonds sold most closely to the date of final cost establishment for completed public improvements. 8. Term. This Agreement shall commence on the date first stated above and shall remain in effect until the Geoprobe Tract has been fully developed in accordance with its terms; provided, however, the parties acknowledge that K.S.A. 12-535 limits to a term of ten years those provisions of this Agreement that guarantee the apportionment of the costs of improvements made in the area to be annexed between the city at large and the area to be annexed. For that reason, the parties agree that nine years from the commencement of this Agreement the parties shall (a) cooperatively initiate a review 4 Book: 1091 Page: 1637 . . . .of any remaining matters which require apportionment of the costs of improvements to be made in the area to be annexed and (b) enter into such further agreements as may be necessary to fairly address such apportionment of the costs of the improvements. 9. Bindinq Effect. The benefits and burdens of this agreement are intended to attach to and run with the land and shall be binding on and inure to the benefits of the parties and their respective heirs, successors and assigns. All persons claiming under the parties shall conform to and observe the provisions of this Agreement. 10. Amendments. This Agreement may only be amended or modified in writing signed by the parties to this agreement. 11. Further Assurances. Each party will use its best and reasonable efforts to successfully carry out and complete each task, covenant, and obligation as stated herein. Each of the parties shall cooperate in good faith with the other and shall do any and all acts and execute, acknowledge, and deliver any and all documents so requested in order to satisfy the conditions set forth herein and carry out the intent and purposes of this Agreement. 12. Governinq Law. All aspects of this Agreement shall be governed by the laws of the State of Kansas. The invalidity of any portion of this Agreement shall not invalidate the remaining provisions. 13. Interpretations. Any uncertainty or ambiguity existing herein shall not be interpreted against either party because such party prepared any portion of this Agreement, but shall be interpreted according to the application of rules of interpretation of contracts generally. 14. Construction. Whenever used herein, including acknowledgements, the singular shall be construed to include the plural, the plural the singular and the use of any gender shall be construed to include and be applicable to all genders as the context shall warrant. 15. Relationship of Parties. Neither the method of computation of funding or any other provisions contained in this Agreement or any acts of any party shall be deemed or construed by the City, Owner, or by any third person to create the relationship of partnership or of joint venture or of any association 5 Book: 1091 Page: 1638 . 0 .betwè-en the parties other than the contractual relationship stated in this Agreement. 16. Assiqnment. In the case of the assignment of this Agreement by any of the parties, prompt written notice shall be given to the other parties who shall at the time of such notice be furnished with a duplicate of such assignment by such assignor. Any such assignment shall not terminate the liability of the assignor to perform its obligations hereunder, unless a specific release in writing is given and signed by the other parties to this Agreement. 17. Default. Owner and City agree that the annexation and Comprehensive Plan amendment requested by the Owner promote the public health, safety, and welfare so long as Owner fulfills all of the conditions and responsibilities as set forth in this Agreement. In the event Owner defaults in fulfilling any of its covenants and responsibilities as set forth in this Agreement, the City may take such remedies, legal or equitable, which the City may have to enforce this Agreement or to obtain damages for its breach. 18. Essential Nexus. The parties agree that an essential nexus exists between the annexation and Comprehensive Plan amendment requested by the Owner and the City's requirement that Owner pay its proportionate share of the water main, sanitary sewer, public street and drainage improvements benefiting Owner's property. Further, Owner agrees that the cost responsibilities imposed upon Owner by this Agreement are roughly proportional, both in nature and extent to the benefit received by Owner's property from the installation of public water and sanitary sewer lines and reconstruction of Grand Avenue. Nothing in this agreement shall be construed as limiting the police power of the City to enact future regulations that apply to the development. Recordation. This Agreement shall be filed in the Office of the Register of Deeds in Saline, County, Kansas at City's cost and expense. 6 Book: 1091 Page: 1639 , "IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first written above. THE CITY OF SALINA, KANSAS A Municipal Corporation ATTEST: ~ City Clerk by KEJR, INC. A Kansas Corporation by rn~~ }{~~ Melvin Kejr, President STATE OF KANSAS, SALINE COUNTY, ss: BE IT REMEMBERED, that on this J.!:itb day of , 2004, before me, the undersigned, a notary public in and for the county and state afore aid, came Melvin Kejr, President of Kejr, Inc., who is personally known to me to be the same person who executed as such officer the within instrument of writing on behalf of the City of Salina, Kansas, and such person duly acknowledged the execution of the same to be the act and deed of said corporation. IN TESTIMONY WHEREOF, I hereunto set my hand and affixed my official seal the day and year last above written. ft. MICHELE A. HAGEN ~ Notary Public - Sta e of nsas My Appt. Expires 12 - -» ;, Ju1u dlCli2;~ Notary Public STATE OF KANSAS, SALINE COUNTY, ss: BE IT REMEMBERED, that on this /..gf day of ~. 'é)1L&.'/ , 2004, before me, the undersigned, a notary public in and for the county and state aforesaid, came Monte Shadwick, Mayor of the City of Salina, Kansas, and Lieu Ann Elsey, City Clerk, who are personally known to me to be the same persons who executed as such officers the within instrument of writing on behalf of the City of Salina, Kansas, and such persons duly acknowledged the execution of the same to be the act and deed of said City. IN TESTIMONY WHEREOF, I hereunto set my hand and affixed my official seal the day and year last above written. KIM FISHER ..i. NOTARY PUBLIC STATE OJ: KANSA,~ III MyAppt",xPII.x.:X:.ih LD h:7~ 1~-1/J¡~/ Notary Public 7 Book: 1091 Page: 1640 . . . EXHIBIT A The Geoprobe Tract is legally described as: The East twenty-three and one tenth (23.1) acres of the West seventy-three and one tenth (73.1) acres of the North Half (N/2) of the Northwest Quarter (NW /4) of Section Eleven (11), Township Fourteen (14), South, Range Three (3) West, of the sixth (6th) Principal Meridian, Saline County, Kansas. Exhibit B Book: 1091 Page: 1641 Geoprobe Tract ~ a.' a . : a~ : a..a.a 1 Inch = 600 Feet !J()~ dty clerk - ~(¡d Y