Annex Applequist Tract
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!R. I t£ mmv KANSAS
Book: 1059 Page: 1806
AN AGREEMENT REGARDINdr~!~~~~71' lotal Fees: $44..
THE ANNEXATION OF THE APPLEQUI~ IIIIt\LR~rded: 9/16/2883 3:11:85 PM
LOCATED AT THE SOUTHWEST CORNER
SCHILLING ROAD AND OHIO STREET
This Annexation Agreement ("Agreement") is made and entered into this 2.y+h day of June,
2003 by and between the City of Salina, Kansas, a municipal corporation, hereinafter referred to
as "City" and South Ohio Land, LLC., hereinafter referred to as "Owner".
RECITALS
I.
Owner is the owner of a 146 acre tract of land located in the Northeast Quarter of Section
One (1), Township Fifteen (15) South, Range Three (3) West of the Sixth Principal Meridian in
Saline County, Kansas, hereinafter referred to as the "Applequist Tract" and more specifically
described on the attached Exhibit "A" and depicted on the attached Exhibit "B".
II.
The Applequist Tract is currently shown as a Primary and Secondary Service Area for the
extension of city utilities and services.
III.
The Applequist Tract is not currently served by public water and sanitary sewer lines except
for an 8.66 acre tract in the northwest corner of the property which is legally described as Lot One
(1), Block One (1) of the Liberty Addition.
IV.
A fully looped water distribution system extending from the intersection of Magnolia Road and
Ohio Street south to Schilling Road and then west to the Union Pacific Railroad tracks must be
installed in order for any additional development to occur on the Applequist 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 water main, sanitary sewer, public street and drainage improvements serving
the Applequist Tract at the time of actual development and to dedicate needed land for public street
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.
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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 south half of the Applequist Tract
changed from a Secondary Service Area to a Primary ServiGe 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) be amended to show the north half of
the Applequist Tract as Commercial and Office.
2. Annexation by City. The City concurrently with approval of this agrel3ment agrees to
annex the Applequist Tract into the corporate limits of the city.
3.
Improvements to the City's Water Distribution System. Owner understands and
acknowledges that the Applequist 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 cannot provide fire protection or issue building
permits for new residential development.
City agrees to design and initiate construction of a new 12 inch water line connection to the
existing 16 inch line near the intersection of Magnolia Road and Ohio Street, to construct
approximately 1 mile of new 12 inch water line along the east side of Ohio Street south to Schilling
Road, to construct approximately one half mile of new 12 inch line west under Ohio Street and west
along the north side of Schilling Road to the Union Pacific Railroad tracks and to extend this 12
water line under the tracks to connect to the existing system on the west side of the Union Pacific
Railroad.
This looped water system will be complete and operational by June 1, 2004.
To accommodate office development on the 8.66 acre tract in the northwest corner of the
property, the City will initiate the first phase of the looped system (an extension of a 12 inch water
line east under the railroad tracks) to provide water service to the proposed office site. This initial
phase of water line extension will be in place by October 1, 2003. The Owner will be responsible
for extending a private service line or public water main under Schilling Road to serve the proposed
office site.
Owner agrees to pay one third of the construction cost of the above described looped water
system as a cost recovery fee or charge based on the equivalent cost of a 6 inch water main.
Payment of the fee to the City shall be made at the time a building permit is issued and the amount
of the charge shall be based on the acreage of the legally described parcel for which the permit is
being issued. For the 8.66 acre tract in the northwest corner of the property, Owner may obtain a
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building permit prior to completion of the looped system, with payment of its proportionate share
of the water line cost due at the time that the final project cost is determined by the City.
Owner understands and acknowledges that Owner will be responsible for <connecting to the
looped water system and extending water lines south into the Applequist Tract. These internal
public water line extensions shall be financed privately by Owner or may be publicly financed over
a 15 year period through the creation of a special assessment benefit district.
4.
Sanitary Sewer Extension. Owner understands and acknowledges that the Applequist
Tract is not presently serviceable by the City's public sanitary sewer system except for a 8.66 acre
tract at the northwest corner of the property. Owner understands and acknowledges that a public
sanitary sewer system is needed to make owner's property developable. Owner understands and
acknowledges that the Applequist Tract will be made sewerable by the construction two (2) 12 inch
sanitary sewer lines that will be installed starting at the north end of the center of the tract and
extend south parallel to and on either side of a proposed north-sough drainage ditch. These 12"
gravity lines would extend south into the property owned by the Salina Economic Development
Corporation (SEDC) and connect to a single 15" gravity pipeline which would extend west to the
east right-of-way of the Union Pacific Railroad south to an existing sewer pump station (Pump
Station 35) located on the east side of the Union Pacific Railroad tracks, north of Crestwood
Cabinets. Owner acknowledges and understands that the reason for the twin SE3wer lines is the
depth of the proposed north-south drainage ditch (7-8 ft.) which can not be crossed by sewer lines
without those lines being exposed above the bottom elevation of the ditch.
To accommodate office development on the 8.66 acre tract in the northwE~st corner of the
property, the City will allow Owner to tap into an existing sanitary sewer manhole on the south side
of Schilling Road east of the Union Pacific railroad tracks. Owner understands and acknowledges
that Owner or its successors, heirs and assigns will be obligated to pay a hook up charge of
$7,538.25 at the time of the issuance of a building permit for this 8.66 acre tract.
Owner agrees to pay its proportionate share of the cost of extending two (2) 12 inch sanitary
sewer lines from Pump 35 to the northern portion of the Applequist Tract. Owner agrees to pay it
proportionate share of the construction cost of the above described sanitary sewer system either
through participation in a special assessment benefit district or as a cost recovery fee or charge
based on the cost of installing two (2) 12 inch sewer lines. If Owner's share is paid as a cost
recovery fee, payment of the fee to the City shall be made at the time a building permit is issued
and the amount of the charge shall be based on the acreage of the legally described parcel for
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which the permit is being issued.
5.
Street Improvements. Owner understands and acknowledges that s,chilling Road was
reconstructed to City street standards with public funds in advance of development of abutting
property and that abutting properties were not assessed for the cost of rebuilding the road at the
time of construction. Owner acknowledges and understands the Applequist Tract is subject to a
Schilling Road Capital Cost Recovery Charge to pay for its proportionate share of the
reconstruction cost. The Cost Recovery Charge is set at $.0376 / sq. ft. of land area or $1,638
acre. Payment of the fee shall be made at the time a building permit is issued and the amount of
the charge shall be based on the acreage of the legally described parcel for which a building permit
is issued.
City agrees to neither special assess nor charge a fee to any property within the Applequist
Tract for any costs associated with the future reconstruction of Ohio Street.
Owner understands and acknowledges that owner will be responsible for the design and
construction of internal public streets serving individual building lots within the Applequist Tract.
The cost of constructing 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.
DrainaQe. Owner understands and acknowledges that the Schilling Road Ditch on the
south side of Schilling Road was constructed with public funds and that abutting property owners
were not assessed for the cost of constructing the ditch at the time of construction. Owner
acknowledges that surface runoff from the Applequist Tract drains directly into th~3 Schilling Road
Ditch. Owner understands and acknowledges that the Applequist Tract is subject to the Schilling
Road Ditch Capital Cost Recovery Charge to pay its proportionate share of the cost of constructin
the ditch. This drainage impact fee is set at $.23/cu. ft. of additional runoff. Additional runoff refers
to the difference between the volume of runoff that comes off the property today in its agricultural
state and the amount of runoff generated by the property upon full developmEmt of the site.
Payment of the fee will be collected at the time a building permit is issued and thl3 amount of the
fee shall be determined by the City Engineer based on a drainage analysis of the proposed building
site prepared by a licensed professional engineer.
Owner understands and acknowledges that off-site runoff currently passes through the
Applequist Tract from south to north. Owner agrees to maintain this drainage pattE~rn and in order
to accommodate existing and future runoff agrees to dedicate a 120 ft. wide strip of land to the City
as public drainage / utility right-of-way on the plat of Liberty Addition No.2.
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In exchange for this dedication of right-of-way, the City agrees to desi!~n and construct
a drainage ditch within this dedicated right-of-way, to design and pay for the cost of constructing
two (2) street crossings over the ditch to take full responsibility for maintenance of the ditch in
perpetuity as a public improvement. Future building lots within the Applequist Tract subject to the
Schilling Road Drainage Impact Fee would not have to provide their own stormwater detention
facilities and would be permitted to discharge their additional runoff into the ditch without the
payment of a drainage impact fee. In addition, the City agrees to make the excavation material
from construction of the ditch available to Owner at no charge for use as fill material for building
pads within the Applequist Tract.
Owner understands and acknowledges that Owner will be responsible for the design
and construction of internal storm drainage improvements associated with the public street system
within the Applequist Tract. These internal storm drainage improvements (inlets, pipelines and
flumes) shall be financed privately by Owner or 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 bHnefit 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 Gompleted public
improvements.
8.
Term. This Agreement shall commence on the date first stated above and shall remain
in effect until the Applequist 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 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.
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9.
Bindina Effect. The benefits and burdens of this agreement are inte!nded 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. Governina 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 Agreeme!nt, 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 !~ender 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 between 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 Comprøhensive Plan
amendment requested by the Owner promote the public health, safety, and welfare so long as
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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 in its legislative authority rezone the Applequist Tract or any portion thereof to its
previous designations or such other designations as the City may deem appropriate under the then
existing circumstances, or take such other 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 agmes 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.
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 Regiister of Deeds in
Saline, County, Kansas at City's cost and expense.
IN WITNESS WHEREOF, the parties hereto have executed this AgreE~ment on the day
and year first written above.
:
THE CITY OF SALINA, KANSAS
A Municipal Corporation
ATTEST-: rJ ! ?
~~
City Clerk,
by
STATE OF KANSAS, SALINE COUNTY, ss:
-"f-/L. ~
BE IT REMEMBERED, that on this / day of -' 2003, before
me, the undersigned, a notary public in and for the county and st te a~ resaid, came Alan E. Jilka,
Mayor of the City of Salina, Kansas, and Lieu Ann Nicola, 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.
\-f~ ~
Notary Public
KIM FISHER
.å. "IOTARY PU8LIC
~¡TATE OF KANSAS
II MYAPPI.up//)-8D"'~
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South Ohio Land, LLC.
/ .~_.
Roy E. Ap leqUlst, Manager
STATE OF KANSAS
COUNTY OF SALINE
)
) ss.
)
The foregoing instrument was acknowledged before me this 2;.f day of :~
by Roy E. Applequist on behalf of South Ohio Land, L.L.C.
,2003,
~?I . .
Notary Public ~
-' ..,
. ~: :;:::LDù;~ A. rviUNIN~¡:::~ I
~-á.. NO. tar¡ Public. State of Konoùs !
,~ :] r:." !'.""t. E"~:res 1-2,/-07 .
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8
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EXHIBIT "A"
The property that is the subject of this agreement is legally described as Lot 1, Block 1,
Liberty Addition to the City of Salina, Saline County, Kansas, and the Northeast Quarter
of Section One (1), Township Fifteen (15) South, Range Three (3) West of the Sixth
Principal Meridian in the City of Salina, Salina County, Kansas lying east of the Union
Pacific Railroad Right-of-Way, less that portion platted as the Liberty Addition and that
portion taken by the City of Salina for road and drainage right-of-way.
815
EXHIBIT B
Applequist Tract
Annexation I
Area
SCHILLING RD
~
1 Inch = 600 Feet
LfLf ~ 12-(Y) 'J-\:)\.o - cJnd\f