Agenda - Council - 12/16/2003 - Laserfiche WebLink

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Motion by Councilmember Strommen, seconded by Councilmember Kurak, to adopt Ordinance #03-48 to rezone the proposed plat of Basalt Office Addition from E-1 Employment to PUD, Planned Unit Development. A roll call vote was performed by the Recording Secretary: Councilmember Zimmerman aye Councihnember Kurak aye Councihnember Pearson aye Councilmember Elvig aye Councilmember Strommen aye Councilmember Cook aye Mayor Gamec aye Motion carried. Mayor Gamec recessed the regular City Council meeting at 8:42 p.m. Mayor Gamec called the regular City Council meeting back to order 8:52 p.m. Case #7: Consider Allocation Agreement between RTC, LLC, D.R. Horton, Inc. - Minnesota and the City City Attorney Goodrich reviewed that on September 17, 2003, the City entered into a Master Development Agreement with Ramsey Town Center, LLC ("RTC"). The Development Agreement requires the Developer to obtain City approval prior to transferring title to any land within the RTC Plat to secondary developers. The form of this City approval is what is known as an Allocation Agreement. RTC is negotiating an option to sell approximately 65 acres of the RTC Plat to D. R. Horton. D.R. Horton proposes to build 900 residential units on said 65 acres. The 65 acres comprises approximately two thirds of the land available for residential development in the RTC Plat. Various issues regarding the proposed Allocation Agreement are being negotiated with RTC and D.R. Horton. Certain terms in the Allocation Agreement amend the Development Agreement as to the 65 acres and, therefore, it is a significant document. City Administrator Norman explained that there are two different sets of benchmarks in the Ramsey Town Center development agreement: One dealing with letter of credit and second dealing with the amount of commercial and residential development that can occur. In the agreement between Ramsey Town Center, LLC and D.R. Horton it was requested that the building phases be waived, but the City did not grant the request. City Attorney Goodrich explained that D.R. Horton was entering into an option agreement with Ramsey Town Center, LLC, not a purchase agreement. DR Horton is interested in there being a clear separation between the master developer and residential developer. Much of the language in the Allocation Agreement is dealing with that. D.R. Horton wants to make certain that the City will not take building permits away in the event there is default by the master developer. The City has concluded that that is acceptable because they will have letters of credit in place to address those issues. Besides the Allocation agreement, if DR Horton moves forward, there will City Council/November 25, 2003 Page 15 of 28