RES 88398 - Laserfiche WebLink

EXHIBIT F RULES OF SPREAD OF BENEFIT The spread of costs between properties is based upon two findings: 1. General Principle That the whole combination of infrastructure improvements, as listed in Exhibit A, such as road, water, storm drain, sanitary sewer, etc. is necessary to permit the development of additional housing units within the Benefit Area. Therefore, the City Council finds that the extent of benefit of Improvements to parcels within the Benefit Area is equal to the number of additional housing units which are developed on those parcels within the next ten years. (See formula below) 2. Interim Water Improvements The water pump station, as listed on Exhibit A, is potentially an interim improvement which may be replaced or supplemented during the term of this Agreement by a water tank on upper elevations within lands owned by Presley Homes. In conjunction with requiring the owner of the Presley (Schwerin) site to construct a water tank, the City would establish another Benefit Area which can be expected to include lands within the Benefit Area established by this Agreement. After formation of a benefit district for the water tank, and only for lands located within both Benefit Areas, the reimbursement fee pursuant to this Agreement will be reduced by the prorata share of the reimbursement fee attributable to the interim water pump station costs (i.e., $1,405 per unit before interest adjustment and actual cost accounting). The City plans that reimbursement fees for the new water tank Benefit Area would apply only to anticipated additional units within the new water tank Benefit Area and would not apply to units which will have been built within the Benefit Area created by this Agreement between the date of this Agreement and the establishment of the Benefit Area for the water tank on the Presley site. Based upon the Rules of Spread, reimbursement fees per unit shall be calculated as follows: 17