HomeMy WebLinkAboutContract 2011 2354A CONTRACT FOR SEWER AVAILABILITY CHARGE
TIME PAYMENT AGREEMNT- 4040 CENTRAL AVENUE
This Agreement, made on or as of the 25 day of January, 2011. by and between
the City of Columbia Heights (the "City ") and James A. Wetch Jr. ( "Wetch" and
"Owner "), the latter owner of Breaktime Billiards Inc. dba Jimmy's Pool Hall located at
4040 Central Ave., Columbia Heights, Minnesota.
This Agreement is being entered into by the City based on the authority granted
by City Council Resolution - 2011 -03. The overall purpose of this Agreement is to detail
the sewer availability charge (SAC) payments, totaling $26, 760.00, based on 12 SAC
units at $2,230, owed to the City by Wetch. The SAC unit determination was made by the
Metropolitan Council based on recent improvements at the subject address and is detailed
in the attached letter dated January 11, 2011. It is understood that the City has initially
satisfied the Metropolitan Council's requirements for the SAC payments and that Wetch
will reimburse the City for the total $26,760.00, including 2% interest, over a two -year
time period. The conditions for these payments are as follows:
1) The principal amount owned to the City by Owner is $26, 760.00.
2) Upon entering into this Agreement Owner will pay the City 10% ($2,676.00) of
the original principal, creating a new principal balance of $24,084.00.
3) The City requires 2% simple interest on the outstanding principal balance, with all
interest deferred until final payment.
4) The principal will be substantially paid off over a two -year time period (24
payments) with monthly payments of $1,000.00.
5) initial monthly payment will be March of 2011 ( Payment 1).
6) Monthly payments are due to the City by the 10 of each month.
7) Owner shall have until the 10` of the following month to make any delinquent
payments, in addition to the current monthly payment due. Any delinquency shall
give the City the option to initiate the assessment remedy as detailed in this
Agreement.
8) Owner will make a final payment (Payment 25) that will include any remaining
principal amount in addition to interest as stated in item #3.
Security
To ensure that the entirety of the principal is paid, the City retains the right to
commence and place a special assessment against the subject property, as a local
improvement as defined in MSA Chapter 429.021. The placement of a special assessment
shall be the City's remedy for non- payment, as described within this Agreement. The
time duration of the assessment is at the sole discretion of the Council. As a condition of
this Agreement, Owner shall enter into an "Agreement of Assessment and Waiver of
Irregularity and Appeal," as attached and dated January 25, 2011.
7 The City of Columbia I-1 ohts
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Mayor '
As Witnessed by:
STATE OF MINNESOTA
COUNTY OF ANOKA
The foregoing instrument was acknowledged before me this ,), .5 day
2011.
, ..1'04 PAIRICIAM. MOSCOW/
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Agreement of Assessment and Waiver of Irregularity and Appeal
THIS AGREEMENT, is made this 25 day of January, 2011, between the City of
Columbia Heights, State of Minnesota, hereafter referred to as the City, and James A.
Wetch, Jr., sole owner of property at 4040 Central Ave NE (herein referred to as Owner).
Property is commonly referred to as Breaktime Billiards Inc. dba Jimmy's Pool Hall.
In consideration of the action of the City Council, at the owner's request, has caused the
City to pay immediately the Metropolitan Council $26,760 for payment of sewer
availability charges. In turn, the Owner will reimburse the City for the entire
aforementioned payment amount over a two-year time period. Authorization by the City
to enter into this arrangement has been established by City Council Resolution-2011-
and by an Agreement, dated January 25, 2011, entitled, "Contract for Sewer Availability
Charge Time Payment Agreement- 4040 Central Avenue".
The security for non-payment of the aforementioned Agreement is the ability of the City
to specially assess the property as a local improvement, as defined in MSA 429.021.
Owner herby agrees to pay any future assessment, as established by the City Council, as
reimbursement for any principle and/or interest not paid pursuant to the January 25, 2011
Agreement. Owner expressly waives objection to any irregularity with regard to the said
improvement assessments and any claim that the amount thereof levied against owner's
property is excessive, together with all rights to appeal in the courts.
In testimony, whereof, James A. Wetch, Jr, has hereunto set his hand, the day and year
first above written.
Signed: kit'4,4 A Date: 1"
J4ies Wetch
STATE OF MINNESOTA
COUNTY OF ANOKA
The foregoing instrument was acknowledged before me this day offfo
2011.
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otary Public 11164;. NOTAIMIC-MMESOIA
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Term Expiring: 3/- 0//1"