RES 2026-94 Approving a Development Contract for MRD Christ Lutheran 2nd AdditionCITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2026-94
APPROVING A DEVELOPMENT CONTRACT FOR
MRD CHRIST LUTHERAN 2ND ADDITION
WHEREAS, Christ Church of Otsego is proposing subdivision of MRD Christ Lutheran 2nd Addition; and
WHEREAS, a final plat for the development was approved on 12 October 2026 by the City Council; and
WHEREAS, Section 10-10-4.A of the Subdivision Ordinance requires the developer to enter into a development contract
to provide the City construction and warranty securities for the public and private improvements and to provide the City
various remedies in the event that the developer breaches the terms and conditions of said agreement; and
WHEREAS, those obligations are outlined and memorialized in the attached Development Contract.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA:
1. The Development Contract attached hereto between the City of Otsego and Christ Church of Otsego is hereby
approved in form subject to modification of fees, charges, and securities as approved by City staff.
2. The Mayor and City Clerk are hereby authorized to execute the Development Contract on behalf of the City of Otsego.
[Remainder of page blank; signatures follow]
ADOPTED by the Otsego City Council this 121h day of October, 2026.
MOTION BY: Dunlap
SECONDED BY: Tanner
IN FAVOR: Stockamp, Dunlap, Lund, and Tanner
OPPOSED: none
PA
CITY OF OTSEGO
Jessica L. Stockamp, May r
ATTEST:
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Audra Etzel, City Clerk
OF
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ES
(reserved for recording information)
DEVELOPMENT CONTRACT
(Developer Installed Improvements)
MRD CHRIST L UTHERAN 2ND ADDITION
CONTRACT dated , 2026, by and between the CITY OF OTSEGO, a
Minnesota municipal corporation ("City"), and CHRIST CHURCH OF OTSEGO, a Minnesota non-profit
corporation (the "Developer")
1. REQUEST FOR PLAT APPROVAL. The Developer has asked the City to approve a plat
for MRD CHRIST LUTHERAN 2ND ADDITION (referred to in this Contract as the "plat"). The land is situated
in the County of Wright, State of Minnesota, and is legally described as:
Lot 1, Block 1, MRD CHRIST LUTHERAN ADDITION, according to the recorded plat
thereof, Wright County, Minnesota. Except therefrom Parcel 316A as shown on Minnesota
Department of Transportation Right of Way Plat No. 86-113.
[To be platted as MRD CHRIST LUTHERAN 2ND ADDITION, Wright County, Minnesota.]
2. CONDITIONS OF PLAT APPROVAL. The City hereby approves the plat on condition that
the Developer enter into this Contract, furnish the security required by it, and record the plat with the County
Recorder or Registrar of Titles within one hundred (100) days after the City Council approves the final plat.
240373v 1 MRD Christ Lutheran 2"d Addition
3. RIGHT TO PROCEED. Within the plat or land to be platted, the Developer may not grade or
otherwise disturb the earth or remove trees, unless a grading permit has been approved by the City Engineer
following approval of a preliminary plat by the City Council, construct sewer lines, water lines, streets, utilities,
public or private improvements, or any buildings until all the following conditions have been satisfied: 1) this
contract has been fully executed by both parties and filed with the City Clerk, 2) the necessary security has
been received by the City, 3) the necessary insurance for the Developer and its construction contractors has
been received by the City, and 4) the plat has been filed with the Wright County Recorder or Registrar of
Titles' office.
4. PHASED DEVELOPMENT. If the plat is a phase of a multi -phased preliminary plat, the City
may refuse to approve final plats of subsequent phases if the Developer has breached this Contract and the
breach has not been remedied. Development of subsequent phases may not proceed until Development
Contracts for such phases are approved by the City. Park dedication charges referred to in this Contract are
not being imposed on outlots, if any, in the plat that are designated in an approved preliminary plat for future
subdivision into lots and blocks. Such charges will be calculated and imposed when the outlots are final
platted into lots and blocks.
5. PRELIMINARY PLAT STATUS. If the plat is a phase of a multi -phased preliminary plat, the
preliminary plat approval for all phases not final platted shall lapse and be void unless final platted into lots
and blocks and outlots, within two (2) years after preliminary plat approval.
6. CHANGES IN OFFICIAL CONTROLS. For five (5) years from the date of this Contract, no
amendments to the City's Comprehensive Plan or official controls shall apply to or affect the use,
development density, lot size, lot layout or dedications of the approved plat unless required by state or federal
law or agreed to in writing by the City and the Developer. Thereafter, notwithstanding anything in this
Contract to the contrary, to the full extent permitted by state law, the City may require compliance with any
amendments to the City's Comprehensive Plan, official controls, platting or dedication requirements enacted
after the date of this Contract.
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240373v1 MRD Christ Lutheran 21 Addition
7. CONTRACTORS/SUBCONTRACTORS. City Council members, City employees, and City
Planning Commission members, and corporations, partnerships, and other entities in which such
individuals have greater than a twenty-five percent (25%) ownership interest or in which they are an officer
or director may not act as contractors or subcontractors for the public improvements identified in Paragraph
6 above.
8. DEVELOPMENT PLANS. The plat shall be developed in accordance with the following
plans. The plans shall not be attached to this Contract. The plans may be prepared, subject to the City
Engineer's approval, after entering the Contract, but before commencement of any work in the plat. The City
Engineer may approve minor amendments to Plans without City Council approval. If the plans vary from the
written terms of this Contract, the written terms shall control. The plans are:
Plan A - Plat
Plan B - Final Grading, Drainage, and Erosion Control Plan
Plan C - Plans and Specifications for Public Improvements
Plan D - Street Lighting Plan
Plan E - Landscape Plan
9. IMPROVEMENTS. The Developer shall install and pay for the following:
A. Sanitary Sewer System
B. Water System
C. Storm Sewer System
D. Streets
E. Concrete Curb and Gutter
F. Street Lights
G. Site Grading, Stormwater Treatment/Infiltration Basins, and Erosion Control
H. Underground Utilities
I. Setting of Iron Monuments
J. Surveying and Staking
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240373v1 MRD Christ Lutheran 2"d Addition
K. Sidewalks and Trails
L. Retaining Walls
M. Landscaping
The improvements shall be installed in accordance with the City subdivision ordinance; City standard
specifications for utility and street construction; and any other ordinances including Chapter 6 of the City
Code concerning erosion and sediment control. The Developer shall submit plans and specifications which
have been prepared by a competent Minnesota registered professional engineer to the City for approval by
the City Engineer. The Developer shall instruct its engineer to provide adequate field inspection personnel
to assure an acceptable level of quality control to the extent that the Developer's engineer will be able to
certify that the construction work meets the approved City standards as a condition of City acceptance. In
addition, the City may, at the City's discretion and at the Developer's expense, have one or more City
inspectors and a soil engineer inspect the work on a full or part-time basis. The Developer, its contractors
and subcontractors, shall follow all instructions received from the City's inspectors. The Developer's engineer
shall provide for on -site project management. The Developer's engineer is responsible for design changes
and contract administration between the Developer and the Developer's contractor. The Developer or its
engineer shall schedule a pre -construction meeting at a mutually agreeable time at the City with all parties
concerned, including the City staff, to review the program for the construction work. Within thirty (30) days
after the completion of the improvements and before the security is released, the Developer shall supply the
City with a complete set of reproducible "as -constructed" plans and an electronic file of the "as -constructed"
plans in an AutoCAD .DWG file or a .DXF file, all prepared in accordance with City standards.
In accordance with Minnesota Statutes 505.021, the final placement of iron monuments for all lot
corners must be completed before the applicable security is released. The Developer's surveyor shall also
submit a written notice to the City certifying that the monuments have been installed following site grading,
utility and street construction.
10. PERMITS. The Developer shall obtain or require its contractors and subcontractors to
obtain all necessary permits, which may include:
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A. Wright County for County Road Access and Work in County Rights -of -Way
B. MnDot for State Highway Access
C. MnDot for Work in Right -of -Way
D. Minnesota Department of Health for Watermains
E. MPCA NPDES Permit for Construction Activity
F. MPCA for Sanitary Sewer and Hazardous Material Removal and Disposal
G. DNR for Dewatering
H. City of Otsego for Building Permits, Retaining Walls, Irrigation
I. MDH for water permits
J. MPCA for sewer extension
11. DEWATERING. Due to the variable nature of groundwater levels and stormwater flows, it
will be the Developer's and the Developer's contractors and subcontractors responsibility to satisfy
themselves with regard to the elevation of groundwater in the area and the level of effort needed to perform
dewatering and storm flow routing operations. All dewatering shall be in accordance with all applicable
county, state, and federal rules and regulations. DNR regulations regarding appropriations permits shall
also be strictly followed.
12. TIME OF PERFORMANCE. The Developer shall install all required public improvements by
November 30, 2027.
13. STREETS. The Developer agrees to maintain the streets within the Plat until the base course
bituminous surfacing has been accepted by the City. Should the City be required to grade the street prior to
paving, the cost of such grading shall be paid by the Developer and draw from the Developer's letter of credit.
Should the City determine that snowplowing is necessary prior to final wear course installation, the City will
plow the street(s) prior to acceptance of the streets. The Developer shall hold harmless and indemnify the
City from any and all liability related to snow plowing and shall pay all costs associated with snow plowing.
Any plowing undertaken by the City shall not constitute City acceptance or evidence of acceptance of the
street(s) in question. The final wear course shall not be constructed until at least one construction season
after the base construction is completed and shall be delayed one more construction season if at least seventy
five percent (75%) build out is not achieved. However, the final wear course shall not be delayed for a period
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longer than two years after the base course is paved, regardless of build out; in which case, the Developer
shall provide an escrow for fog sealing the streets in the event the final wear course is placed prior to seventy
five percent (75%) build out. Upon final completion of streets and acceptance by the City as a City street
rather than a private drive, the Developer shall guarantee to the City for a period of two (2) years the streets
have been constructed to City standards. The warranty period shall not commence until such time as street
construction is completed and the streets are accepted as City streets by the City. The two (2) year warranty
period set forth above commences upon the date on which the City accepts the streets by resolution.
14. LICENSE. The Developer hereby grants the City, its agents, employees, officers and
contractors a license to enter the plat to perform all work and inspections deemed appropriate by the City in
conjunction with plat development.
15. EROSION CONTROL. Prior to initiating site grading, the erosion control plan, Plan B, shall
be implemented by the Developer and inspected and approved by the City. The City may impose additional
erosion control requirements if they would be beneficial. All areas disturbed by the grading operations shall
be stabilized per the MPCA Stormwater Permit for Construction Activity. Seed shall be in accordance with
the City's current seeding specification which may include temporary seed to provide ground cover as rapidly
as possible. All seeded areas shall be fertilized, mulched, and disc anchored as necessary for seed retention.
The parties recognize that time is of the essence in controlling erosion. If the Developer does not comply
with the MPCA Stormwater Permit for Construction Activity or with the erosion control plan and schedule or
supplementary instructions received from the City, the City may take such action as it deems appropriate to
control erosion. The City will endeavor to notify the Developer in advance of any proposed action, but failure
of the City to do so will not affect the Developer's and City's rights or obligations hereunder. If the Developer
does not reimburse the City for any cost the City incurred for such work within ten (10) days, the City may
draw down the letter of credit to pay any costs. No development, utility or street construction will be allowed
and no building permits will be issued unless the plat is in full compliance with the approved erosion control
plan.
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16. GRADING. The plat shall be graded in accordance with the approved grading development
and erosion control plan, Plan "B". The plan shall conform to City of Otsego specifications. Within thirty (30)
days after completion of the grading and before the City approves individual building permits (except three
(3) model home permits on lots acceptable to the Building Official), the Developer shall provide the City with
an "as -constructed" grading plan certified by a registered land surveyor or engineer that all storm water
treatment/infiltration basins and swales, have been constructed on public easements or land owned by the
City. The "as -constructed" plan shall include field verified elevations of the following: a) cross sections of
storm water treatment/infiltration basins; b) location and elevations along all swales, wetlands, wetland
mitigation areas if any, locations and dimensions of borrow areas/stockpiles, and installed "conservation
area" posts; and c) lot corner elevations and house pads, and all other items listed in City Code. The City
will withhold issuance of building permits until the approved certified grading plan is on file with the City and
all erosion control measures are in place as determined by the City Engineer. The Developer certifies to the
City that all lots with house footings placed on fill have been monitored and constructed to meet or exceed
FHA/HUD 79G specifications. The soils observation and testing report, including referenced development
phases and lot descriptions, shall be submitted to the Building Official for review prior to the issuance of
building permits.
Before a building permit is issued, a cash escrow shall be furnished to the City in accordance with
the City's current fee schedule to guarantee compliance with the erosion control and grading requirements
and the submittal of an as -built certificate of survey. Prior to the release of the required individual lot grading
and erosion control security that is submitted with the building permit, an as -built certificate of survey for
single family lots must be submitted to verify that the final as -built grades and elevations of the specific lot
and all building setbacks are consistent with the approved grading plan for the development, and
amendments thereto as approved by the City Engineer, and that all required property monuments are in
place. If the final grading, erosion control and as -built survey is not timely completed, the City may enter
the lot, perform the work, and apply the cash escrow toward the cost. Upon satisfactory completion of the
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grading, erosion control and as -built survey, the escrow funds, without interest, less any draw made by the
City, shall be returned to the person who deposited the funds with the City.
A certified as -built building pad survey must be submitted and approved for commercial, industrial or
institutional developments prior to issuance of a building permit.
17. CLEAN UP. The Developer shall clean dirt and debris from streets that has resulted from
construction work by the Developer, home builders, subcontractors, their agents or assigns. Prior to any
construction in the plat, the Developer shall identify in writing a responsible party and schedule for erosion
control, street cleaning, and street sweeping.
18. OWNERSHIP OF IMPROVEMENTS. Upon completion of the work and construction
required by this Contract and final acceptance by the City, the improvements lying within public easements
shall become City property without further notice or action.
19. STORM SEWER. The Developer shall pay a cash fee in the amount of $39,209.93 for the
Trunk Storm Water Management Impact Fee for the North Mississippi Watershed due upon final Plat
Approval, calculated as follows:
4.43 Gross Acres X $8,851/Gross Acre = $39,209.93
20. SANITARY SEWER. The Sewer Availability Charge ("SAC') required by the City Code for
the plat as satisfied with approval of the MRD Christ Lutheran Addition plat.
21. WATERMAIN. The Water Availability Charge ("WAC") required by the City Code for the
plat was satisfied with approval of the MRD CHRIST LUTHERAN ADDITION plat.
22. SEWER CONNECTION CHARGE AND WATER CONNECTION CHARGE. The Developer
shall pay to the City required water and sewer connection charges. The water and sewer connection charges
shall be collected per Section 8-1-6-C of City Code for all uses and must be paid prior to the issuance of a
building permit based on the fee schedule in effect at the time of application for the building permit.
23. CONSTRUCTION ACCESS. Construction traffic access and egress for grading, public utility
construction, and public street construction is restricted to access the subdivision as approved by the City
Engineer.
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24. PARK DEDICATION. Park dedication requirements for the plat required by the City Code
were satisfied with approval of the MRD CHRIST LUTHERAN ADDITION plat.
25. SPECIAL PROVISIONS. The following special provisions shall apply to plat development:
A. Implementation of the conditions listed in the Findings of Fact approved by the City Council on
October 12, 2026.
B. All easements shall be subject to review and approval by the City Engineer.
C. The Developer shall pay Utility Connection Charges for the principal building on Lot 2, Block 1,
at the time a building permit is issued in accordance with the provisions of City Code,
D. Prior to City Council approval of the final plat, the Developer shall furnish a boundary survey of
the proposed property to be platted with all property corner monumentation in place and marked
with lath and a flag. Any encroachments on or adjacent to the property shall be noted on the
survey. The Developer's land surveyor certifies that all irons have been set following site grading
and utility and street construction. In addition, the certificate of survey must also include a
certification that all irons for a specific lot have either been found or set prior to the issuance of a
building permit for that lot.
E. The Developer is required to submit the final plat in electronic format. The electronic format shall
be either AutoCAD.DWG file or a .DXF file. All construction record drawings (e.g., grading,
utilities, streets) shall be in electronic format in accordance with standard City specifications.
26. CONSTRUCTION ADMINISTRATION AND FEES FOR CITY SERVICES. The Developer
shall pay a fee for consulting engineering administration following approval of the Plat. City engineering
administration will include consultation with Developer and its engineer on status or problems regarding the
project, monitoring during the warranty period, general administration and processing of requests for reduction
in security. Fees for this service shall be the actual amount billed for those services, which are estimated to
be three percent (3%) of the estimated construction cost of the Improvements to be inspected, assuming
normal construction and project scheduling. The Developer shall pay for construction observation performed
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by the City Engineer. Construction observation shall include part or full time observation, as determined by
the City Engineer, of proposed street, sanitary sewer, water and storm drainage construction and will be billed
on hourly rates actually required for said inspection, which are estimated to be five percent (5%) of the
estimated construction cost of the Improvements to be inspected. In the event of prolonged construction or
unusual problems, the City will notify the Developer of anticipated cost overruns for engineering administration
and observation services. Any amounts for engineering administration not utilized from this escrow fund shall
be returned to the Developer when all improvements have been completed, all financial obligations to the City
satisfied, and the required "as constructed" plans have been received by the City.
The escrow and fee account shall also include estimated fees for Legal expenses actually
incurred (with any excess funds, if any, returned to Developer as indicated in this Contract), City Administrative
Fee (a flat fee due upon execution of this Agreement), Trunk Water and Sewer Access Fees (a flat fee due
upon execution of this Agreement), Park and Trail Dedication Fees (a flat fee due upon execution of this
Agreement), and shall be as stated by the Financial Summary.
This escrow amount shall be submitted to the City prior to the City executing this Agreement. All
administrative and legal fees related to plan review, drafting of this Agreement and any other necessary items
shall be paid to the City prior to execution of this Agreement. Any amounts for legal and engineering not
utilized from this escrow fund shall be returned to the Developer when all improvements have been completed,
all financial obligations to the City satisfied, and the required "as constructed" plans have been received by
the City.
All other amounts listed as flat fees are non-refundable and available immediately for City use
when posted.
ESCROW
A. City Legal Expenses ($1,500.00 Minimum) $1,500.00
ESCROW TOTAL
This breakdown is not a restriction on the use of the security.
$1,500.00
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27. SUMMARY OF CASH REQUIREMENTS. The following is a summary of the cash
requirements under this Contract which must be furnished to the City prior to the City Council signing the
final plat:
A. City Administrative ($1,500.00 Minimum) $1,500.00
B. Trunk Stormwater Management Impact Fee 39,209.aq
TOTAL CASH REQUIREMENTS $40,709.93
28. RESPONSIBILITY FOR COSTS.
A. Except as otherwise specified herein, the Developer shall pay all costs incurred by it or the City
in conjunction with the development of the plat, including but not limited to Soil and Water
Conservation District charges, legal, planning, engineering and construction observation
inspection expenses incurred in connection with approval and acceptance of the plat, the
preparation of this Contract, review of construction plans and documents, and all costs and
expenses incurred by the City in monitoring and inspecting development of the plat.
B. The Developer shall hold the City and its officers, employees, and agents harmless from claims
made by itself and third parties for damages sustained or costs incurred resulting from plat
approval and development. The Developer shall indemnify the City and its officers, employees,
and agents for all costs, damages, or expenses which the City may pay or incur in consequence
of such claims, including attorneys' fees.
C. The Developer shall reimburse the City for costs incurred in the enforcement of this Contract,
including engineering and attorneys' fees.
D. The Developer shall pay, or cause to be paid when due, and in any event before any penalty is
attached, all special assessments referred to in this Contract. This is a personal obligation of the
Developer and shall continue in full force and effect even if the Developer sells one or more lots,
the entire plat, or any part of it.
E. The Developer shall pay in full all bills submitted to it by the City for obligations incurred under
this Contract within thirty (30) days after receipt. If the bills are not paid on time, the City may halt
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plat development and construction until the bills are paid in full. Bills not paid within thirty (30)
days shall accrue interest at the rate of eighteen percent (18%) per year. Additionally, the
Developer shall pay in full all bills submitted to it by the City prior to any reductions in the security
for the development.
F. In addition to the charges and special assessments referred to herein, other charges and special
assessments may be imposed such as but not limited to sewer availability charges ("SAC"), City
water connection charges, City sewer connection charges, and building permit fees.
29. DEVELOPER'S DEFAULT. In the event of default by the Developer as to any of the work
to be performed by it hereunder, the City may, at its option, perform the work and the Developer shall promptly
reimburse the City for any expense incurred by the City, provided the Developer, except in an emergency as
determined by the City, is first given notice of the work in default, not less than forty-eight (48) hours in
advance. This Contract is a license for the City to act, and it shall not be necessary for the City to seek a
Court order for permission to enter the land. When the City does any such work, the City may, in addition to
its other remedies, assess the cost in whole or in part.
30. MISCELLANEOUS.
A. The Developer represents to the City that the plat complies with all city, county, state, and federal
laws and regulations, including but not limited to: subdivision ordinances, zoning ordinances, and
environmental regulations. If the City determines that the plat does not comply, the City may, at
its option, refuse to allow construction or development work in the plat until the Developer does
comply. Upon the City's demand, the Developer shall cease work until there is compliance.
B. Third parties shall have no recourse against the City under this Contract.
C. Breach of the terms of this Contract by the Developer shall be grounds for denial of building
permits, including lots sold to third parties.
D. If any portion, section, subsection, sentence, clause, paragraph, or phrase of this Contract is for
any reason held invalid, such decision shall not affect the validity of the remaining portion of this
Contract.
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E. Grading, curbing, and one lift of asphalt shall be installed on all public and private streets prior to
issuance of any building permits.
F. If building permits are issued prior to the acceptance of public improvements, the Developer
assumes all liability and costs resulting in delays in completion of public improvements and
damage to public improvements caused by the City, Developer, its contractors, subcontractors,
material men, employees, agents, or third parties. No sewer and water connections or
inspections may be conducted and no one may occupy a building for which a building permit is
issued on either a temporary or permanent basis until the streets needed for access have been
paved with a bituminous surface and the utilities are accepted by the City Engineer.
G. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of
this Contract. To be binding, amendments or waivers shall be in writing, signed by the parties
and approved by written resolution of the City Council. The City's failure to promptly take legal
action to enforce this Contract shall not be a waiver or release.
H. This Contract shall run with the land and may be recorded against the title to the property. In the
event this Contract is recorded, upon request by Developer, the City covenants to provide a
recordable Certificate of Completion within a reasonable period of time following the request,
upon the completion of the work and responsibilities required herein, payment of all costs and
fees required and compliance with all terms of the Contract. A release of this Contract may be
provided in the same manner and subject to the same conditions as a Certificate of Completion
provided there are no outstanding or ongoing obligations of Developer under the terms of this
Contract. The Developer covenants with the City, its successors and assigns, that the Developer
is well seized in fee title of the property being final platted and/or has obtained consents to this
Contract, in the form attached hereto, from all parties who have an interest in the property; that
there are no unrecorded interests in the property being final platted; and that the Developer will
indemnify and hold the City harmless for any breach of the foregoing covenants.
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I. Insurance. Prior to execution of the final plat, Developer and its general contractor shall furnish
to the City a certificate of insurance showing proof of the required insurance required under this
Paragraph. Developer and its general contractor shall take out and maintain or cause to be
taken out and maintained until six (6) months after the City has finally accepted the public
improvements, such insurance as shall protect Developer and its general contractor and the
City for work covered by the Contract including workers' compensation claims and property
damage, bodily and personal injury which may arise from operations under this Contract,
whether such operations are by Developer and its general contractor or anyone directly or
indirectly employed by either of them. The minimum amounts of insurance shall be as follows:
Commercial General Liability (or in combination with an umbrella policy)
$2,000,000 Each Occurrence
$2,000,000 Products/Completed Operations Aggregate
$2,000,000 Annual Aggregate
The following coverages shall be included:
Premises and Operations Bodily Injury and Property Damage
Personal and Advertising Injury
Blanket Contractual Liability
Products and Completed Operations Liability
Automobile Liability
$2,000,000 Combined Single Limit — Bodily Injury & Property Damage
Including Owned, Hired & Non -Owned Automobiles
Workers Compensation
Workers' Compensation insurance in accordance with the statutory requirements of the
State of Minnesota, including Employer's Liability with minimum limits are as follows:
• $500, 000 — Bodily Injury by Disease per employee
• $500, 000 — Bodily Injuryby Disease aggregate
• $500, 000 —Bodily Injury by Accident
The Developer's and general contractor's insurance must be "Primary and Non -Contributory".
All insurance policies (or riders) required by this Contract shall be (i) taken out by and
maintained with responsible insurance companies organized under the laws of one of the states
of the United States and qualified to do business in the State of Minnesota, (ii) shall name the
City, its employees and agents as additional insureds (CGL and umbrella only) by endorsement
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which shall be filed with the City and (iii) shall identify the name of the plat. A copy of the
endorsement must be submitted with the certificate of insurance.
Developer's and general contractor's policies and Certificate of Insurance shall contain a
provision that coverage afforded under the policies shall not be cancelled without at least thirty
(30) days' advanced written notice to the City, or ten (10) days' notice for non-payment of
premium.
An Umbrella or Excess Liability insurance policy may be used to supplement Developer's
or general contractor's policy limits on a follow -form basis to satisfy the full policy limits required
by this Contract.
J. Indemnification. To the fullest extent permitted by law, Developer agrees to defend, indemnify
and hold harmless the City, and its employees, officials, and agents from and against all claims,
actions, damages, losses and expenses, including reasonable attorney fees, arising out of
Developer's negligence or its performance or failure to perform its obligations under this
Contract. Developer's indemnification obligation shall apply to Developer's general contractor,
subcontractor(s), or anyone directly or indirectly employed or hired by Developer, or anyone for
whose acts Developer may be liable. Developer agrees this indemnity obligation shall survive
the completion or termination of this Contract.
K. Each right, power or remedy herein conferred upon the City is cumulative and in addition to every
other right, power or remedy, express or implied, now or hereafter arising, available to City, at law
or in equity, or under any other agreement, and each and every right, power and remedy herein
set forth or otherwise so existing may be exercised from time to time as often and in such order
as may be deemed expedient by the City and shall not be a waiver of the right to exercise at any
time thereafter any other right, power or remedy.
L. The Developer may not assign this Contract without the written permission of the City Council.
The Developer's obligation hereunder shall continue in full force and effect even if the Developer
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sells one or more lots, the entire plat, or any part of it, until the City's issuance of a Certificate of
Completion and Release.
M. Retaining walls over four feet in height shall be constructed in accordance with plans and
specifications prepared by a structural or geotechnical engineer licensed by the State of
Minnesota. Following construction, a certification signed by the design engineer shall be filed
with the Building Official evidencing that the retaining wall was constructed in accordance with
the approved plans and specifications. All retaining walls identified on the development plans
and by special conditions referred to in this Contract shall be constructed before any other building
permit is issued for a lot on which a retaining wall is required to be built. All retaining walls must
comply with the City's engineering manual and the City's zoning ordinance.
N. Should the Developer convey any lot or lots in the Development to a third party, the City and the
owner of that lot or those lots may amend this Development Contract or other city approvals or
agreements for development or use of those lots without the approval or consent of the Developer
or other lot owners in the Development. Private agreements between the owners of lots within
the Development for shared service or access and related matters necessary for the efficient use
of the Development shall be the responsibility of the lot owners and shall not bind or restrict City
authority to approve applications from any lot owner in the Development.
31. NOTICES. Required notices to the Developer shall be in writing, and shall be either hand
delivered to the Developer, its employees or agents, or mailed to the Developer by certified mail at the
following address: 15849 90th Street NE, Otsego, MN 55330. Notices to the City shall be in writing and
shall be either hand delivered to the City Administrator, or mailed to the City by certified mail in care of
the City Administrator at the following address: Otsego City Hall, 13400 90th Street NE, Otsego,
Minnesota 55330.
[The remainder of this page has been intentionally left blank.
Signature pages follow.]
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CITY OF OTSEGO
M.
(SEAL)
AND
STATE OF MINNESOTA )
)ss.
COUNTY OF WRIGHT )
Jessica L. Stockamp, Mayor
Audra Etzel, City Clerk
The foregoing instrument was acknowledged before me this day of
2026, by Jessica L. Stockamp and by Audra Etzel, the Mayor and City Clerk of the City of Otsego, a
Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its
City Council.
NOTARY PUBLIC
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DEVELOPER:
CHRIST CHURCH OF OTSEGO
M.
STATE OF MINNESOTA )
)ss.
COUNTY OF WRIGHT )
Its
The foregoing instrument was acknowledged before me this day of
2026, by the
Christ Church of Otsego, a Minnesota non-profit corporation, on behalf of said entity.
NOTARY PUBLIC
DRAFTED BY:
CAMPBELL, KNUTSON
Professional Association
Grand Oak Office Center 1
860 Blue Gentian Road, Suite 290
Eagan, MN 55121
Telephone: 651-452-5000
DSK/smt
of
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MORTGAGE HOLDER CONSENT
TO
DEVELOPMENT CONTRACT
THRIVENT FINANCIAL FOR LUTHERANS, a Wisconsin corporation, which holds:
A Mortgage executed by Christ Lutheran Church of Elk River, a Minnesota non-profit corporation,
now known as Christ Church of Otsego, dated November 5, 1999, filed November 5, 1999 with the
Office of the County Recorder, Wright County, Minnesota, as Document No. 694521 in favor of
Mission Investment Fund of the Evangelical Lutheran Church in America, a Minnesota non-profit
corporation, in the amount of $1,700,000.00 (Covers Additional Property) assigned to Thrivent
Financial for Lutherans, a Wisconsin corporation, by Assignment of Mortgage dated June 16, 2004,
filed July 8, 2004, with the Office of the County Recorder, Wright County, Minnesota, as Document
No. A917590;
2. Consolidated, Supplemental, Amended and Restated Mortgage dated June 16, 2004, filed July 8,
2004, with the Office of the County Recorder, Wright County, Minnesota, as Document No. A917591;
3. First Amendment of Consolidating Note Agreement and Consolidated, Amended and Restated
Promissory Note and Consolidated, Supplemental, Amended and Restated Mortgage and Spreader
Agreement dated August 24, 2011, filed September 2, 2011, with the Office of the County Recorder,
Wright County, Minnesota, as Document No. A1182669;
on all or part of the subject property, the development of which is governed by the foregoing Development
Contract, agrees that the Development Contract shall remain in full force and effect even if it forecloses on
its mortgage.
[Remainder of page is intentionally left blank.
Signature page follows.]
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Dated this day of 12026.
STATE OF
)ss.
COUNTY OF
THRIVENT FINANCIAL FOR LUTHERANS
Its:
[print name]
[title]
The foregoing instrument was acknowledged before me this day of 12026,
by the of
Thrivent Financial for Lutherans, a Wisconsin corporation, on behalf of said entity.
NOTARY PUBLIC
DRAFTED BY:
CAMPBELL KNUTSON
Professional Association
Grand Oak Office Center 1
860 Blue Gentian Road, Suite 290
Eagan, Minnesota 55121
651-452-5000
DSK/smt
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[BANK LETTERHEAD]
IRREVOCABLE LETTER OF CREDIT
TO: City of Otsego
City Hall
13400 90th Street NE
Otsego, Minnesota 55330
Dear Sir or Madam:
No. _
Date:
We hereby issue, for the account of (Name of Developer) and in your favor, our Irrevocable
Letter of Credit in the amount of $ available to you by your draft drawn on sight on the undersigned
bank.
The draft must:
a) Bear the clause, "Drawn under Letter of Credit No. dated 2 ,
of (Name of Bank
b) Be signed by the City Administrator or Finance Director of the City of Otsego.
c) Be presented for payment at (Address of Bank) , on or before 4:00 p.m. on November 30,
2
This Letter of Credit shall automatically renew for successive one-year terms unless, at least forty-five (45)
days prior to the next annual renewal date (which shall be November 30 of each year), the Bank delivers written
notice to the Otsego Finance Director that it intends to modify the terms of, or cancel, this Letter of Credit. Written
notice is effective if sent by certified mail, postage prepaid, and deposited in the U.S. Mail, at least forty-five (45)
days prior to the next annual renewal date addressed as follows: Otsego Finance Director, Otsego City Hall,
13400 90th Street NE, Otsego, MN 55330, and is actually received by the Finance Director at least thirty (30) days
prior to the renewal date.
DEMAND(S) FOR PAYMENT MAY ALSO BE MADE BY FACSIMILE TRANSMISSION TO OR
SUCH OTHER FAX NUMBER AS (NAME OF ISSUING BANK) MAY IDENTIFY IN A WRITTEN NOTICE TO
YOU. TO THE EXTENT PRESENTATION IS MADE BY FACSIMILE TRANSMISSION YOU MUST PROVIDE
TELEPHONE NOTIFICATION THEREOF TO (NAME OF ISSUING BANK) AT TELEPHONE NUMBER:
PRIOR TO OR SIMULTANEOUSLY WITH THE SENDING OF SUCH FACSIMILE
TRANSMISSION. HOWEVER, THE ABSENCE OF SUCH TELEPHONE CONFIRMATION AS DESCRIBED
ABOVE DOES NOT AFFECT OUR OBLIGATION TO HONOR SUCH DRAWING, IF SUCH DRAWING IS
OTHERWISE IN COMPLIANCE WITH THE TERMS AND CONDITIONS OF THIS IRREVOCABLE LETTER
OF CREDIT. IF DEMAND FOR PAYMENT IS MADE BY FAX, PRESENTATION OF ORIGINAL DOCUMENTS
IS NOT REQUIRED.
M
DEMAND(S) FOR PAYMENT TO BE MADE VIA EMAIL TO PRESENTATION OF
ORIGINAL DOCUMENTS IS NOT REQUIRED.
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This Letter of Credit sets forth in full our understanding which shall not in any way be modified, amended,
amplified, or limited by reference to any document, instrument, or agreement, whether or not referred to herein.
This Letter of Credit is not assignable. This is not a Notation Letter of Credit. More than one draw may be
made under this Letter of Credit.
This Letter of Credit is issued subject to the International Standby Practices 1998, International Chamber
of Commerce Publication No. 590 ("ISP98"). This letter of Credit shall also be governed by the laws of the State
of Minnesota, including the Minnesota Uniform Commercial Code, to the extent not inconsistent with ISP98.
We hereby agree that a draft drawn under and in compliance with this Letter of Credit shall be duly honored
upon presentation.
We hereby agree that a draft drawn under and in compliance with this Letter of Credit shall be duly honored
upon presentation.
[NAME OF BANK]
BY:
Its
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