HomeMy WebLinkAbout07/19/2005 Blue Sheet Amended DA with Rancho Marana 154 Development Project
TOWN COUNCIL
MEETING
INFORMATION
TOWN OF MARANA
MEETING DATE:
July 19, 2005
AGENDA ITEM:
1.4
TO:
MAYOR AND COUNCIL
FROM:
James DeGrood, Assistant Town Manager
SUBJECT:
Resolution No. 2005-88: Relating to Development; approving and
authorizing the execution of an amended development agreement
with Meritage Homes of Arizona, Inc., relating to the Rancho
Marana 154 development project
DISCUSSION
The Rancho Marana 154 project has been developed by Meritage Homes of Arizona, Inc., and includes
the dedication and construction of significant roadway, trail and park infrastructure and right-of-way to
the Town ofMarana.
The Town recently adopted a Devclopment Impact Fee for Parks in the amount of$2,884 per dwelling
unit (or equivalent). The impact fee ordinance includes provision for the granting of credit for any
improvements or land dedicated to the Town for parks, as required by statute.
The public park and trails dedicated to the Town amount to 8.60 acres of usable recreation area. No
improvements are to be constructed. Based upon the Town's impact fee credit formula, credit for the
park dedication in the amount of $30,000 per acre will be granted. After credit of the dedicated park land,
a revised impact fee of $2,383 for parks will be charged.
The Town recently adopted a Development Impact Fee for Northwest Marana Roadways in the amount of
$5,941 per dwelling unit (or equivalent). The impact fee ordinance includes provision for the granting of
credit for any improvements or land dedicated to the Town for arterial and collector roads.
This project will dedicate land for Moore Road and will dedicate and construct improvements for
Tangerine Farms Road and Clark Farms Road. Both of these projects are creditable and have a value of
$3,915,242. This credit exceeds the Impact Fee for Northwest Marana Roads. No further impact fee for
Northwest Marana Roadways is due.
RECOMMENDATION
Staff recommends approving and authorizing the execution of the development agreement with Meritage
Homes of Arizona, Inc., relating to the Rancho Marana 154 development project.
SUGGESTED MOTION
I move to approve Resolution No. 2005-88.
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MARANA RESOLUTION NO. 2005-88
RELATING TO DEVELOPMENT; APPROVING AND AUTHORIZING THE
EXECUTION OF AN AMENDED DEVELOPMENT AGREEMENT WITH MERITAGE
HOMES OF ARIZONA, INC., RELATING TO THE RANCHO MARANA 154
DEVELOPMENT PROJECT.
WHEREAS, the growing population ofthe Town of Marana places increasing demand upon
the existing public infrastructure and parks in the region; and
WHEREAS, the Town desires to develop new public infrastructure and parks to meet the
demands that are placed upon the Town's roadway, utility and park facilities as a consequence of
increasing population and the proportionate increase in usage brought about by ncw growth; and
WHEREAS, the Town and the residents of the Rancho Marana 154 development will jointly
benefit from the development of the roadway, utility and park facilities projects; and
WHEREAS, it is in the best interest ofthe citizens of the Town of Marana to improve the
capacity of the Town's existing public roadway, utility and park facilities by encouraging the
development of additional public parks and improvement of arterial and collector roadways at the
time of new development; and,
WHEREAS, Arizona Revised Statutes, ~ 9-463.05 requires that developer dedications and
improvements shall be considered for credit against applicable impact fees.
NOW, THEREFORE, BE IT RESOLVED by the Mayor and Council ofthe Town of Maran a,
Arizona, that the Mayor is authorized to execute a Development Agreement with Meritage Homes
OF Arizona, Inc., for the purposes of establishing an agreement to improve, fund, and convey to the
Town public roadway and park facilities.
Marana, Arizona Resolution No. 2005-88
Page 10f2
PASSED AND ADOPTED by the Mayor and Council ofthe Town of Maran a, Arizona, this
19th day of July, 2005.
Mayor Ed Honea
ATTEST:
Jocelyn C. Bronson, Town Clerk
APPROVED AS TO FORM:
Frank Cassidy, Town Attorney
Marana. Arizona Resolution No. 2005-88
Page 2 of2
TOWN OF MARANA
DEVELOPMENT AGREEMENT REGARDING
DEVELOPMENT IMPACT FEE CREDITS FOR
RANCHO MARANA 154
THIS AGREEMENT (this "Agreement") is entered into by and between the TOWN OF MARANA,
an Arizona municipal corporation (the "Town"), and MERITAGE HOMES OF ARIZONA, INC., an
Arizona corporation, STEWART TITLE AND TRUST OF TuCSON, an Arizona corporation, as trustee
under Trust No. 3420, FIRST AMERICAN TITLE INSURANCE COMPANY, a Califomia corpo-
ration, as trustee under Trust No. 9106, and TITLE SECURITY AGENCY OF ARIZONA, an Ari-
zona corporation, as trustee under Trust No. 843 (collectively, the "Developer"). The Town and the
Developer are sometimes collectively referred to as the "Parties," each of which is sometimes indi-
vidually referred to as a "Party."
RECITALS
A. This Agreement is entered into and authorized pursuant to A.R.S. S 9-500.05.
B. The Town has adopted certain development impact fees for roads and regional parks
pursuant to A.R.S. S 9-463.05.
C. The Developer is developing the land described and depicted on the subdivision plat
recorded in the Pima County Recorder's office at Book 59 of Maps and Plats, Page 13 ("Rancho
Marana 154").
D. The Developer is entitled to credit pursuant to A.R.S. S 9-463.05(B)(3) toward the
payment of the Town's adopted development impact fees based on the required dedication of
public sites and improvements provided or to be provided by the Developer in connection with
the development of Rancho Marana 154.
E. The Parties desire to memorialize their agreement concerning the amount of the devel-
opment impact fee credit applicable to Rancho Marana 154.
AGREEMENT
NoW, THEREFORE, in consideration of the foregoing premises and the mutual covenants set
forth in this Agreement, the Parties hereby agree as follows:
1. Credit toward arterial roadway development impact fees.
1.1. Total value. The total value of arterial roads provided by the Developer to the Town in
connection with the development of Rancho Marana 154, including the value of any and all arte-
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rial road right-of-way conveyed to the Town and any and all allowable arterial roadway con-
struction costs, is $3,915,242.00.
1.2. Total lots. The total number of residential lots anticipated to be constructed in connec-
tion with the development of Rancho Marana 154 is 515.
1.3. Credit per lot. The credit against arterial roadway development impact fees is $7,602.00
per lot.
1.4. Currentfee. As of the date of this Agreement, the Town's arterial roadway development
impact fce that would apply to Rancho Marana 154 before the credit is $5,941.00. Subtracting
the $7,602.00 credit, the current arterial roadway development impact fee for Rancho Marana
154 is $0.00 per lot.
1.5. Future fee revisions. If the Town amends its arterial roadway development fee applica-
ble to Rancho Marana 154, the fee per lot shall be the then-applicable fce minus $7,602.00.
1.6. Actual construction and dedication as condition of credit. The credit against arterial
roadway development impact fees calculated in accordance with this paragraph 1 shall apply
only to the cxtent the arterial roadway construction and dedication has been completed or is in
progress to the reasonable satisfaction of the Town.
2. Credit toward regional park development impact fees.
2.1. Total value. The total valuc of regional parks provided by the Developer to the Town in
connection with the development of Rancho Marana 154, including the value of any and all re-
gional park lands conveyed to the Town and any and all allowable regional park construction
costs, is $257,947.00.
2.2. Total lots. The total number of residential lots anticipated to be constructed in connec-
tion with the development of Rancho Marana 154 is 515.
2.3. Credit per lot. The credit against regional park development impact fees is $501.00 per
lot.
2.4. Current fee. As of the date of this Agreement, the Town's regional park development
impact fee that would apply to Rancho Marana 154 before the credit is $2,884.00. Subtracting
the $501.00 credit, the current regional park development impact fee for Rancho Marana 154 is
$2,383.00 per lot.
2.5. Future fee revisions. If the Town amends its arterial roadway development fee applica-
ble to Rancho Marana 154, the fee per lot shall be the then-applicable fec minus $501.00.
2.6. Actual construction and dedication as condition of credit. The credit against regional
park development impact fees calculated in accordance with this paragraph 2 shall apply only to
the extent the regional park construction and dedication has been completed or is in progress to
the reasonable satisfaction of the Town.
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3. Miscellaneous
3.1. Binding effict. This agreement shall be binding upon and inure to the benefit ofthe heirs,
executors, administrators, successors and assigns of the Parties.
3.2. Cancellation/or conflict o/interest. This agreement is subject to A.R.S. ~ 38-511, which
provides for cancellation in certain instances involving conflict of interest.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the last date set forth
below their respective signatures.
TOWN:
DEVELOPER:
THE TOWN OF MARANA, an Arizona municipal
corporation
MERIT AGE HOMES OF ARIZONA, INC., an Arizona
corporation
By:
Ed Honea, Mayor
By:
Date:
Date:
ATTEST:
STEWART TITLE AND TRUST OF TUCSON, an
Arizona corporation, as trustee under Trust
No. 3420
Jocelyn C. Bronson, Clerk
ApPROVED AS TO FORM:
By:
Frank Cassidy, Town Attorney
Date:
FIRST AMERICAN TITLE INSURANCE COM-
PANY, a California corporation, as trustee
under Trust No. 9106
By:
Date:
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TITLE SECURITY AGENCY OF ARIZONA, an
Arizona Corporation, as trustee under Trust
No. 843
By:
Date:
STATE OF ARIZONA )
ss
County of Pima )
The foregoing instrument was acknowledged before me on by Error!
Reference source not found., Error! Reference source not found. of MERIT AGE HOMES OF
ARIZONA, INC., an Arizona corporation, on behalf of the corporation.
My commission expires:
Notary Public
STATE OF ARIZONA )
ss
County of Pima )
The foregoing instrument was acknowledged before me on
by of STEWART TITLE AND TRUST OF
TUCSON, an Arizona corporation, as trustee of Trust No. 3420, on behalf ofthc trust.
My commission expires:
Notary Public
STATE OF ARIZONA)
ss
County of Pima )
The foregoing instrument was acknowledged before me on
by of FIRST AMERICAN TITLE INSURANCE
COMPANY, a California corporation, as trustee under Trust No. 9106, on behalf of the trust.
My commission expires:
Notary Public
Mcritage DA.do,
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7/1212005
STATE OF ARIZONA )
ss
County of Pima )
The foregoing instrument was acknowledged before me on
by , of TITLE SECURITY AGENCY OF ARI-
ZONA, an Arizona Corporation, as trustee under Trust No. 843, on behalf of the trust.
My commission expires:
Notary Public
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Credit Analysis for Development Impact Fees.
Project Name: Rancho Marana 154
Roadways:
Right of Way conveyed: 5.49 acres for Moore Rd.
Value: $164,700, or $320 per lot for 515 lots. This is a credit to be applied
against impact fee liability.
Cost of Construction
Construction Cost for Tangerine Farms, Clark Farms Rds, Exclusive of Utilities:
Clark Farms Rd: $1,143,357 (3 lane undivided, $2.5Mlmile)
Tangerine Farms Rd: $2,771,885 (4 lane divided, street lights)
Value of$3,9l5,242, or $7,602 per lot, to be credited against impact fee liability.
Value of improvements far exceed impact fee liability
Parks:
Park land conveyed to Town:
Value: $257,947, or $501 per lot for 515 lots. This is a credit to be applied
against impact fee liability.
The revised Park Impact Fee amount is $2,383 per lot.