2014-106 Pre-Servicing Agreement - Bachly InvestmentsThe Corporation of the Township of Oro - Medonte
By -law No. 2014 -106
A By -law to Authorize the Execution of a Pre - Servicing Agreement with Bachly
Investments Inc. (Turtle River) — PCL 1 -1 SEC 51- Oro -14; PT LT 1 CON 14 Oro PTS
1,2, & 3 51 R22639; S/T Oro17148; Oro - Medonte; being all of PIN 58531 -0102 (LT),
Township of Oro - Medonte, County of Simcoe
Whereas Section 51, Subsection (26) of the Planning Act, R.S.O. 1990, Chapter P. 13,
as amended, provides that municipalities may enter into agreements imposed as a
condition to the approval of a plan of subdivision and such agreements may be
registered against the land to which the subdivision plan applies;
And Whereas the Council of the Township of Oro - Medonte deems it advisable to enter
into a Pre - Servicing Agreement with the Owner of Bachly Investments Inc. (Turtle River)
for the following Description of Lands: PCL 1 -1 Sec 51- ORO -14; Pt Lt 1 Con 14 Oro Pts
1, 2, & 3 51 R22639; S/T Oro17148; being all of PIN 58531 -0102 (LT), Township of Oro -
Medonte, County of Simcoe;
Now Therefore the Council of the Township of Oro - Medonte hereby enacts as follows:
1. That the Mayor and Clerk are hereby authorized to execute, on behalf of the
Township of Oro - Medonte, a Pre - Servicing Agreement, a copy of which is
attached hereto and forms part of this By -law as Schedule `A'.
2. That the Township of Oro - Medonte shall be entitled to enforce the provisions of
the Pre - Servicing Agreement against the owners of the land;
3. This by -law shall take effect on the final passing thereof.
By -law read a First, Second and Third time, and Passed this 16th day of July, 2014.
The Corporation of the Township of Oro - Medonte
r, H.S. qj&ghes
J -Do"ab Irwin
PRE - SERVICING AGREEMENT
- between -
Bachly Investments Inc.
-and -
THE CORPORATION OF THE TOWNSHIP
OF ORO- MEDONTE
PLAN OF SUBDIVISION PCL 1 -1 SEC 51- ORO -14; PT LT 1 CON 14 ORO PTS 1, 2 &
3 51 R22639; S/T OR017148; ORO- MEDONTE, COUNTY OF SIMCOE PIN 58531-
0102 (LT)
TOWNSHIP OF ORO- MEDONTE
COUNTY OF SIMCOE
July 16, 2014
By -Law No. 2014 -106
PRE - SERVICING AGREEMENT
THIS AGREEMENT MADE BETWEEN:
Township of Oro - Medonte
- and -
Bachly Investments Inc.
(hereinafter called the "Township ")
(hereinafter called the "Developer ")
WHEREAS the Developer is the registered owner of the lands described in Schedule
"A" attached (the "Subdivision Lands ");
AND WHEREAS the Developer desires to commence installing municipal services
within the Subdivision Lands, prior to the registration of the Plan of Subdivision and the
execution of the Subdivision Agreement with the Township;
NOW THEREFORE THE PARTIES HERETO AGREE AS FOLLOWS:
1. ASSUMPTION OF RISK BY DEVELOPER
1.1 The Developer agrees to assume all risk in commencing installation of Township
services, as defined in Article 1.4 hereof, on the Subdivision Lands, prior to the
execution of a Subdivision Agreement with the Township and the registration of
the Plan of Subdivision. The Developer hereby releases the Township, its
agents, servants and employees from and against all actions, suits, claims and
demands whatsoever, which may arise either directly or indirectly as a result of
the installation of Township services by the Developer.
1.2 The Developer acknowledges and agrees that, in the event that a Subdivision
Agreement with the Township is not finalized for any reason and the Plan of
Subdivision is not registered as a result, pre - servicing of the Subdivision Lands
shall cease immediately.
1.3 The Developer acknowledges and agrees that Engineering design plans and
specification for the Township services to be installed by the Developer, as
submitted to the Township, in accordance with the terms of this Agreement, may
require further amendment as a result of requirements imposed by the Township
under the terms of the Subdivision Agreement to be entered into for the
Subdivision Lands. The Developer covenants and agrees to assume all risk and
responsibility for the cost of required revisions to the Engineering design
drawings and specifications for the Township services, together with the costs of
modifying, reconstructing, removing and /or replacing the Township services
installed by the Developer, pursuant to the terms of this Agreement, in order to
satisfy the requirements finally imposed by the Township at the time that the
Subdivision Agreement is entered into.
The Engineering Design plans are as follows:
General Servicing Plan —
General Servicing Plan —
Erosion and Sediment Control Plan —
Erosion and Sediment Control Details —
Lot Grading Plan —
Pre and Post Development Storm Drainage Plan
Stormwater Management Pond —
Plan & Profile —
Plan & Profile —
Pa
Plan & Profile —
Plan & Profile —
Street Lighting Layout and Specifications
General Notes
Standard Details
Standard Details
Standard Details
Planting Plan (SWM Pond)
Hydro One Plan
Accepted for Construction Dated September 17, 2014
1.4 The Developer acknowledges and agrees that this Agreement relates to and
permits the installation of the following Township services on the Subdivision
Lands:
1. Road construction to base course of asphalt;
2. Drainage Works including stormwater conveyance site alteration
and structures, stormwater pond site works and structures; and
3. Earthworks- clearing and grubbing, installation of silt fencing, rock check dam,
and stone mud mat.
1.5 The Developer acknowledges and agrees that no work shall be carried out on
any existing Township right -of -way, and that there shall be no connection to
services on any Township right -of -way.
1.6 The Developer acknowledges and agrees that no work shall be carried out on
lands not owned by the Developer, without the written consent of the owner to be
filed with and approved by the Township.
1.7 The Developer acknowledges and agrees that all Servicing Plans must comply
with Federal, Provincial and Township laws, By -laws, standards and policies.
2. REQUIREMENTS PRIOR TO THE COMMENCEMENT OF WORK
2.1 The Developer agrees to submit the following to the Township, in a form
satisfactory to the Township, prior to the commencement of the installation of
Township services on the Subdivision Lands:
a) A letter from a qualified Engineer experienced in the field of Township
services confirming:
1. Retainer - That their firm has been retained by the Developers to act as
Consulting Engineers for
2. Terms of Retainer - The terms of their retainer with the Developer as
follows:
a) Plans and Specifications - Prepare plans and specifications for the
construction of Township services;
b) Cost Estimates - Prepare cost estimates for the Township services
to be constructed from the drawings;
c) Approvals - Obtain all necessary approvals to construct;
d) Co- ordination - Co- ordinate the installation of Township services to
avoid conflicts with regards to telephone, cable T.V., and Township
services;
e) On -Site Inspections - Ensure that all on -site inspections of
Township service installations are conducted by the Developer's
Consulting Engineers at all times during construction;
f) As- Constructed Drawings - Submit certified "as- constructed"
drawings after acceptance of the Township services;
g) Change in Retainer — If at any time during the project:
i) The terms of their retainer are changed by the Developer, or;
ii) If they become aware that they will not be able to provide "as
constructed" drawings, they will notify the Township within
twenty -four (24) hours;
h) Erosion and Siltation Control - Ensure all necessary precautions are
taken to prevent erosion and sedimentation of sewers, ditches,
culverts, slopes, etc., both within the subdivision and downstream,
prior to and during construction.
b) Confirmation letters are to be filed with the Township Clerk, confirming the
following:
1) The Township Engineering Consultant has no objection to the pre -
servicing;
2) The Planning Division has no objection to the pre - servicing;
3) The County of Simcoe has no objection to the pre - servicing;
4) The Ministry of Transportation has no objection to the pre - servicing;
5) The NVCA have no objection to the pre - servicing.
c) Payment of cash or certified cheque required to cover the cost of the
Township's lawyer and Planner for all costs involved in processing the Pre -
Servicing Agreement, and for all the Township's Engineers for checking of
plans, specifications and inspection on behalf of the Township for the sum of
Ten Thousand Dollars ($10,000).
As accounts are received from the Township Planner, lawyer, and Engineer,
they will be paid by the Township and then submitted to the Developer for
reimbursement within thirty (30) days. In the event that the deposit is drawn
down to a level of
Five Thousand Dollars ($5, 000)
or less, and the Developer does not pay the accounts within thirty (30) days, it
is hereby understood and agreed that the Developer is in default of this
Agreement and all work must cease;
d) A Letter of Credit, as per Schedule "C ", in the amount set out in Schedules "B"
and "D ", attached, as security to ensure the due completion of the Township
services to be constructed by the Developer, and as security to be held by the
Township for the warranty periods to be more particularly described in the
Subdivision Agreement for the Subdivision Lands. The said Letter of Credit
shall provide that if in the sole opinion of the Township, default under the
terms of this Agreement has taken place, the said Letter of Credit may
thereupon be drawn upon in whole or in part;
e) A certified copy of an insurance policy, or a certificate of insurance, confirming
comprehensive general liability in the amount of Five Million Dollars
($5,000,000.00), naming the Township as co- insured, and containing the
following additional provisions or endorsements:
1) Products /Completed Operations provisions;
2) Cross - liability clause;
3) Blasting included, only if done by an independent contractor;
4) Notice of Cancellation - a provision that the insurance company agrees
to notify the Township within fifteen (15) days, in advance, of any
cancellation or expiry of the said insurance policy.
f) All Servicing Plans shall be submitted to and accepted by the Township
Engineer;
g) The Ministry of the Environment and Energy has given technical approval
to the Servicing Plans. Certificate of Approval for Stormwater management
facility and works issued by the Ministry of the Environment dated May 9,
2014 (Certificate 1608- 9JHHNK).
3. INSPECTION BY THE TOWNSHIP
3.1 The Developer agrees to permit unrestricted access to the Subdivision Lands to
the Township and its agents for the purpose of inspection of the Township
services to be installed by the Developer. Notwithstanding that inspections may
be conducted by the Township or its agents, the Developer shall bear sole
responsibility for the soundness of the Engineering design of the Township
services, and for ensuring that the Township services to be installed will function,
as intended, and will be compatible with the final Plan of Subdivision when and if
such Plan of Subdivision is approved.
3.2 If, in the opinion of the Township, there is an emergency situation as a result of
any work undertaken by the Developer or its servants, or agents, which requires
immediate attention to avoid damage to private or public property or services
owned by the Township or to eliminate a potential hazard to persons, such work
may be done immediately by the Township at the expense of the Developer, but
notice shall be given to the Developer at the earliest possible time.
4. APPLICATION OF SECURITY
4.1 In the event of default by the Developer under the terms of this Agreement, or if
the Township is required to enter onto the Subdivision Lands or the abutting
Township lands to conduct any work on the Township services or the connection
of the Township services to facilities due to an emergency, the Township shall be
entitled to draw upon the security posted by the Developer pursuant to the terms
of this Agreement, in whole or in part, to cover the costs incurred by the
Township in remedying the default on the part of the Developer, or in addressing
the emergency situation.
5. NO REDUCTION OF SECURITY
5.1 The Developer acknowledges and agrees that no reduction in the amount of
security filed by the Developer with the Township, in accordance with the terms of
this Agreement, shall be permitted until such time as the Developer has entered
into the Subdivision Agreement for the Subdivision Lands with the Township.
Thereafter, any reductions in the security posted by the Developer shall be
completed in accordance with the terms of the said Subdivision Agreement.
6. NO ASSUMPTION OF TOWNSHIP SERVICES
6.1 The Developer acknowledges and agrees that the Township shall not be required
to assume the Township services to be constructed by the Developer, pursuant
to the terms of this Agreement, until such time as the Developer has entered into
a Subdivision Agreement with the Township for the Subdivision Lands, and the
Township services have been completed, inspected, and approved.
7. NOTICE
7.1 Any notice required to be given pursuant to this Agreement may be given by
prepaid registered post to the Developer at the following address:
Bachly Investments Inc.
17250 Highway 27, Suite 100
Schomberg, ON LOG 1 TO
(705) 835 -0837 (Fax)
8.1 The Developer shall not assign or otherwise transfer the benefit of this
Agreement without the written consent of the Township, which may be
unreasonably withheld.
IN WITNESS WHEREOF the Dev loper ghaseunto set its hands and seals this
;,day of, 2
Per: David Bachly, Bachly
Investments Inc., Developer '
IN WITNESS WHEREOF the Township has hereunto sets its hands and seais this
IU day of Vvl) 12014.
THE CORP RAT N OF THE TOWNSHIP OF ORO- MEDONTE
Per: H.S. Hughes, Mayor
Per: J. Douglas Irwin, Clerk
SCHEDULE "A"
DESCRIPTION OF LANDS:
Plan Of Subdivision of PCL 1 -1 SEC 51- Oro -14; Pt Lt 1, Con 14 Oro, Pts 1, 2 & 3
51 R22639; S/T Oro17148; Oro - Medonte, County of Simcoe PIN 58531 -0102 (LT)
SCHEDULE "B"
CASH DEPOSITS TO BE FILED WITH THE TOWNSHIP:
Township's lawyer and Planner for all costs involved in processing the Pre -
Servicing Agreement, and for all the Township's Engineers for checking of plans,
specifications and inspection on behalf of the Township.
$20,000
TOTAL CASH DEPOSITS TO THE TOWNSHIP $ 20,000
2. A Letter of Credit as security to ensure the due completion of the Township
services to be constructed by the Developer, and as security to be held by the
Township for the warranty periods to be more particularly described in the
Subdivision Agreement for the Subdivision Lands.
SECURITY TO BE DEPOSITED WITH THE TOWNSHIP $ 152,770.53
(In Accordance with Schedule "D" excludes Cash Deposit
Required as noted above)
SCHEDULE "C"
SUBDIVISION AGREEMENT - STANDARD FOR THE TOWNSHIP
"STANDBY" LETTER OF CREDIT
IRREVOCABLE LETTER OF CREDIT
DATE OF ISSUE:
NAME OF BANK:
ADDRESS OF BANK:
LETTER OF CREDIT NO.:
AMOUNT: $ 152,770.53
Except as otherwise expressly stated, this Letter of Credit is issued subject to the Uniform
Customs and Practices for Documentary Credits (1993 Revision), being ICC Publication No.
UCP 500.
TO: THE CORPORATION OF THE TOWNSHIP OF ORO- MEDONTE
P.O. Box 100, Oro Ontario, LOL 2X0
We hereby authorize you to draw on the Bank of
Ontario, , for the account of
up to an aggregate amount of
which is available on demand.
Pursuant to the request of our said customer, we, the Bank of
, Ontario, hereby establish and
give to you an Irrevocable Letter of Credit in your favour, in the above amount, which may be
drawn on by you at any time and from time to time, upon written demand for payment made
upon us by you which demand we shall honour without enquiring whether you have the right as
between yourself and our said customer to make such demand and without recognizing any
claim of our said customer or objection by them to payment by us.
Demand shall be by way of a letter signed by an authorized signing officer of the Corporation of
the Township of Oro - Medonte. The original Letter of Credit must be presented to us at : Bank
of I , Ontario, . The Letter of Credit, we
understand, relates to a Subdivision Agreement between our said customer and the Corporation
of the Township of Oro - Medonte, with Mortgage Company, as a third party, regarding
subdivision of
(property description)
The amount of this Letter of Credit may be reduced from time to time, as advised by notice in
writing, given to us by an authorized signing officer of the Corporation of the Township of Oro -
Medonte.
Partial drawings shall be permitted. We hereby agree that partial drawings under this Letter of
Credit will be duly honoured upon demand.
This Letter of Credit will continue in force for a period of one year, but shall be subject to the
condition hereinafter set forth. It is a condition of this Letter of Credit that it shall be deemed to
be automatically extended without amendment from year to year, from the present or any future
expiration date hereof, unless at least thirty (30) days prior to the present, or any future
expiration date, we notify you in writing by registered mail that we elect not to consider this
Letter of Credit to be renewable for any additional period.
Dated at , Ontario, this day of 2014.
Authorized Signature
Bank of
Authorized Signature
SCHEDULE "D"
SECURITY SUMMARY
SCHEDULE "D"
NOTE: It is understood and agreed that this Schedule forms part of the
Pre - Servicing Agreement between the TOWNSHIP OF ORO- MEDONTE
AND TURTLE RIVER SUBDIVISION
ITEMIZED ESTIMATE OF COST OF CONSTRUCTION OF EACH PART OF THE WORKS:
The following list summarizes the cost estimate of the major works but is not necessarily
inclusive:
Original Remaining Completed
LETTER OF CREDIT REQUIRED FOR SUBDIVISION AGREEMENT
0 Remaining Outstanding Work $575,901.79
C; 10% of Completed Work $0.00
SECURITIES RETAINED BY TOWNSHIP $575,901.79
60118109 5/5/2014
10
Outstanding
Work
Work
A)
Erosion and sediment control including silt fence,
rock check dams and stone mud mat, .......... _ ........
$16,700.00
$16,700.00
$0.00
B)
Road works on Breanna Blvd, Vine St, and Orser Dr.
including clearing and grubing, grade road to subgrade
and install road crossing culverts ............................
$175,500.00
$175,500.00
MOO
C)
Storm works including structures, storm sewer pipes,
earthworks and sub - drains in easements ................
$157,540.00
$157,540.00
$0.00
D)
SWM Pond works including earthworks, forebay weir,
pond outlet, rip rap, access path, storm pipes,
control structure and Turfstone ...............................
$113,576.00
$113,576.00
$0.00
SUB -TOTAL
$463,316.00
$463,316.00
$0.00
E)
10% Allowance for Engineering and Supervision
$46,331.60
$46,331.60
$0.00
TOTAL
$509,647.60
$509,647.60
$0.00
13% HST
$66,254.19
$66,254.19
$0.00
TOTAL COST
$575,901.79
$575,901.79
$0.00
LETTER OF CREDIT REQUIRED FOR SUBDIVISION AGREEMENT
0 Remaining Outstanding Work $575,901.79
C; 10% of Completed Work $0.00
SECURITIES RETAINED BY TOWNSHIP $575,901.79
60118109 5/5/2014
10