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SANITARY SEWER CONNECTION AGREEMENT <br />THIS SANITARY SEWER CONNECTION AGREEMENT ("Agreement") entered <br />into this day of December, 2024, by and between MEADOWWOODS VILLAGE <br />HOMEOWNERS ASSOCIATION, ("HOA") and the CITY OF ELK RIVER, 55330 ("City"). <br />BACKGROUND <br />Meadowwoods Village (the "Subdivision") is a 39-lot residential subdivision located <br />outside of the City's Urban Service Area, with no current access to City Sanitary Sewer Services. <br />Sanitary Sewer Service is currently provided to the 39 lots in the Subdivision by means of a shared <br />subsurface sewer treatment system ("SSTS"), which has reached the end of its useful life and must <br />be replaced. In lieu of replacing the SSTS, the HOA has requested the City to connect the <br />Subdivision to the City's Sanitary Sewer System. In response to this request, the City has initiated <br />a public improvement project (the "Project") to install a public sewer line to connect the <br />Subdivision to the City Sanitary Sewer System, and to assess the costs of the Project to the 39 lots <br />in the Subdivision. The purpose of this Agreement is to set forth the terms and conditions for <br />connection to the City -owned Sanitary Sewer System. <br />AGREEMENT <br />1. The Project. The Project includes the design and installation of a publicly built <br />sanitary sewer system that will connect the Subdivision to the City sanitary sewer system. This <br />may be accomplished via a gravity sewer installation as detailed in the May 30, 2024, Feasibility <br />Study completed by the HOA, or installation of a new lift station and forcemain system. The <br />Project will study the cost effectiveness, constructability, and long-term maintenance around both <br />options before developing plans around the option that most appropriately fits all needs, as <br />mutually agreed upon by the HOA and the City. The Project will involve improvements on or <br />across Outlot A as owned by the HOA. This Agreement hereby establishes the rights of the Project <br />to establish certain public easements upon this outlot, to be detailed in and mutually agreed upon <br />in certain easement agreements, so the public sewer system can be built and maintained into the <br />future. <br />Notwithstanding the foregoing, the HOA may terminate the Project and the Agreement at any time <br />prior to the commencement of any construction or installation or repair of any portion of the <br />Project, or if the HOA fails to close on its acquisition of the SSTS, in which case this Agreement <br />shall terminate except for the HOA's obligation to reimburse the City's costs incurred through the <br />date of termination and the City's ability to assess such costs as set forth herein. <br />2. Assessments. The HOA agrees that all City costs related to the Project shall be <br />assessed to the 39 properties included in the Subdivision as committed through the signed <br />preliminary Petition Waivers and Agreements to be entered into by and between the City and each <br />lot owner, and to be fully documented in final petition Waiver and Agreements. Costs to be <br />assessed will include all City costs to complete the Project, agreed costs for purchase of the current <br />system from the HOA's third party vendor (already negotiated by HOA), any additional costs to <br />upgrade or replace existing private HOA (or third party) Owned Infrastructure, any additional City <br />Page 201 of 273 <br />