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236229v3 PETITION, WAIVER AND AGREEMENT FOR PAYMENT OF THE COST TO DISCONNECT AND DECOMMISSION THE EXISTING PRIVATE SANITARY TREATMENT SYSTEM, DESIGN AND CONSTRUCT A SANITARY SEWER CONNECTION FOR THE MEADOWWOODS VILLAGE SUBDIVISION INTO THE CITY OF ELK RIVER SANITARY SEWER SYSTEM, AND FOR ASSESSMENT OF AMOUNTS PAID AS A SPECIAL CHARGE UNDER MINNESOTA STATUTES, SECTION 429.101 TO: City Council of the City of Elk River The undersigned owners (the Owners), of the 39 properties (the Properties) located within the Meadowwoods Village subdivision (Subdivision) as legally described on the signature page of this Petition, Waiver and Agreement (Agreement), petition the City of Elk River (the City) to perform and to pay the costs of: • Engineering & Design of a municipal sanitary sewer system for the Subdivision • Decommissioning and removal of the existing private sanitary treatment facility as required by local and state laws. • Completing the final purchase of the existing private sanitary treatment system and associated sanitary gravity pipe serving the Properties from the current operator/owner Natural Systems Utilities (NSU). • Construction of municipal sanitary sewer extension to connect to the existing sanitary sewer pipes serving the Properties to the City system (the Project). The Project is also further memorialized in the Sanitary Sewer Connection Agreement, which the Owners shall enter into with the City. Estimated costs, charges and fees, for the Project are described in more detail on Exhibit A attached hereto. The Owners further petition the City to levy a special assessment against each Property in the Subdivision pursuant to Minnesota Statutes, Section 429.031, subd. 3, in the amount of the total cost of the Project, including all City administrative and other costs attributable to the Project, in equal amounts to each of the 39 lots in the Subdivision, not to exceed $39,366.31 for each of the 39 lots. Owners acknowledge and agree: (1) the existing treatment system is not within compliance of the Minnesota Pollution Control Agency (MPCA) standards and regulations; (2) the MPCA non-compliance has created a public health and safety risk; (3) that in lieu of replacing the existing private sanitary sewer system, the Owners have collectively agreed to connect the Subdivision to the City of Elk River Sanitary Sewer System; (4) that the Project as described in Exhibits A and B is reasonable and necessary to connect the Subdivision to the City sanitary sewer system and to mitigate the public health and safety hazards for the Properties; (5) that the Cost of the Project as identified on Exhibit B is reasonable and necessary to complete the Project and is the responsibility of Owners; and (6) that Owners have been provided the opportunity to pay the Cost of the Project without the City’s involvement and have elected instead to petition the City to pay the Cost of the Project and to assess the full amount of the Cost of the Project to the Properties. Page 71 of 637