Title
Approve the form of a Maintenance Agreement with the Homeowner's Association (the "HOA") and HC Solterra, LLC regarding the maintenance of public improvements or land owned by the City, specifying the standards of maintenance to include irrigation, and requiring an HOA funded reserve account, in accordance with the Solterra Development Agreement, as amended, and authorizing the City Manager to execute and administer the Maintenance Agreement on behalf of the City prior to the City issuing special revenue assessment bonds for each phase of the development.
Body
One of the provisions of the Solterra Development Agreement that was approved by Council on October 19, 2020, is for the Developer to create a mandatory homeowners' association (HOA) over each phase of the Public Improvement District (PID) once each phase is developed.
The attached Maintenance Agreement is a form of agreement that will be used for future HOA agreements entered into on a phase by phase basis and must be approved before any PID bonds are issued.
All property dedicated to the City will be maintained by the City unless otherwise stated in each HOA Maintenance Agreement. As public improvements are acquired and accepted by the City with each PID phase, the Developer will provide a preliminary title report for the land with respect to the public improvements, including any related rights-of-way, easements and open space, and at that time the legal descriptions of the property will be incorporated as exhibits to each HOA Maintenance Agreement.
The Maintenance Agreement specifies the performance standards and conditions for each HOA to adequately maintain public improvements or land owned by the City. The Maintenance Agreement also covers provisions for water to irrigate landscaped areas and requires a special HOA reserve account to repair or replace HOA maintained public art, monument signs or other enhanced features that were financed or paid for with PID bond revenues.
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