Staff recommends that the City Council approve the Annexation Agreement with C&T Equipment Holding, LLC.

City Council approved the annexation of Certificate of Survey 2735, Tract 4B at the March 25, 2024, City Council Meeting. The property that was approved to be annexed is located south of Grand Avenue west of the Birely Drain and is solely surrounded by Buffalo Crossing Subdivision.  The developer desires to develop the property as a residential development.  Typically, as a condition of approval of the annexation, the property owner enters into an Annexation Agreement with the City of Billings outlining necessary public improvements.  The Annexation Agreement outlines the off-site improvements necessary for development including access to the site, construction of water and sanitary sewer, and storm drain.  The Annexation Agreement provides for City-required off-site improvements should the property be annexed and developed without a subdivision plat.

The Annexation Agreement for this Council action generally includes the following conditions or improvements: requirement for access to an internal street within Buffalo Crossing Subdivision; requirement for water and sanitary sewer services from an internal street within Buffalo Crossing Subdivision; requirement for participation in a future pedestrian bridge over the Birely Drain; requirement to be assessed for proportional share of future Grand Avenue Improvements, and a requirement to vacate the existing access easement to Grand Avenue.

City Council may:

• Approve the Annexation Agreement with the property owner; or
• Not approve the Annexation Agreement.  If the agreement is not approved, the responsibility for infrastructure improvements would be in accordance with policies in place at the time of development.  

There are two requirements of the Annexation Agreement that would not be required upon site development. Section 1 requires vacation of an existing access easement to Grand Avenue.  Section 7 requires participation in the construction of a pedestrian bridge over the Birely Drain.  The financial impact of the remainder of the agreement is dependent on policy changes that may occur before development. If development occurs before any changes to the City's development policies, there would be no financial impact. If development occurs after City development policies change, the financial impact would be dependent on the changes.