Staff recommends that the City Council approve the development agreement with John Burg.

City Council will consider annexation of Hagmann Acreage Tracts Subdivision, Lot 2A.  The property proposed to be annexed is located south of US Highway 3 and west of Hickok Circle.  The Burg's currently live in a single-family house on this property.  They desire to connect to City water.  At this time, they are not interested in sanitary sewer.  Typically, as a condition of approval of the annexation, the property owner enters into a development agreement with the City of Billings outlining necessary public improvements for consideration. The Developer is required to reimburse the city for a portion of the construction of the water main in Highway 3.  The sanitary sewer was constructed by special improvement district (SID) and therefore they do not need to reimburse the city for that infrastructure.

City Council may:

• If the annexation is approved, then approve the development agreement with the property owner; or
• Disapprove the development 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 is one requirement of the development agreement that would not be required upon site development.  The requirement within section 3 requires the developer to reimburse the city for a portion of the water main in Highway 3 along the property frontage.  

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.