Staff recommends that the City Council approve the development agreement with CPP, LLC, ARB Investments, LLC, and GSB Holdings, LLC.

City Council will consider annexation of Tracts A-1 and A-2 of the Amended Tract A COS 775.  The property proposed to be annexed is located east of Calhoun Lane and north of King Avenue East.  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 council consideration. The Developer will be required to reimburse the city for a portion of the sanitary sewer main that was constructed in Calhoun Lane.  The water main was originally constructed by SID and RID, and this property was included and is therefore not required to reimburse the city for the water.

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 in section 2 requires the developer reimburse the city for a portion of the 8-inch sanitary sewer fronting the property along Calhoun Lane which would not be required upon typical site development.

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.