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TC Res. No. 2006-25 APPROVING FINAL PLAT, SUBDIVISION IMPROVEMENTSEAGLE COUNTY, CO 200615955 TEAK J SIMONTON 370 Pgs: 2 04:53:01PM - REC= $11.00 DOC=_S 06/15/2006 TOWN OF AVON, COLORADO RESOLUTION NO. 06-25 Series of 2006 A RESOLUTION APPROVING FINAL PLAT, SUBDIVISION IMPROVEMENTS AGREEMENT AND RELATED DOCUMENTS FOR RIVERFRONT SUBDIVISION, TOWN OF AVON, EAGLE COUNTY, COLORADO WHEREAS, East West Partners, Inc. has applied for Final Subdivision Plat approval for Riverfront Subdivision, a subdivision of a parcel of land commonly known as The Confluence, located in the South 1/2 of the Northwest 1/4, Section 12, Township 5 South, Range 82 West of the 6th Principal Meridian, in the Town of Avon, Eagle County, Colorado and containing approximately 18.9 acres, in accordance with Chapter 16.20 of the Avon Municipal Code; and WHEREAS, a Preliminary Plan was submitted in conjunction with a proposed Confluence PUD Amendment and Subdivision Variance application; and WHEREAS, the proposed Preliminary Subdivision Plan, Subdivision Variance and proposed Confluence PUD Amendment have been reviewed by the Town Council of the Town _T of Avon; and WHEREAS, following public hearings and extensive review the Town Council approved the proposed Confluence PUD Amendment, Subdivision Variance and Preliminary Subdivision Plan for Riverfront Subdivision; and WHEREAS, The Preliminary Subdivision Plan for Riverfront Subdivision was approved subject to thirteen specific conditions by Resolution No. 06-08, Series of 2006, at the March 14, 2006 Council Meeting; and WHEREAS, a Memorandum of Understanding and the form of a Subdivision Improvements Agreement (SIA)was approved by Resolution No. 06-18 at the April 25, 2006, Council Meeting; and WHEREAS, a Guaranty Agreement for Riverfront Express Gondola Construction (Gondola Agreement) has been submitted to address the Gondola Construction commitment which was not included in the form of the SIA approved with the Memorandum of Understanding; and WHEREAS, an Addendum to Riverfront Subdivision Subdivision Improvements Agreement (SIA Addendum) has been submitted to allow a cash deposit furnished by the District as the initial security to be provided for funding of the Improvements; and WHEREAS, the Construction Plans and Final Plat for Riverfront Subdivision as submitted for approval is in general conformance with the Preliminary Plan for Riverfront Subdivision as approved by Resolution No. 06-08, Series of 2006. NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO, that the Town hereby finds and determines that the Final Plat for Riverfront Subdivision, SIA, SIA Addendum and Gondola Agreement are in general conformance with the River Front Subdivision Preliminary Plan. as approved by Town of Avon Resolution No. 06-08 and other applicable development laws, regulations and policies of the Town of Avon and hereby approves the same subject to completion of technical corrections as identified by Town Staff and the submission to and acceptance by, the Town of Avon, the following items prior to recording of the Final Plat, SIA, SIA Addendum and Gondola Agreement: A. Copy of "Resolution of Confluence Metropolitan District Regarding Appropriation of Funds Under Subdivision Improvements Agreement Riverfront Subdivision" as duly adopted and executed by District Board of Directors (Riverfront Subdivision Improvements Agreement Exhibit C); and B. Copy of "Resolution of Confluence Metropolitan District Regarding Appropriation of Funds Under Guaranty Agreement for Riverfront Express Gondola Construction" as duly adopted and executed by District Board of Directors (Guaranty Agreement for Riverfront Express Gondola Construction Exhibit A); and C. Construction plans, specifications and related documents for construction of public improvements as identified in Riverfront Subdivision Subdivision Improvements Agreement Exhibit A as amended to address technical issues identified by Town Staff; and D. Master Landscape Plan for Riverfront Lane Right-of-Way and Tract A as approved by the Town of Avon Planning and Zoning Commission shall be included in public improvements and "Resolution of Confluence Metropolitan District Regarding Appropriation of Funds Under Subdivision Improvements Agreement Riverfront Subdivision" shall include adequate funds to complete approved Landscape Plan. ADOPTED THIS a3 DAY OF 2006. TO OUNCIL T O AVON, COL RADO /~F7~ Ronald C. Wolfe, Mayor Resolution No. 06-25 Confluence Final Plat Page 2 of 2 .J • EAGLE COUNTY. CO 200615951 TEAK J SIMONTON 23 Pgs: 2S 04:52:19PM 06/15/2006 REC: $131.00 DOC: $ I RIVERFRONT SU1~ll1V1S1 IN SUBDIVISION IMPROVEMENTS AGREEMENT THIS AGREEMENT, made and entered into this;BQdday of , 2006, is by and among Confluence Metropolitan District, a Colorado quasi-munic~orporation and political subdivision of the State of Colorado (the "District"), and the Town of Avon, a Colorado municipality, by and through its Council (the "Town"). RECITALS . WHEREAS, the District, in connection with the approval of the final plat for the Riverfront Subdivision; consisting of 18.893 acres in the Town of Avon, Eagle County, Colorado (the "Subdivision"), desires to enter into a Subdivision Improvements Agreement ("Agreement") with the Town as provided for by Section 16.24. 100 of the Avon Municipal Code, as amended (the "Code"); and WHEREAS, pursuant to the Code, the Town desires to make reasonable provisions for completion of certain public improvements ("Improvements") as depicted on the plans approved by the Town for the Subdivision dated M-1 ;?0 ZrC4 ("Approved Plans") and as identified in Exhibit A attached hereto and incorporated herein by reference, together with minor changes approved by the Town Engineer; and WHEREAS, the District is responsible for the completion of the Improvements; provided, nothing herein shall be construed as relieving the obligations of the Owner (as defined therein) pursuant to the Amended and Restated Development Agreement dated March 14, 2006. AGREEMENT NOW THEREFORE, in consideration of the following mutual covenants, conditions and promises, the parties hereby agree as follows: 1. Final Plat Approval. The Town agrees that upon compliance with all other conditions of approval, and subject to the terms and conditions of this Agreement, the Final Plat of Riverfront Subdivision ("Subdivision") shall be promptly filed for recording with the Office of the Eagle County Clerk and Recorder. 2. Completion of Work. • (a) Performance. The District agrees to furnish all equipment, labor and material necessary to perform and complete, in a good and workmanlike manner, all Improvements and work incidental thereto ("the Work") as depicted on the Approved Plans. The District further agrees that it will be responsible for all costs of the Improvements as itemized on Exhibit B attached hereto and incorporated herein. All said Work shall be performed in accordance with the Approved Plans. The District agrees to SIA-Riverfront-4 27 cln commence construction of ,Improvements prior to the issuance of a building permit for any improvements in the Subdivision and to complete the Improvements prior to the issuance of a Certificate - of Occupancy for any building _on any lot in the Subdivision served by the improvements. Commencement of construction of Improvements shall be deemed to mean, the award and execution of contracts for the construction of the Improvements as depicted on the Approved Plans (b) Inspection Procedures. (1) All work shall be done under the inspection procedures and standards established by the Town and Holy Cross Energy, Eagle River Water and Sanitation District, Excel Energy, Qwest- Communications, Comcast or any, other utility. (`.`Utilities"), as applicable and shall be subject to the reasonable satisfaction of 'the Town and applicable - Utilities. All work shall not be deemed complete until the reasonable approval and acceptance of.the Improvements by the Town and/or the Utilities.., Such inspections by the Town and Utilities shall not.relieve the District or its agents from any responsibility or obligation to assure that all Work is completed in conformance with all standards, plans and specifications as submitted to and 'previously'approved by the Town and Utilities. • The Town will forward copies of observation reports to the District. and the District's,.engineers (who shall be registered in' the State of Colorado) responsible for providing the opinion required by Section 6 hereof. (2) Designation of Inspectors. Prior to commencement of construction,work on the Improvements, the Town will designate the individuals and/or independent third parties employed by the Town who are authorized to inspect the construction of the Improvements. Such inspections by the Town shall not relieve, the District or its' agents from any responsibility or obligation to assure that all 'work is completed in conformance with standards, plans and specifications as submitted to and previously approved by the Town. (3) . Cost of Inspections. The cost of such inspections, by Town employees or an independent third party inspector, shall be paid by the District, subject to the limitations set forth in paragraph 7 below. (4) Notice of Non-Compliance. In the event that the Town through its inspectors reasonably determines that the Improvements are not in compliance with the Approved Plans, or that additional observation or testing by the project engineer is necessary to assure compliance, it shall give written notice of such non-compliance, or additional observation or testing requests, to the District's engineers and the District ("Notice of Non-Compliance"). The Notice of Non-Compliance shall include a narrative describing the unsatisfactory construction work with specific reference to the applicable construction plans and specifications. The Notice of Non-Compliance must be provided to the District's engineers and the District within two (2) working days of the date of the . observation. The notice may be provided in an informal manner agreed upon by the parties and without compliance with Section 15 hereof. SIA-Riverfront4 27 cin 2 3. Security for Completion of Improvements and Obligations. To secure completion of the Improvements and the District's obligations to the Town hereunder, the District hereby agrees to secure the respective obligations under this Agreement as provided in this Agreement and in accordance with Section 16.24.100 of the Code. 4. District Obligations Concerning Improvements. (a) Funding Resolution. The District has adopted a resolution (the "Funding Resolution") attached hereto as Exhibit C authorizing the District's execution of this Agreement and providing for the appropriation, segregation and use of funds in an amount sufficient to guarantee the construction of the Improvements as set forth on the Approved Plans. The estimated costs of completion of the Improvements are set forth on Exhibit B. The Town acknowledges and agrees that funding for the Improvements is subject to the issuance of bonds by the District for such purposes. In accordance with the terms of the Indenture of Trust by which the bonds will be issued, the Bond Trustee will serve as custodian of the bond proceeds to ensure that such proceeds are applied for the purposes of funding the Improvements. The procedure by which funds are released involves the filing of "Draw Requests" together with related invoices with the Bond Trustee. The Indenture of Trust shall contain provisions authorizing the Town to submit Draw Requests to the Bond Trustee, in order to effectuate the Town's remedies to draw funds for constructing the Improvements, in the event of a default by the District hereunder. The Town agrees to use the proceeds of the District's bonds only for the purpose of paying the costs of the Improvements, and not to apply such funds for purposes not authorized in the Indenture of Trust. The Funding Resolution specifically provides that, subject to the terms of the Indenture of Trust, all funds referenced therein are unencumbered and free from claims of others such that, if necessary, any requests for payment approved by the Town may be promptly honored. As a condition to recordation of the Final Plat, the District shall provide the Town Engineer with evidence that such funds have been appropriated and segregated in a separate interest bearing account (the "Security Account") and identified for use in connection with this Agreement. The District shall renew the Funding Resolution at the beginning of each subsequent calendar year until all Improvements have received final acceptance or until the District provides substitute collateral acceptable to the Town. (b) Progress Payments on Improvements. The District may make progress payments to its contractors from the Security Account on a monthly basis upon the partial completion of itemized Improvements and upon fifteen (15) days' prior written notice, which notice will include an itemized statement of the monthly payment, to the Town. The District shall retain ten percent (10%) of the amount of each payment until final completion and acceptance of all work covered by each construction contract; SIA•Riverfr= 4 27 do 3 provided, however, when the value of work completed has progressed to fifty percent (50%) of the contract amount, the District shall not be required to withhold additional retainage for the remainder of the work under such contract. The ten percent (10%) retainage of the value of the work completed may be reinstated if in the Town's opinion the lack of progress or other substantial reasons exist. Subject to the foregoing, in no event shall any progress payment cause the remaining sum to be available in the Security Account for subsequent disbursements to be less than one hundred ten percent (110%) of the costs to complete all remaining Improvements as estimated at the time of each progress payment. Upon completion of all work related to the Improvements, the Town's acceptance of the Improvements and the expiration of the Warranty Period as set forth in paragraph 5 below the Town shall release any further interest in the Security Account. (c) Default by District. In the event of a default in whole or in part by the District, the Town shall be authorized to access the funds in the Security Account for the purpose of undertaking completion or remediation work on the Improvements after providing thirty (30) days' advance written notice of default and providing a opportunity during such period for the District to cure the default. The Town shall be entitled to draw on the Security Account by Resolution of the Town Council stating (i) that the District is in default, and (ii) the funds are required in order to complete or correct work on the improvements'. District funds identified in the Funding Resolution shall be held, whether by the District or the Town, in compliance with the requirements of C.R.S. Section 29-1-803(1) for the purpose of providing for the completion of the Improvements. 5. Warran Period. The Improvements shall be warranted to be free from defects in workmanship or quality for a period of two (2) years after acceptance of all the work by the Town. In the event of any such defect, the Town may require the District to correct the defect in material or workmanship. Five percent (5%) of the total actual cost of completion of all Improvements shall be retained in the Security Account, or such amount shall otherwise be secured by a letter of credit or other collateral acceptable to the Town during such two (2) year period as a guaranty of performance of any work required pursuant to the above described warranty. In the event any corrective work is performed during the two-year warranty period, then the warranty on said corrected work shall be extended for one (1) year from the date on which it is completed and an amount equal to 125% of the cost of any corrected work, as estimated by the Town, shall during such one- year extension period be retained in the Security Account, or such amount shall otherwise be secured by a letter of credit or other collateral acceptable to the Town, if sufficient funds are not held in the Security Account or otherwise secured as provided in this paragraph 4 above. 6. Engineering Opinion. Upon completion of portions of the Improvements, the District will cause its engineers (who shall have been actively engaged in observing the construction of the Improvements and be registered in the State of Colorado) to provide a written opinion, in a form satisfactory to the Town Engineer, that based upon on-site observation, review of sufficient construction-observation reports, field test SIA-River&ont4 27 cln 4 reports and material test reports and certifications by qualified personnel, the installation of the Improvements, or portions thereof as may be completed from time to time, have been completed, to the best of their knowledge and professional judgment, in substantial conformance with all standards, plans and specifications as submitted to and previously approved by the Town, or the pertinent utility supplier, as depicted on the Approved Plans, as such Approved Plans may be revised and subsequently approved. The engineer's opinion shall also include a statement that the opinion is based on a reasonable review and investigation of all observation reports by the Town inspectors and that all issues of "Non-Compliance" and additional observation and testing requests that have been provided to the engineer were addressed to their satisfaction prior to issuance of engineer's opinion. Inspection reports, test results, as-constructed plans and other supporting documentation shall be submitted with the engineer's opinion. 7. Subdivision and Inspection Fees. Fees in accordance with the Town's Subdivision Regulations for the review of Preliminary Plans and Final Plats have been paid in full. Additional fees shall be paid to the Town by the District within thirty (30) days after delivery of written invoice for such fees to cover the cost of inspections by the Town. The fees, if any, will be based on direct (out-of-pocket) costs of the Town plus an administrative fee in the amount of fifteen (15%) percent of the direct costs, but in no event will the total amount of such additional fees exceed five percent (5%) of construction costs. 8. No Obligation of Town to Complete Improvements. The District agrees that in the event the District shall fail to perform its obligations as set forth herein, the Town shall be under no obligation to complete any of the said Improvements or to issue permits for development within the Subdivision. 9. Non-Liability of Town; Indemnification. The Town shall not, nor shall any officer, agent, or employee thereof, be liable or responsible for any accident, loss or damage related to the Work specified in this Agreement, nor shall the Town, nor any officer, agent or employee thereof, be liable for any persons or property injured by reason of the nature of said Work. To the extent permitted by law, the District hereby agrees to indemnify and hold harmless the Town, and any of its officers, agents and employees against any losses, claims, damages or liabilities to which the Town or any of its officers, agents or employees may become subject, because of any losses, claims, damages or liabilities (or actions in respect thereof) that arise out of, or are based upon, any acts or omissions in the performance of the obligations of the District, as hereinbefore stated. Furthermore, the District shall reimburse the Town for any and all legal or other expenses reasonably incurred by the Town in connection with investigating or defending any such loss or claim. 10. Rights of Town in Event of Default. In the event that the District defaults in whole or in part in the performance of this Agreement, and after the expiration of thirty (30) days after having given written notice to the District of such default, during which period of time the District fails to correct said default, the Town may, at its sole SIA-Riverfr= 4 27 cin 5 discretion, exercise its rights under Section 4(c) above and proceed with the construction or completion of the Improvements specified on the Approved Plans. All such costs paid by the Town for such Improvements, together with an administrative fee in the amount of fifteen percent (15%) of total direct costs including cost of personnel, equipment and other amounts expended by the Town in furtherance of the construction responsibilities of the District, shall be paid by the District2. The Town may bring a mandatory injunction action against the District to require installation and construction of the Improvements. If any such action is brought by the Town and the Town prevails in its legal action against the District, the Town shall be awarded its court costs, attorneys' fees and an amount to compensate the Town for the time of its employees in the preparation of and participation in such action. 11. Town Acceptance of Improvements. (a) Procedures for Acceptance. Upon completion of all construction by the District, the District's engineers shall submit a written request to the Town Engineer stating that to the best of their knowledge the installation of all Improvements are complete in accordance with the Approved Plans and requesting a joint inspection. Upon receipt of such request the Town Engineer will schedule and perform a joint inspection with the District's engineer. Following the joint inspection and review of all field observation reports, test reports, material certifications and other documentation, the Town Engineer will prepare a written Final Acceptance Punch List. The District shall make all corrections as so itemized and upon completion of the Final Acceptance Punch List work, the District's engineer shall submit to the Town Engineer a written request for a joint inspection and final acceptance. Following a joint inspection with the District's engineer and review of supporting documentation the Town Engineer will issue a revised written Final Acceptance Punch List to the District and the same procedures as described herein shall apply to such revised Final Acceptance Punch List. When the Town Engineer finds the Final Acceptance Punch List Work has been satisfactorily completed a Resolution will be prepared for Town Council action making a determination that the Improvements are complete and establishing the start of the warranty period. The warranty period set forth in paragraph 5 above with respect to the Improvements shall commence upon the date as set forth in the Town's Resolution making the determination that the Final Acceptance Punch List has been satisfactorily completed. (b) Letter Certifying Completion and Final Acceptance of Improvements. When all Improvements have been completed and accepted by the Town, or the pertinent utility supplier, and the Warranty Period has expired and provided that the District is not in default under any of its other obligations to the Town, the Town agrees that it will issue a letter, after consultation with the 'pertinent utility supplier if necessary, in recordable form, certifying that all obligations of the District under this Agreement have been satisfied. • SIA-Riverfront4 27 On 6 12. Amendments. This Agreement may be amended from time to time, provided that such amendment is in writing and signed by all parties hereto. 13. Covenants Running with the Land. This Agreement and the obligations hereof shall be deemed to be covenants running with the land and shall be binding on the successors and assigns of the parties hereto. 14. Venue. Venue for any litigation arising out of this Agreement shall be in the District Court for Eagle County, Colorado. 15. Notices. All notices, demands or other communications required or permitted to be given hereunder shall be in writing and any and all such items shall be deemed to have been duly delivered upon personal delivery; or as of the third business day after mailing by United States mail, certified, return receipt requested, postage prepaid, to the address set forth below; or as of 12:00 noon on the immediately following business day after deposit with Federal Express or a similar overnight courier service, to the address set forth below; or as of the third business hour (a business hour being one of the hours from 8:00 a.m. to 5:00 p.m. on business days, local time of the recipient) after transmitting by facsimile to the number set forth below and evidenced by an electronic delivery receipt: If to the District: White Bear and Ankele Professional Corporation 1805 Shea Center Drive, Suite 100 Highlands Ranch, CO 80129 Attn: William P. Ankele, Jr., Esq. District Counsel Telephone: (303) 858-1800 Facsimile: (303) 858-1801 with a copy to: Wear,-Travers &-Perkins,-P.C. - 1000 South Frontage Road West Suite 200 Vail, Colorado 81657 Attn: Richard D. Travers, Esq. Telephone: (970) 476-7646 Facsimile: (970) 476-7118 • SIA-Riverfr=4 27 cin 7 If to the Town: Town of Avon P.O. Box 975 Avon, CO 81620 Attn: John W. Dunn, Town Attorney Telephone: (970) 748-6400 Facsimile: (970) 748-8881 The parties hereto have executed this Agreement as of the date first above written. O 4' TOWN OF AVON, a Colorado Municipal Corporation _SE A ATT C ` t By: P c nny, o Ronald C. Wolfe, Mayor APP VE AS TO FORM: John . Dunn, Town Attorney DISTRICT: CONFLUENCE METROPOLITAN DISTRICT Eagle County, Colorado By: Nam . T' r•• ~ L- E • • SIA-Riverfront-4 27 cln 8 • EXHIBIT A Subdivision Improvements Agreement E • APPROVED PLANS: Construction Drawings , Town of Avon, Colorado 20 Sheets 1 through_ Release Date: , 20 Prepared by: Technical Specifications , Town of Avon, Colorado ,20 Sheets 1 through Release Date: , 20_ Prepared by: S1A-Riverfr= 4 27 cln 9 • EXHIBIT A Subdivision Improvements Agreement APPROVED PLANS: 1. Riverfront Subdivision Construction Plans Road, Grading, Drainage, Water, Sewer and Utility Plans Revision Date May 12, 2006, subject to resolution of all comments in attached letter dated May 1, 2006 to East West Resorts Development XIV LP LLLP from Norman Wood, P.E., Town Engineer, Town of Avon, Colorado. As Prepared by: Alpine Engineering, Inc. Technical Specifications: Technical Specifications for Riverfront Subdivision March 2006 Owner: East West Partners P.O. Box 2770 Avon, CO 81620 Engineer: Alpine Engineering P.O. Box 97 Edwards. CO 81632 2. The Riverfront Village Overall Landscape Master Plan Avon, Colorado Revision Date March 24, 2006 (Progress Set - Not for Construction), subject to compliance with all conditions in attached letter dated April 10, 2006 to East West Partners from Matt __Pielsticker; Planner_I,-T9wn-ofAvon,_Color_ado. _ As Prepared by: Terrasan Planning & Landscape Architecture • is SIA-Riverfront4 27 On C 0 i 0 8 A D 0 May 1, 2006 East West Resorts Development XIV LP LLLP Atten: Andy Gunion P.O. Drawer 2770 Avon, CO 81620 Re: Riverfront Subdivision - Final Plat (Construction Plans) Road, Grading, Drainage, Water, Sewer and Utility Plans Dear Mr. Gunion: The following comments are in response to our review of the Construction Plans for Riverfront Subdivision as received in this office on April 12, 2006. Riverfront Subdivision - Construction Plans: Post ffce Bar 975 400 Benchmark Road Avon. Colorado 81620 970-748-4000 970-949-9139 Fax 970-845-7708 77;' 1. It should be noted that the Subdivision Variance and Preliminary Subdivision Plan approvals included the condition, "The Variance from the minimum cul-de-sac right-of-way diameter requirements is subject to the submittal and approval of an acceptable design conforming to minimum pavement diameter and guardrail installation contained within the cul-de-sac right-of-way." The proposed "Wall Easement" does not meet this requirement. Please submit revised plan per approval condition. 2. Please submit letters from all applicable utility companies verifying approval of the Construction Plans as they relate to their proposed facilities. Typically this would include copies of service agreements with Holy Cross Energy and Excel Energy along with costs for installation or documentation that service charges have been paid. 3. Landscape Plans for public ways must be submitted with subdivision improvement plans. It should also be noted that all retaining walls and landscaping in public ways are subject to Town of Avon Planning and Zoning Commission (P & Z) Design Review approval. Please submit appropriate retaining wall and landscape architectural plans for P & Z review. 4. Fire Hydrants along the north side of Riverfront Lane should be relocated to the south side adjacent to the developable property. 5. Connecting Bikepath between Eagle River Path and Riverfront Lane should be realigned at north end for more clearance from parking area and to obtain a more perpendicular connection with the sidewalk. • i s I:~EnemeertngtConfluence\Subdivisian,, inal%Construcuon Plan Review-I.Doc May, 1, 2005 Re: Riverfront Subdivision - Final Plat (Construction Plans) - Road, Grading, Drainage, Water, Sewer and Utility Plans 6. Riverfront Lane pedestrian crossing between Town of Avon Transportation Center and Pedestrian Plaza area must be consistent with P & Z approval and compatible master plaza railroad crossing designs. Related comments from P & Z review Include: a. Bollard alignment between Riverfront Lane and railroad to be curved to match the auto lane curve on the western side of this intersection. b. Concrete pan extending from Riverfront ROW to western edge of auto lane shall be deleted. Concrete shalfbe flush with material at this area. C. Stamped or scored concrete to be utilized at crosswalk with no greater than a 2'. score to create a material difference of the crosswalk. The crosswalk will be elevated at least 2 inches in 2 feet at the transition from both approaches. d. Traffic calming devices such as a flower box shall be introduced in the. Riverfront ROW at the crosswalk. The approach to this pedestrian crosswalk shall be designated as a 15 MPH speed limit at location's noted in this report. We ina}' want to incorporate, a streetscape light in to each end oJ'a raised median through the pedestrian, crossing. This could possibly be incorporated with J1olver boxes or as alternative to flower boxes, but either.way will help address some vJ the lighting concerns at this crossing. 7. Revegetation /Landscape Plans are not included with submittal. Please submit Revegetation i Landscape Plans for all areas within public rights-of--way and areas disturbed by constructidn-of public improvements. 8. ' "Proposed Sales Center" improvements should be deleted from subdivision improvement plans or at least noted"that work is not part of public improvements and is subject to additional permits-and approvals. 9. It is noted that future building outlines as depicted on Construction Plans appear to overlap drainage ways along connecting Bikepath and into existing Town-of Avon Drainage Easement and into' existing' Water and' Sewer- Easement. Also it appears future building outline does not leave adequate space to maintain or reconstruct retaining wall at cul-de-sac. 10. Southerly Avon Road crosswalk should be located closer to end of extended median to be compatible with vehicle storage lane and intersection with Hurd Lane. 11. Consider slight increase in grades on lower portion of new upper,bike path to reduce 8% grade and provide better connection to sidewalk at Avon Road. 12. Consider small drainage swale along upper edge of new upper bike path and small culvert under existing path at connection point to existing path. L•tBngmeennWConOuence~S ubd:%iswn Final•Curotruction Plan Review-I Doc May 1, 2005 Re: Riverfront Subdivision - Final Plat (Construction Plans) Road, Grading, Drainage, `Water, Sewer and Utility Plans 13. There appears to be adequate space to relocate the shallow utilities vault shown as located in the sidewalk at the southwestern corner of the intersection of Avon Road and Riverfront Lane. This vault should be relocated accordingly. 14. It appears that the area of relocation of the existing path along the Eagle'River needs to be extended to the west to optimize alignment and maintain path width. (Sheet 7) 15. Should lighting conduit location along bike path be revised to.2 feet from outside of widened path? 16. Utility service stub outs should be extended far enough beyond right-of-way line to avoid sidewalk or street damage when excavating to "make connections. . 17. Retaining wall plans 'appear to be inconsistent. with- grading plans especially in the area around on street parking area and connecting Bikepath. 18. Please submit copies-of Sediment and Erosion Control Best Management Practices and State Stormwater Control Permit. Maintenance notes on plans should match BMP and Permit conditions. 19. Please include proposed dust control and mitigation plan,as part of construction documents. 20. Please note that a'Permit for Work Within Public Ways will be required for work within Avon Road right-of-way and that this work will be subject to the conditions of such permit in addition to compliance with the Subdivision Improvements Agreement. 21. Projected traffic loading of 25 EDLA for pavement design seems to be reasonable after project is built out, however it does seem to be adequate to include construction traffic during the anticipated 3 to 5 year build out period. How does this affect pavement sect-ion? 22. Avon Road Crosswalk Details should be revised to match existing Avon Road crosswalks at Beaver Creek Boulevard and,-Benchmark Road. (We may be able to help with details if desired:) 23. Pedestrian Crossing Ramps must be revised to conform to ADA requirements including truncated dome pavers. 24. The small asphalt areas between crosswalks and drainage pans at the Riverfront Lane / Avon Road intersection should be changed to concrete pavement. 25. All Avon Road widening and asphalt patch backs must be existing asphalt thickness plus I-inch. -26. Additional signage should be provided to emphasize pedestrian crossing area and, to reduce Speed Limit through crossing area to Pedestrian Plaza to 15 MPH. 27. It appears that the addition of a Yield Sign in the island and dashed yield line striping for the right turn lane at Riverfront Lane /Avon Road intersection may help clarify intended traffic flow in this area. 1:1Engtneering\Cnnfluence•Subdivrswn\Final`.Construcuon Plan Review-i.boc May 1, 2005 Re: Riverfront Subdivision - Final Plat (Construction Plans) Road, Grading, Drainage, Water, Sewer and Utility Plans 28. The street identification signs (Riverfront Lane) appear to be undersized at 4- inches tall. I believe the standard street identification signs in Town are 6-inches tall. 29. It is not clear how drainage gets from box culvert under railroad to Inlet 42 at the cul-de-sac. It does not appear that the 15-inch pipe between the Inlet 42 and the box culvert under the railroad will carry the 100 efs flow projected per Drainage Report, and contour lines seern to indicate that surface flow will be to the west away from the inlet. 30. The guardrail at the cul-de-sac should not be necessary with the curb and gutter section and posted speed limits. 31. Please provide details for the pedestrian railing proposed at the cul-de-sac. 32. The lighting plan is subject to Town of Avon Planning and Zoning Commission Design Review for both fixture types and lighting levels. Comments will be forthcoming following that review. We will continue our review upon receipt of a response to the above comments. Additional comments will be forthcoming as we continue our review of the Riverfront Subdivision related documents. ~Sincerely, Norman Wood, P.E. Town Engineer Cc: Tambi Katieb Eric Heidemann Larry Brooks Mike Sliper L t • E 1:1Eneineerinti.ConriuenceLSubdivision;Fznal,Consinicnon Pian Review-1-Doc • April 10, 2006 East West Partners Attn: Andy Gunion P.O. Drawer 2770 Avon, CO 81620 RE: RIVERFRONT VILLAGE - MASTER LANDSCAPING & PLAZA PLAN CONDITIONALLY APPROVED BY PLANNING COMMISSION Andy: At their April 4, 2006 meeting,. the Planning and Zoning Commission approved the above-mentioned plan with the following conditions: 1/ All lighting submitted is only conceptually approved, and will require submittal of a site lighting plan in conformance with Chapter 15.30 0 ("Outdoor Lighting Standards") prior to final approval. Street lighting fixtures will match those selected for use in the Town Center project. The Tract A bollard option shall be resubmitted (both concrete and wood are not approved as submitted). Lighted bollards shall be used at the pedestrian crossing of Riverfront Lane. 2/ Bollard alignment between Riverfront Lane and railroad to be curved to match the auto lane curve on the western side of this intersection. 3/ Concrete pan extending from Riverfront ROW to western edge of auto lane shall be deleted. Concrete shall be flush with material at this area. 4/_ Stamped or scored concrete to be utilized at crosswalk with no greater than a 2' score to create a material difference of the crosswalk. The crosswalk will be elevated at least 2 inches in 2 feet at the transition from both approaches. 5/ Traffic calming devices such as a flower box shall be introduced in the Riverfront ROW at the crosswalk. The approach to this pedestrian crosswalk shall be designated as a 15 MPH speed limit at locations noted in this report. 6/ Concrete from terminus of public plaza to river path shall be stained or colored to compliment retaining wall and plaza color and material palette. • F,Tlanning & Zoning CommissionWeeting Leuers000610404061Riverfronl Landscaping & plaza approveddoc 7/ The restroom/gondola operations building will be resubmitted in context with the hotel design review. Snow shedding will be incorporated and reviewed as part of the snow management plan for this building. 8/ Minimum quantities for landscape plan shall be increased to 6-8 trees for each 650 square feet of landscape plan to conform to submitted plans shown for public areas (Riverfront Lane & Entrance and below retaining of plaza). One tree and three shrubs per 650 square feet (ten shrubs may be substituted for one tree) is approved as the minimum for each individual lot, and shall be reviewed separately during design review for each submittal. 9/ Fencing along Railroad ROW will be specified and approved separately. 10/ Additional evergreen trees shall be introduced at the base of the retaining wall below the public plaza and the minimum height of these trees shall be 15' tall at time of installation. 11/ The crosswalk at Riverfront Lane shall be installed by the opening day of the gondola. 12/ Snowmelt down the stairs of the public plaza to the river access trail shall be reviewed with the hotel design review. 13/ Use of Spruce trees behind the Avon Transit Directional Sign shall be slightly tapered and pulled to the east to avoid obstruction of view. Feel free to call our office if you have any questions regarding your approval at 970.748.4030. Kind Regards, Matt Pielsticker Planner I Cc: File • EXHIBIT B Subdivision Improvements Agreement PUBLIC IMPROVEMENTS CONSTRUCTION COST ESTIMATE • • SIA-Riverfront-4 27 cln 10 EXHIBIT B Subdivision Improvements Agreement PUBLIC IMPROVEMENTS CONSTRUCTION COST ESTIMATE Road, Grading, Drainage, Water, Sewer and Utilities Per,Riverfront Subdivision Bid Tab (Attached) $ 4,141,457 Landscape Master Plan Per Riverfront Drive ROW Cost Estimate (Attached) $ 349,221 Natural Gas Service (Excel Energy) Town of Avon Estimated Cost $ 200,000 Contract Administration & Contingencies Town of Avon Estimate at 15% $ 703,602 Total Estimated Cost $ 5,394,-280 • • • SIA-Rivekront-4 27 cin 2 RIVERFRONT SUBDIVISION -ALPINE BID TAB ENGINEERING INC March 28, 2006 • • B& B Excavatin Item Description Unit Quantity Unit Price Total 1 Mobilization LS 1 $ 263,500.00 $ 263,500.00 2 Traffic Control LS 1 $ 99,075.00 $ 99,075.00 3 Obstruction Removal LS 1 $ 190,000.00 $ 190,000.00 4 Clearing LS 1 $ 35,000.00 $ 35,000.00 Subtotal S 587,575.00 ROADS 5 Topsoil Remove and Stockpile CY 2,594 $ 5.10 $ 13,229.40 6 Tops il Replace (6" CY 2,038 $ 8.15 $ 16,609.70 7 Excavation CY 12,344 $ 4.70 $ 58,016.80 8 Embankment CY 33,402 $ 4.50 $ 150,309.00 9 Borrow, Haul, and Embankment CY 22,365 $ 4.12 $ 92,143.80 10 Export o Unsuitable Material CY 4,200 $ 17.00 $ 71,400.00 11 Borrow, Haul, and Embankment (for replacing unsuitable material) CY 4,200 $ 4.12 $ 17,304.00 12 Overexcavation of Man-placed Fill CY 8,713 $ 4.00 $ 34,852.00 13 Embankment for Overexcavation of Man- placed Fill CY 10,020 $ 4.50 $ 45,090.00 14 MSE Walls using Modular Block SF 1,770 $ 50.82 $ 89,951.40 15 MSE Walls with Modular Block and Veneer SF 1,282 $ 82.93 $ 106,316.26 16 Guardrail LF 141 $ 186.00 $ 26,226.00 17 Jersey Barricade (CDOT Type 4 LF 130 $ 34.00 $ 4,420.00 18 Removable Bollards EA 2 $ 605.00 $ 1,210.00 19 Concrete Curb and Gutter (2.5) LF 3,711 $ 25.31 $ 93,925.41 20 6"Median Curb and Gutter LF 34 $ 47.39 $ 1,611.26 21 4" Mountable Median Curb and Gutter LF III $ 32.48 $ 3,605.28 22 4' Concrete Pan LF 731 $ 57.79 $ 42,244.49 23 Concrete Sidewalk SF 11,613 $ 7.59 $ 88,142.67 24 Class 6 ABC (for roads TON 2,353 $ 26.18 $ 61,601.54 25 Class 6 ABC (for connecting the TON 583 $ 25.50 $ 14,866.50 26 Class 6 ABC (Sales Center Parkin TON 159 $ 26.25 $ 4,173.75 27 Asphalt for roads) TON 1,687 $ 58.50 $ 98,689.50 28 Asphalt (for connecting paths) TON 189 $ 64.00 $ 12,096.00 29 Asphalt Overlay (path) TON 341 $ 65.60 $ 22,369.60 30 Asphalt (Sales Center Parkin TON 74 $ 64.00 $ 4,736.00 31 Widen Existing Path LF 1,598 $ 34.00 $ 54,332.00 32 ADA Ram EA 26 $ 962.90 $ 25,035.40 33 Stop Bar Striping EA 1 $ 397.00 $ 397.00 34 Turn Arrows EA 4 $ 350.00 $ 1,400.00 35 4" Solid Line Striping LF 3,486 $ 0.76 $ 2,649.36 36 6" Dashed Line Striping LF 90 $ 1.20 $ 108.00 37 8" Dashed Line Striping LF 53 $ 1.52 $ 80.56 38 811 Solid Line Stri in LF 225. $ 1.52 $ 342.00 39 Parkin Area Striping LS 1 2266 $ 2,266.00 40 Signs EA 21 $ 345.00 $ 7,245.00 41 Paver Crosswalks EA 6 $ 14,619.27 $ 87,715.62 42 Paver Transit Area LS 1 $ 26,240.92 $ 26,240.92 B & B Excavatin 43 Pedestrian Rail LF 223 $ 133.00 $ 29,659.00 44 Path Rail LF 303 $ 100.00 $ 30,300.00 45 Concrete Wheel Stops EA 7 $ 90.00 $ 630.00 Subtotal S 1,443,541.22 DRAINAGE 46 Sand Oil interceptor EA 2 $ 16,814.00 $ 33,628.00 47 Manhole 4' Diameter EA 10 $ 1,455.00 $ 14,550.00 48 Manhole 5' Diameter EA 1 $ 2,333.00 $ 2,333.00 49 Manhole 6' Diameter EA 1 $ 7,750.00 $ 7,750.00 50 Curb Inlet EA 2 $ 2,300.00 $ 4,600.00 51 Inlet T e C EA 2 $ 2,565.00 $ 5,130.00 52 Inlet Type D EA 1 $ 3,303.00 $ 3,303.00 53 Inlet Type R-5 Foot EA 11 $ 6,740.00 $ 74,140.00 54 Inlet Type R-10 Foot EA 2 $ 6,616.00 $ 13,232.00 55 Inlet Type R-15 Foot EA 1 $ 6,550.00 $ 6,550.00 56 18" RCP Class III) LF 1,451 $ 84.96 $ 123,276.96 57 24" RCP (Class III) LF 631 $ 99.68 $ 62,898.08 58 48" RCP (Class III LF 114 172.2 $ 19,630.80 59 18" Concrete End Section EA 2 $ 408.00 $ 816.00 60 24" Concrete End Section EA 3 $ 477.00 $ 1,431.00 61 48" Concrete End Section EA 1 $ 1,750.00 $ 1,750.00 62 4" PVC LF 62 $ 96.85 $ 6,004.70 63 12" PVC LF 18 $ 80.76 $ 1,453.68 64 Concrete Collar EA 1 $ 692.00 $ 692.00 Subtotal $ 383,169.22 EROSION AND SEDIMENT CONTRO L 65 Stabilized Construction Entrance EA 1 $ 3,330.00 $ 3,330.00 66 Silt Fence LF 2,525 $ 4.34 $ 10,958.50 67 Rip Rap (inlet/outlet protection) d50=12" SY 18 $ 75.00 $ 1,350.00 68 Rip Rap (inlet/outlet protection) d50=24" SY 75 $ 129.00 $ 9,675.00 69 Erosion Control Mat SY 451 $ 8.35 $ 3,765.85 70 Sediment Trap LS 1 $ 8,500.00 $ 8,500.00 Subtotal $ 37,579.35 WATER 71 12" DIP LF 2,466 $ 92.43 $ 227,932.38 72 8" DIP LF 81 $ 84.28 $ 6,826.68 73 6" DIP LF 96 $ 67.18 $ 6,449.28 74 4" DIP LF 42 $ 97.42 $ 4,091.64 75 2" Type K Copper Water Service LF 25 $ 61.86 $ 1,546.50 76 1 " T e K Copper Water Service LF 20 37.9 $ 758.00 77 24" Gate Valve EA 4 20,735.00 $ 82,940.00 78 12" Gate Valve EA 11 $ 2,096.00 $ 23,056.00 79 8" Gate Valve EA 2 $ 1,153.00 $ 2,306.00 80 6" Gate Valve EA 3 $ 800.00 $ 2,400.00 81 4" Gate Valve EA 1 $ 669.00 $ 669.00 82 Air Release Vault EA 3 $ 7,381.00 $ 22,143.00 83 Fire Hydrant assembly EA 8 $ 6,490.00 $ 51,920.00 Subtotal $ 433,038.48 SEWER 84 30" DIP (class 56) LF 321 515.5 $ 165,475.50 85 10" Yelomine LF 1,760 $ 79.20 $ 139,392.00 86 8" PVC Sevice LF 226 $ 59.05 $ 13,345.30 87 6" Yelomine Service LF 22 $ 115.50 $ 2,541.00 • • • C • B & B Excavatin 88 4" PVC Service LF 67 $ 62.00 $ 4,154.00 89 Manhole (4' diameter EA 11 $ 1,852.00 $ 20,372.00 90 Manhole (5' diameter) EA 3 $ 2,492.00 $ 7,476.00 91 Manhole (6' diameter EA 4 $ 4,012.00 $ 16,048.00 92 Sewer Video LF 2,081 $ 2.89 $ 6,014.09 Subtotal $ 374,817.89 SHALLOW UTILITIES 93 Trenching LF 3,948 $ 16.86 $ 66,563.28 94 Trenching (Path Lighting Conduit LF 2,005 $ 7.60 $ 15,238.00 95 Electric Conduit 4" Primary (install) LF 4,360 $ 2.42 $ 10,551.20 % Electric Conduit 4"Secondary LF 6,321 $ 4.16 $ 26,295.36 97 Telephone Conduit 4" LF 3,484 $ 4.16 $ 14,493.44 98 Fiber Optic Conduit 4" LF 6,411 $ 4.16 $ 26,669.76 99 Cable Television Conduit 4" LF 3,404 $ 4.16 $ 14,160.64 100 Spare Conduit 4" LF 6,978 $ 4.16 $ 29,028.48 101 Transformer UMI-13S (install) EA 3 753.32 $ 2,259.96 102 Transformer UMI-1 IS (install) EA 7 $ 753.32 $ 5,273.24 103 Communication 4484-TCA Vault EA 7 $ 9,720.00 $ 68,040.00 104 Electric UM35L Slice Vault (install) EA 2 $ 753.32 $ 1,506.64 105 Fiber tic/Phone 38y-5106-TCA Vault EA 2 $ 14,800.00 $ 29,600.00 106 Handhole EA 12 $ 2,100.00 $ 25,200.00 107 Gas Trenching LF 2,108 $ 15.07 $ 31,767.56 Subtotal $ 366,647.56 ELECTRICAL 108 City of Avon Light Fixture EA 25 5343 $ 133,575.00 109 Bike Path Low Level Bollard EA 77 3191 $ 245,707.00 110 Holiday Lighting Receptacles EA 38 552 $ 20,976.00 i l l Electrical Service EA 1 16312 $ 16,312.00 112 Electrical Service to Future Signs EA 2 2549 $ 5,098.00 113 Electrical Branch Circuit Wiring EA 1 93420 $ 93,420.00 Subtotal' $ 50,088.00 ] GRAND TOT~i~ (Base Bid Price) - , - F7 $ 4,141,456.72 • SIA - Landscape Estimate.XLS RIVERFRONT VILLAGE LANDSCAPE MASTER PLAN Riverfront Dr ROW Cost Estimate Terrasan 3/30/2006 ;.:..A1tt17.:` EARTHWORK $25,000.00 Imported Topsoil 1000 cy $25.00 $25,000.00 IRRIGATION $43,100.00 Planting Beds 16700 sf $1.00 $16,700.00 Backflow/Controller 2Is $3,000.00 $6,000.00 Sod 24000 sf $0.85 $20,400.00 SOIL PREPARATION $25,685.00 Planting Beds/Sod 467.00 sf $0.50 $23,350.00 Fine Grading 46700 sf $0.05 $2,335.00 LAWNS & GRASSES $25,500.00 Reseed Disturbed Area 10,000 sf $0.25 $2,500.00 Sod 24,000 sf $0.75 $18,000.00 Erosion Control 1 Is $5,000.00 $5,000.00 TREES, SHRUBS, VINES, GRD.COVERS,PERENNIALS $229,936.00 Aspen 2 1/2" 20 ea $250.00 $5,000.00 Aspen 3" 35 ea $300.00 $10,500.00 Aspen 4" 29 ea $450.00 $13,050.00 Spruce 18'-20' / 7 ea $3,000.00 $21,000.00 Spruce 16' 7 ea $2,000.00 $14,000.00 Spruce 14' 20 ea $1,400.00 $28,000.00 Spruce 12' 40 ea $900.00 $36,000.00 Spruce 10' 69 ea $750.00 $51,750.00 Deciduous Shrub 5gal 500 ea $30.00 $15,000.00 B& B Evergreen Shrubs 0 ea $250.00 $0.00 Peren./Grd.Cover 1 gal 1500 sf $6.00 $9,000.00 Annuals 5000 ea $1.75 $8,750.00 Mulch 16700 sf $0.50 $8,350.00 Steel Edging 1192 If $8.00 $9,536.00 TOTAL $349,221.00 • Page 1 EXHIBIT C' Subdivision Improvements Agreement DISTRICT FUNDING -RESOLUTION • • SIA-Riverfront-4 27 cln . I 1 EXHIBIT C _ Subdivision Improvements Agreement DISTRICT FUNDING RESOLUTION • S1A-Riverfront4 27 cln 11 r~ RESOLUTION OF CONFLUENCE METROPOLITAN DISTRICT REGARDING APPROPRIATION OF FUNDS UNDER SUBDIVISION IMPROVEMENTS AGREEMENT RIVERFRONT SUBDIVISION WHEREAS, the Confluence Metropolitan District (the "District") is a quasi- municipal corporation and political subdivision of the State of Colorado; and WHEREAS, the District is authorized, pursuant to Section 32- 1 - 100 1 (1)(d)(I), C.R.S., to enter into contracts and agreements affecting the affairs of the District; and WHEREAS, the District has entered in to a certain "Riverfront Subdivision Subdivision Improvements Agreement," dated as of , 2006, together with the Addendum to the Subdivision Improvements Agreement attached thereto (the "SIA") with the Town of Avon, Colorado (the "Town") regarding the funding and/or construction of public infrastructure improvements in connection with the approval of the "Amended and Restated Development Agreement for The Confluence" (the "Project" and the "Development Agreement, respectively"), which will now be replatted as Riverfront Subdivision; and 0 WHEREAS, the District is responsible for the performance and completion of public improvements set forth on Exhibit A of the SIA (the "Improvements"); NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CONFLUENCE METROPOLITAN DISTRICT AS FOLLOWS: 1. The Board of Directors hereby finds, determines and declares that it is in the best interests of the District to execute and deliver to the Town the SIA, and the appropriate officers and directors of the District are hereby authorized to execute and deliver the SIA to the Town. 2. The Board of Directors hereby appropriates and reserves to the Town pursuant to the SIA the amount of $ to guarantee construction of the Improvements, such amount to be subject to replacement by the proceeds of bonds to be issued by the District and certified to the Town as provided in the SIA, and as further set forth in Paragraph 3 below (the "Interim Funds"). 3. At such time as the District issues Bonds to replace the remaining balance in the Interim Security Account (as that term is defined in the Addendum to the SIA), the Board of Directors shall appropriate, and reserve to the Town pursuant to the SIA, and subject to the terms of the Indenture of Trust between the District and its Indenture Trustee (the "Indenture Trustee"), relating to the issuance of the District's Tax Supported is Variable Rate Revenue Bonds (the "Bonds"), proceeds of the Bonds in the amount of the deposit required to replace monies then on deposit in the Interim Security Account (the "Bond Funds") to guarantee construction of the Improvements. 4. The Board of Directors hereby certifies to the Town Council that the Interim Funds are unencumbered -and free from claims from third parties, so that any requests-by the Town for payment under the SIA may be promptly honored in accordance with the terms of the SIA. The Board of Directors further certifies that the Interim Security Account is a separate' account and reserved for the uses specified in the SIA, and shall,be held in compliance with the requirements of Section 2971-803(l), C.R.S., for the purposes of providing for the completion the Improvements. 3.: To the extent that Bond Funds-are used to replace the Interim Funds, the Board of Directors. hereby certifies to the Town Council,that.the'Bond Funds are being,- held by the Indenture Trustee pursuant to the Indenture of Trust, and are otherwise unencumbered and free from claims frorn third"parties, so-that any'requests by the Town for payment under the SIA may be promptly, honored if presented to the Indenture _ Trustee as provided in the Indenture of Trust. The Board of Directors further,.certifes that Construction Fund~in-which the Bond Funds are held under the Indenture of Trust, is a separate account (the "Security Account") and-reserved for the uses specified in the - SIA, and shall be held in compliance with, the requirements of,Section 294-803(1), C.R.S., for the purposes of providing for the completion the Improvements, 4. This Resolution shall be renewed at the beginning of :each subsequent calendar year until all the Improvements have received final acceptance,or until the District provides substitute collateral'acceptable'to the Town. APPROVED AND ADOPTED THIS _ DAY OF , 2006 CONFLUENCE METROPOLITAN DISTRICT ATTEST By- President By: Secretary • TEAKEJCSIMONTONO 200615952 23 EC: 16 00 DOC: $04:52:20Pn 06/15/2006 ` R I~ f ADDENDUM TO THIS ADDENDUM TO RIVERFRONT SUBDIVISION IMPROVEMENTS AGREEMENT ("this Addendum"), made and entered into thisa-)ziay of 2006, is by and among Confluence Metropolitan District, a Colorado quasi-muni ]p corporation and political subdivision of the State of Colorado (the "District"), and the Town of Avon, a Colorado municipality, by and through its Council (the "Town"). / RECITALS WHEREAS, the District, in connection with the approval of the final plat for the Riverfront Subdivision, consisting of 18.89" acres in the Town of Avon, Eagle County, Colorado (the "Subdivision"), will enter into a Subdivision Improvements Agreement ("Agreement") with the Town as provided for by Section 16.24.100 of the Avon Municipal Code, as amended (the "Code"); and WHEREAS, pursuant to the Code, the Town desires to make reasonable provisions for completion of certain public improvements ("Improvements") as depicted on the plans approved by the Town for the Subdivision dated M cf~c -,5,0 ;ar~~ ("Approved Plans") and as identified in Exhibit A attached to the Agreement, together with minor changes approved by the Town Engineer; and WHEREAS, the initial security to be provided for funding of the Improvements will be a cash deposit furnished by the District. which cash deposit is expected to be replaced by cash proceeds from the issuance of bonds by the District; WHEREAS, this Addendum will supersede the Agreement in part until the cash deposit is replaced by cash proceeds from the issuance of bonds by the District; AGREEMENT NOW THEREFORE, the parties hereby agree that the following sections of the Agreement shall be superseded as follows until such time as the cash deposit is replaced by cash proceeds from the issuance of bonds by the District: 4. District Obligations Concerning Improvements. (a) Funding Resolution. The District has adopted a resolution (the "Funding Resolution") attached as Exhibit C to the Agreement authorizing the District's execution of this Addendum and the Agreement and providing for the appropriation. segregation and use of funds in an amount sufficient to guarantee the construction of the RIVERFRONT SUBDIVISION SUBDIVISION IMPROVEMENTS AGREEMENT SlA 051106 redline Improvements as set forth on the Approved Plans., The estimated costs of completion of the Improvements are set forth on Exhibit'B to"ihe Agreement. The Town acknowledges and agrees that the initial security'to be provided for funding of the Improvements will be a cash deposit furnished by the District, which cash deposit is expected-to be replaced by.cash proceeds from the issuance of bonds by the District. The Town shall have access to such cash deposit as provided for in this Addendum. Following the issuance of bonds by the District, the District shall provide evidence that bond proceeds equal to the amount of security required for the Improvements under this Agreement are on deposit with the Bond Trustee. At such time the remainder of the cash deposit shall be released. The Town agrees to use ,the cash deposit only for the purpose of paying,the costs of the Improvements, and not to apply such funds for purposes not authorized in the Indenture.of Trust. The Funding Resolution " specifically provides that all funds referenced therein are unencumbered and free from claims of others such that, if necessary, any requests for payment approved by the Town may be promptly honored. As a condition to recordation of the Final Plat, the District shall provide evidence to the Town that such funds have been segregated in a separate, interest bearing account (the "Interim Security Account") and identified for use in connection with this Agreement. (b) Progress Payments on Improvements. The District may make progress payments to -its contractors from the Interim Security .Account on a monthly basis upon the partial completion of itemized Improvements and upon.fifteen (15) days' prior written notice, which notice will include an itemized statement of the monthly payment, to the Town. The District shall retain ten percent (10%) of the amount of each payment until final completion and acceptance of all work covered by each construction contract; provided, however, when the value of work completed has progressed, to fifty, percent (50%) of the contract amount, the District shall not be required to withhold additional retainage for the remainder of the work under such contract. The ten percent (10%) retainage of the value of the work completed may be reinstated if in the Town's opinion the lack of progress or other substantial reasons exist. Subject to the foregoing, in no event shall any progress payment cause the remaining sum to be available in the Interim Security Account for subsequent disbursements to be less than one hundred ten percent (I 10%) of the costs to complete all remaining Improvements as estimated at the time of each progress payment. Upon completion of all work related to the Improvements, the Town's acceptance of the Improvements and the expiration of the Warranty Period as set forth in paragraph 5 below the Town shall release any further interest in the Interim Security Account, unless earlier released pursuant to Section 4(a) above. (c) Default by District. In the event of a default in whole or in part by the District, the Town shall be authorized to access the funds in the Interim Security SIA 051106 redline 2 Account for the purpose of undertaking completion or remediation work on the . Improvements after providing thirty (30) days' advance written notice of default and providing a opportunity during such period for the District to cure the default. The Town shall be entitled to draw on the Interim Security Account by Resolution of the Town Council stating (i) that the District is in default, and (ii) the funds are required in order to complete or correct work on the Improvements. The parties heretp;ha:executed this Addendum as of the date first above written. TOWN OF AVON, a Colorado Municipal Vi=n 11 Corporation A7 "n. By: Patty teny, To 7ler Ronald C. Wolfe, Mayor V(!- APPROV 7 AS TO FORM: - John . Dunn, Town Attorney DISTRICT: CONFLUENCE METROPOLITAN DISTRICT Eagle County, Colorado By: j Nam r s Tit e: 5?,! i SIA 051106 redline EAGLE COUNTY, CO 200615953 TEAK J SIMONTON 06/ 15/2006 23 Pgs: 10 04 52=21PM REC: $51.00 DOC: $ GUARANTY AGREEMENT FOR RIVERFRONT EXPRESS GONDOLA CONSTRUCTION THIS GUARANTY AGREEMENT, made and entered into this d2 'day of , 2006, is by and among confluence Metropolitan District, a Colorado quasi- m ci al corporation and political subdivision of the State of Colorado (the "District") o and e Town of Avon, a Colorado municipality, by and through its Council (the "Town"). RECITALS WHEREAS, the District, in connection with the Riverfront Subdivision, consisting of 18.893 acres in the Town of Avon, Eagle County, Colorado (the "Subdivision"), desires to enter into this Guaranty Agreement For Construction of Riverfront Express Gondola ("Agreement") with the Town to secure the funding for construction of the Riverfront Express Gondola (the "Gondola") as contemplated by that certain "Amended and Restated Development Agreement, by and between the Town and Avon Confluence, LLC (as then assigned to East West Resort Development XIV, L.P., L.L.L.P., a Delaware limited partnership registered as a limited liability limited partnership, "East West"), dated March 14, 2006, and as provided for in that certain "Purchase and Installation Agreement" by and between East West and Doppelmayr/CTEC, Inc. ("Doppelmayr"), dated March 23, 2006 (the "Gondola Construction Agreement"); and WHEREAS, the Gondola is not a public improvement being constructed for the purpose of dedication to the Town for ownership, operations and maintenance, and accordingly the Town has not established specific design standards therefor; and WHEREAS, East West has completed design of the Gondola with the advice and approval of the Town, and has issued a Notice to Proceed to Doppelmayr under the Gondola Construction Agreement, to commence pre-construction activities for the Gondola; and WHEREAS, the District intends to issue bonds to fund the construction of the Gondola, in advance of which East West intends to assign the Gondola Construction Agreement to the District, and loan sufficient funds to the District to fund the cost of construction as set forth therein; and WHEREAS, the parties desire to establish the terms and conditions upon which the District shall guarantee construction of the Gondola; • Gondola Guaranty Agreement Q wpa051506.doc AGREEMENT NOW THEREFORE, in consideration of the following mutual covenants, conditions and promises, the parties hereby agree as follows: 1. Completion of Work. (a) Performance. The District agrees to furnish all 'equipment, labor and material necessary to construct in a good and workmanlike manner, the Gondola pursuant to the design as set forth in the Gondola Construction Agreement. The District shall have the right to amend or modify the Gondola Construction Agreement as may be necessary to facilitate completion of the Gondola in substantial conformity 'to the design as presently set forth in the Gondola Construction Agreement. (b) Observation of Construction by Town. (i) The Town shall have the right to observe the construction of the Gondola and to' enter onto the project site for such purposes. Observation of construction by the Town shall not relieve the District or its respective agents 'from any responsibility or obligation to assure that all work is, completed in conformance with the specifications set forth in the Gondola Construction Agreement. .The Town shall be responsible for any costs associated with such observation activities provided the District has paid all building permit fees. (ii) Notice of Material Non-Compliance. In the event that the Town reasonably determines that construction of the Gondola is proceeding in material violation of the design 'specifications set forth in the Gondola Construction Agreement, and that such material violation will prevent the Gondola from being used for its intended purpose, it shall give written notice 'of such material non-compliance to the' District ("Notice of Material Non-Compliance"). The Notice of Material Non-Complia nce shall include a narrative describing the unsatisfactory construction work with specific ieference to the,applicable construction plans and specifications. The Notice of Material Non- Compliance must be provided to the District within two (2) working days of the date of the observation. The notice may be provided in an informal manner agreed upon by the parties and without compliance with Paragraph 9 hereof. Thereafter, the parties shall cooperate in good faith to resolve the issue,- failing which: the Town shall have the remedies specified in Paragraph 4(a) hereof. (iii.) Enforcement of Building Codes. Nothing contained herein shall limit the_ rights and remedies of the Town contained in the applicable building codes.' • Gondola Guaranty Agreement Q wpa051506.doc 2 2. Security for Completion of the Gondola. To secure completion of the Gondola the District hereby, agrees to secure the respective obligations under this Agreement as hereinafter provided. (a) District Guaranty. Upon assignment of the .Gondola Construction Agreement from East West to the District, the District shall be responsible, - for guaranteeing construction of the Gondola., The, District shall guarantee,the balance of the costs of construction of the Gondola due under. the Gondola Construction Agreement, taking into account all prior payments made by East West thereunder, and all reductions or increases to the contract price resulting from change orders or other contract modifications approved in writing by East West and Doppelmayr prior to the effective date of the assignment of the Gondola Construction Agreement to the District. - The District shall comply with the following to fulfill its guarantee requirements: (i) Funding Resolution. At the time of execution hereof, the District shall have adopted a resolution (the "Funding- Resolution") attached hereto as Exhibit A authorizing the -District's, execution of this Agreement, .and providing for the appropriation, segregation and use of funds in an, amount -sufficient to guarantee the construction of the Gondola required in subparagraph 2(a), above. A separate account shall be established, to track funds reserved for use in funding Gondola costs., The Town shall be entitled to examine the Indenture Trustee's bank records to assure compliance with these terms. The District shall renew the Funding Resolution at the beginning. of each subsequent calendar year until final payment to Doppelmayr has been made. The Funding Resolution specifically provides that, subject to the terms of the Indenture of Trust, all funds referenced therein are unencumbered and free from claims of others such that, if necessary, any requests for payment approved by the Town-may be promptly honored. - The District shall provide evidence to the Town that such funds have been , segregated, in a-separate, interest bearing account and identified for use in connection with this Agreement. (ii) Initial Security/Substitute Securi ty. The Town acknowledges and agrees that the initial security to be provided for, funding of the Gondola will be a cash deposit. furnished by--the-District ("the Initial-Gondola Account"), which cash deposit is expected to be replaced by cash proceeds from the issuance of bonds, by ,the District ("the Gondola Bond Account"). The Town shall have access to such cash ' deposit in the event of default as provided for in, this Agreement. Following the issuance of bonds by the District, the District shall provide evidence that bond proceeds equal to the amount of security required for the Gondola under Paragraph 2(a) hereof are on deposit with the Bond Trustee in an account segregated for funding of the Gondola Bond Account. At such time the remainder of the initial cash deposit in the Initial Gondola Account shall be released. The Town 'agrees to use, any deposits furnished as security by the District hereunder only for the .purpose of paying the costs of the Gondola, and not to apply such funds for purposes not authorized in the Indenture of Trust. Gondola Guaranty Agreement Q wpa05l5O6.doc (iii) Indenture of Trust Procedures. In accordance with the terms of the Indenture of Trust by which the District's bonds will be issued, the Bond Trustee will serve as custodian of the bond proceeds to ensure that such proceeds are applied for the purposes of funding the Gondola. The procedure by which funds are released involves the filing of "Draw Requests" together with related invoices with the Bond Trustee. The Indenture of Trust shall contain provisions authorizing the Town to submit Draw Requests to the Bond Trustee, in order to effectuate the Town's remedies to draw funds for constructing the Gondola, in the event of a default by the District hereunder. (iv) Progress Payments by District. The District may withdraw funds from the Initial Gondola Account or the Gondola Bond Account as needed to pay costs under the Gondola Construction Agreement; provided, however, the District shall not be authorized to withdraw funds from the Initial Gondola Account or the Gondola Bond Account , as applicable, to the extent doing so would reduce the balance remaining in the Initial Gondola Account or the Gondola Bond Account , as applicable, to an amount below the unpaid balance of the contract price or the estimated costs of completion, whichever is greater. The Town shall be entitled to examine the District's financial records to assure compliance with these terms. Further, upon fifteen (15) days written notice from the Town, the District agrees to provide a written statement to the Town containing the following details: the total amount on deposit in the Initial Gondola Account or Gondola Bond Account, as applicable; and the unpaid balance of the contract price. 3. Retainage Provisions. The Town acknowledges that the Gondola Construction Agreement contains agreed-upon terms governing retainage for progress payments, and that such amounts are established pursuant to the provisions concerning retainage on public works projects. The District agrees that the retainage provisions set forth in the Gondola Construction Agreement shall not be modified, except with the concurrence of the Town. 4. Default. (a) In the event of the issuance of a Notice of Material Non- Compliance as permitted in Paragraph 1(b)(ii) hereof, and the failure of the parties to reach settlement thereof within sixty (60) days, the Town shall have the right to seek injunctive relief against the District to enforce the terms of this Agreement. (b) The following events shall entitle the Town to access the Initial Gondola Account or the Gondola Bond Account , as appropriate, to complete construction of the Gondola, following written notice to the District and a period of thirty (30) days thereafter for the District to cure such default: • Gondola Guaranty Agreement Q wpa05l 506.doc 4 (i) The filing of an action by Doppelmayr claiming breach of contract on the part of the District, due to failure to pay for.work performed in accordance with the Gondola Construction Agreement; (ii) Termination of the Gondola Construction Agreement by the District, as applicable, without the execution of anew construction agreement within sixty (60) days thereof, by which the Gondola will - be constructed or completed substantially in accordance 'with the design specifications applicable to the Gondola Construction, Agreement; (iii) The filing of a voluntary petition under- federal or state bankruptcy or insolvency_ laws,~by the District, as applicable, ~ or. the appointment of a receiver for any of the assets of the District, as applicable, .which is not remedied or cured within 30 days of such filing or appointment; (iv) The dissolution, insolvency, or, liquidation of the District, as applicable, and a failure.to cure such dissolution, insolvency or liquidation within ten days of receipt, of written notice. (c) Where the Town - is authorized to . draw . on the- Initial Gondola Account or the Gondola Bond Account , as applicable, such draw shall be preceded by the adoption of a,Resolution of the,Town Council stating (i) that the District is in default under applicable provisions of Paragraph 4(b), and (ii) the funds are required in order to . complete work on the Gondola. (d) following compliance with the provisions of Paragraph 4(b) above, and subject to compliance with the terms of accessing the Initial Gondola Account or the Gondola Bond Account ''the Town shall proceed-:*with the construction or completion of the Gondola to the extent that funds are available in either Account. The Town may bring a mandatory injunction action against the-District to require installation and construction of the Gondola. If any'such action is brought by the Town and the Town prevails in its legal action, the Town shall be awarded its court costs; attorneys' fees and an amount to compensate the Town for the time of its employees in the preparation of and - -------participation in-such action. - - 5. No Obligation of Town to Complete Improvements. The District agrees that in the event it shall fail to perform its obligations as set forth herein, the Town shall be under no obligation to complete the Gondola (except as set forth in Paragraph 4(d), or to issue permits for development within the project. 6. Non-Liability of Town; Indemnification. The Town shall not, nor shall any officer, agent, or employee thereof, be liable or responsible for any accident, loss or damage related to the construction of the Gondola, nor shall the Town, nor any officer; agent or employee thereof, be liable for any persons or property injured by reason of the nature of said construction. To the extent permitted by law, the District hereby agrees to indemnify and hold harmless the Town, and any of its officers, agents and employees Gondola Guaranty Agreement v2 wpa051506.doc 5 against any losses, claims, damages or liabilities to which the Town or any of its officers, agents or employees may become subject, because of any losses, claims, damages or liabilities (or actions in respect thereof) that arise out of, or are based upon, any acts or omissions in the performance of their respective obligations, as hereinbefore stated. Furthermore, the District shall reimburse the Town for any and all legal or other expenses reasonably incurred by the Town in connection with investigating or defending any such loss or claim. 7. Amendments. This Agreement may be amended from time to time, provided that such amendment is in writing and signed by all parties hereto. 8. Venue. Venue for any litigation arising out of this Agreement shall be in the District Court for Eagle County, Colorado. 9. Notices. All notices, demands or other communications required or permitted to be given hereunder shall be in writing and any and all such items shall be deemed to have been duly delivered upon personal delivery; or as of the third business day after mailing by United States mail, certified, return receipt requested, postage prepaid, to the address set forth below; or as of 12:00 noon on the immediately following business day after deposit with Federal Express or a similar overnight courier service, to the address set forth below; or as of the third business hour (a business hour being one of the hours from 8:00 a.m. to 5:00 p.m. on business days, local time of the recipient) after transmitting by facsimile to the number set forth below and evidenced by an electronic delivery receipt: If to the District: White Bear and Ankele Professional Corporation 1805 Shea Center Drive, Suite 100 Highlands Ranch, CO 80129 Attn: William P. Ankele, Jr., Esq. District Counsel Telephone: (303) 858-1800 Facsimile: (303) 858-1801 with a copy to: Wear, Travers & Perkins, P.C. 1000 South Frontage Road West Suite 200 Vail, Colorado 81657 Attn: Richard D. Travers, Esq. Telephone: (970) 476-7646 Facsimile: (970) 476-7118 If to the Town: r1 Gondola Guaranty Agreement Q wpa05l506.doc 6 Town of Avon P.O. Box 975 Avon, CO 81620 Attn: John W. Dunn, Town Attorney Telephone: (970) 748-6400 Facsimile: (970) 748-8881 The parties hereto have executed this Agreement as of the date first above written. ;a7 . . T: att~ Mc envy, Clerk APPRO ED AS TO FORM: , i" ll_ Jo W. Dunn, Town Attorney • TOWN OF AVON, a Colorado Municipal Corporation By: DISTRICT: CONFLUENCE METROPOLITAN DISTRICT Eagle County, Colorado By: Name: Title: Gondola Guaranty Agreement Q wpa051506.doc EXHIBIT A DISTRICT FUNDING RESOLUTION • • is Gondola Guaranty Agreement v2 wpa05l 5O6.doc $ RESOLUTION OF CONFLUENCE METROPOLITAN DISTRICT REGARDING APPROPRIATION OF' FUNDS UNDER GUARANTY AGREEMENT FORtRIVERFRONTEXPRESS GONDOLA CONSTRUCTION WHEREAS, the Confluence Metropolitan District (the "'District") is a quasi- municipal corporation and political subdivision of the State of Colorado; and WHEREAS, the District is authorized, pursuant to Section 32-1- 1001(1)(d)(I);. C.R.S., to enter into contracts and agreements affecting'the affairs of the District;-and WHEREAS, the'District has entered in to a certain "Guaranty Agreement for Riverfront Express Gondola Construction" dated as of , 2006 (the "Guaranty Agreement") with the Town of Avon, Colorado (the "Town") regarding the funding and/or construction of the Riverfront Express Gondola (the "Gondola") is, contemplated by the "Amended and Restated Development Agreement for.The Confluence" (the "Development Agreement");-and _ WHEREAS, the District is responsible for the completion of construction of the Gondola; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS. OF THE CONFLUENCE METROPOLITAN DISTRICT AS FOLLOWS: 1. The Board of Directors hereby finds, determines and declares that it is in the best interests of the District to execute and deliver to the Town the Guaranty Agreement, and the appropriate officers and directors of the District are hereby authorized to execute and deliver the Guaranty- Agreement to the Town. 2. The Board of Directors hereby appropriates and reserves to the Town pursuant to the Guaranty Agreement in the amount'of $ ~S D to guarantee construction of the'Gondola, such amount to be subject to replacement by the proceeds of bonds to be issued by the District and certified to the Town as provided in the Guaranty Agreement,, and as further set forth in Paragraph 3 below (the "Gondola Funds"). 3. " At such time as the District issues Bonds to replace the remaining balance in the Interim Gondola Account (as that term is defined in the Guaranty Agreement), the Board of Directors shall appropriate and reserve to the Town pursuant to the Guaranty Agreement, and subject to the terms of the Indenture of Trust between the District and its Indenture Trustee (the "Indenture Trustee"), relating to the issuance of the District's Tax Supported Variable Rate Revenue Bonds (the "Bonds"), proceeds of the Bonds in the amount of the deposit required to replace monies then on deposit in the Interim Gondola Is Account to guarantee construction of the Gondola (the Gondola Bond Account). 4. The Board of Directors hereby certifies to the Town Council that the Interim Gondola Funds are unencumbered and free from claims from third parties, so that any requests by the Town for payment under the Guaranty Agreement may be promptly honored in accordance with the terms of the Guaranty Agreement. The Board of Directors further certifies that the Interim Gondola Account is a separate account and reserved for the uses specified in the Guaranty Agreement, and shall be held in compliance with the requirements of Section 29-1-803(1), C.R.S., for the purposes of providing for the completion the Gondola. 3. To the extent that Bond Funds are used to replace the Interim Funds, the Board of Directors hereby certifies to the Town Council that the Bond Funds are being held by the Indenture Trustee pursuant to the Indenture of Trust, and are otherwise unencumbered and free from claims from third parties, so that any requests by the Town for payment under the Guaranty Agreement may be promptly honored if presented to the Indenture Trustee as provided in the Indenture of Trust. The Board of Directors further certifies that Construction Fund in which the Bond Funds are held under the Indenture of Trust, is a separate account (the "Gondola Bond Account") and reserved for the uses specified in the Guaranty Agreement, and shall be held in compliance with the requirements of Section 29-1-803(1), C.R.S., for the purposes of providing for the completion the Gondola. 4. This Resolution shall be renewed at the beginning of each subsequent calendar year until all the Gondola have received final acceptance or until the District provides substitute collateral acceptable to the Town. APPROVED AND ADOPTED THIS _ DAY OF , 2006 CONFLUENCE METROPOLITAN DISTRICT ATTEST By: President By: Secretary 0 06-0'•06 01:20pm From-John W Dunn 8 Assoc +6707488881 T-665 P-004/005 F-7922 RESOLUTION OF CONFLVMCE METROPOLITAN DISMICT gIGpRDYr1G APPIt ~PRiA ~ItRSB GONDOLA GIIA►RANZ'Y A F CONSTRUCTION W~EAS, the Coritlueac . Metropolitan District (tbe "`Distici,cn is a quasi - {p, corporadon and political 6ub&vWgn of the State of Colorado; and WXERpAS, the Disffict is aathoriad, p==mt to Section 32-1-1001(1)(d)(1), C.R.S., to eater into contracts and agreeaAeoata atfeeftS the at?fatzs of the District; and WBEp.,S, the District has entered in to a certain " Glwrauy for Rivarfiont ress Omdola Construction" dated as of 2006 (the • j, Agreeiaeat'~ with the Town of Avon, Colorado ( "Town") regardiaa dM f=ft and/or construction of the Ri G&mt Express Gondola (the `Twndowa as contemplated by the -Amended and Restated DMlopment A$Teernent for The ContluenW (*a "Development Agree=V); WBEREAS, the District is responsible for the completion of constntctioa of the C3rondola; WS DIRECTORS NOW, THUMORB, BE IT RESOLVED ~ E BOARD OF DISTRICT Ol? TM CONFLUENCE METRWOLITAN 1. The Board of Directors hereby finds, deteMIANB and declares that it is in the beet interests of the District to excaute and deliver to the Town din Guaranty Agreen=t, and the Vp vptiatc oMOM and dhWtora of the District are hereby m4wrised to execute =d deliver the Gum* Agreement to the Town. 2. 'Me Board of Directors hereby app and reserves to the Town pursuant to the Guaranty Agreement in the amount of S A I V 6111 j to puzdze construction of the Gondola, mwh amount to be subject to replacement by the proeee & of bonds to be issued by the District and certified to the Town ea provided in the ChUMMtY Agreetaent, and as further set forth in Paragraph 3 below (the -Gondola Funds'). 3. At such tune as the District issues Bonds to replace the T=Lfi balance in tfie Interim Gondola Account (as that term is defined in the Guaranty Agreement), t1M Board of Directors shall appropriate and reserve to the Town pmw=t to dxe C3ueraatq Agreemeat, and subject too theta= of the Indenture of Trust between the District and its Indenture Trustee (rise "radeu=c Trrustee'), relating to the issuance of the District's Tax Supported Variable Rate Revenue Bonds (the'Box&"), proceeds of the Bonds in the amount of the deposit required to replace monies tbea on deposit in the Interim Gondola Accouax to guar=Iw construction of the Gondola (the Gondola Bond Account). 06-Pr'-06 01:20pm FrwJohn W Dunn 8 Assoc +9707488681 T-665 P.005/005 F-792 the The Board of Diced= hereby certifies to the Town Couneril that 4. that efrom claims f~ thiard P ~ so Intexim le Ptimds are vaencumbeyed and fre ~nt ~y est by the Town for payma~t undor the GmaM ~eTh®S be d is acoordanee with the farms of die Agre"en" state account end M e c t a ft f u r t h e r c e r t i fi e s t h a t t h e I n t e r i m Gondola A c c o u n t is a sep Bement, sad shall be held in reserved for the uses specified is the Ovateaty A8z C.R.S., for the purposes of complianco wAh the requiromente of Section 29-1-803(l), ceding for the completion the Gondola. 3. To the wrtent that Bond f=ds are used to replace the rntcdm Funds, the Board of Direotors hereby certifies to the Town Count Trust and are ndo ar is ft held by the Indenture Ttvsbee P~~ to ~ h' o uaencumbmd and free from claims from third parties, so that arty requests by the Tows for psymmt Cadet the auxmnty Agreement may be promp* honored if pmenxed to the Indenture T nmtce as provided in 1he Indenture of Trust. Board of 1*~ f141 ~e ladesitum of which the Bond Trust, certst, lfie6 is t s hat separate 'uc socdottaunt (the Pend Qondola Bond Account") sad reserved for the vase specified in the Guaranty Agreements and shall be hold in oomphsate with the requirements of Section 29-1-803(1), CSR S., for the pwposee of providing for the completion the Gondola. 4. This Resolution shall be renewed at the begftn in of each the e t Calendar year uaul all the Gondola have received final accep provides substitute collateral acceptable to the Town. APPROVED AND ADOPTED TBIS 2 -3 DAY OF 2006 CONFLUENCE MTROPOLITAN DISTRICT ATTEST By. J,J-. Secretary 0 r ' F , • COUNTY, CC ieldift 1 0=14 :".`f'~m. ~•:v-+~ ~p06/15n/200u6 REC: INI IpI 1111111111111111111111111111111111111111 lill 111111111111111 lill PURCHASE AND INSTALLATION AGREEMENT BETWEEN DOPPELMAYR/CTEC, INC. AND EAST WEST RESORT DEVELOPMENT MV L.P., L.L.L.P FOR THE RIVERFRONT EXPRESS GONDOLA AVON,COLORADO • 9 TABLE OF CONTENTS PARAGRAPH PAGE RECITALS :.............................................................................................................1 AGREEMENT ........................................................:................................................1 CONTRACT DOCUMENTS .....................:..........................................................1 SCOPE OF AGREEMENT .....................................................................................2 EQUIPMENT TO BE PURCHASED AND DELIVERED ....................................3 LIFT PRICES'AND PAYMENT ............................::...............................................4 RISK OF LOSS .........................................................................................:.............:5 OWNERSHIP 5 MARKING 5 TAXES ..................................:..................................................................................5 DELIVERY OF COMPONENTS 6 PREPARATION AND RESTORATION OF JOB SITE ........................................6 PROJECT REPRESENTATIVES ...........................................................................6 INSTALLATION OF LIFT .....................................................................................6-- CHANGES ..............................................................................................................6 COMPLETION AND ACCEPTANCE .............................................:.....................7 LIQUIDATED DAMAGES 7 WARRANTY; BREACH OF WARRANTY ..........................................................8 REMEDIES CUMULATIVE ..................................................................................10 FORCE MAJEURE .................................................................................................10 INFORMATION DISCLOSURE 10 • • • i • • APPROVAL OF CONTRACTORS AND EMPLOYEES; MECHANIC'S LIENS ...............................................................................11 COMPLIANCE WITH LAWS; SAFETY PROGRAM ..........................................11 ROADS AND ACCESS WAYS .............................................................................12 COORDINATION AT JOB SITE .......:...................................................................12 CLEANUP ...............................................................................................................12 RULES AND REGULATIONS ..............................................................................12 INSURANCE AND BONDS ..................................................................................12 INDEMNITY ...........................................................................................................14 DEFAULT AND REMEDIES ................................................................................14 WAIVER OF DEFAULT ........................................................................................15 DELEGATION/ASSIGNMENT .............................................................................15 SUCCESSORS AND ASSIGNS .............................................................................15 NOTICES ................................................................................................................15 NONDISCRIM[INATION .......................................................................................16 MISCELLANEOUS ........................................................................16 ENTIRE AGREEMENT........................ 18 EXHIBIT A TECHNICAL SPECIFICATIONS FOR LIFT DESIGN, ENGINEERING, MECHANICAL AND STRUCTURAL EQUIPMENT, REVISION 2005 Dated 12/15/2005 (AND ALL ADDENDA THERETO) EXHIBIT B TECHNICAL SPECIFICATIONS FOR ELECTRICAL SYSTEMS, DRIVES AND LOW VOLTAGE CONTROLS, REVISION 2005 Dated 12/15/2005 (AND ALL ADDENDA THERETO) 0 EXHIBIT C DOPPELMAYR/CTEC BID PACKAGE ii EXHIBIT D CHANGE ORDER FORM EXHIBIT E LIEN WAIVER FORMS EXHIBIT F MILESTONE DATES EXHIBIT G DOPPELMAYR/CTEC SAFETY MANUAL • • • iii PURCHASE AND INSTALLATION AGREEMENT THIS PURCHASE AND INSTALLATION AGREEMENT (the "Agreement"), made effective this 23 day of Ma .,J,, , 2006, by and between DOPPELMAYRICTEC, INC., a Utah corporation ("Seller"), whose Federal Identification Number is 41-2030626 and EAST WEST RESORT DEVELOPMENT XIV L.P., L.L.L.P, a Delaware limited partnership registered as a limited liability limited partnership ("Buyer"), whose Federal Identification Number is RECITALS A. Buyer is the developer of a project known as "Riverfront Express Gondola" (the "Premises"). B. Buyer desires to install a new eight (8) passenger high-speed, detachable gondola (the "Lift"). C. Seller desires to sell, deliver and install the Lift to Buyer and Buyer desires to purchase the same from Seller, as defined in the equipment described below and pursuant to the terms and conditions contained herein. AGREEMENT In consideration of the terms, covenants, conditions and purchase price set forth herein, the parties hereto agree as follows: 1. CONTRACT DOCUMENTS. The "Contract Documents" shall consist of this Agreement, Bid Documents, Addendum, and the following documents, all of which are attached to and the terms, covenants and conditions of which are specifically incorporated into and made a part of this Agreement except to the extent that the terms of such exhibits may be inconsistent with the terms contained in the body of this Agreement in which case the terms of the Agreement shall control: Exhibit A Technical Specifications for Lift Design, Engineering, Mechanical and Structural Equipment, Revision 2005 Dated 12/15/05 (and all addenda thereto). Exhibit B Technical Specifications for Electrical Systems, Drives and Low Voltage Controls, Revision 2005 Dated 12/15/05 (and all addenda thereto). • Exhibit C Doppelmayr/CTEC Bid Package Exhibit D Change Order Form Exhibit E Lien Waiver Form Exhibit F Milestone Dates Exhibit G Doppelmayr/CTEC Safety Manual All modifications to this Agreement, or other of the Contract Documents; executed by both parties following execution of this Agreement shall-automatically become a part of the Agreement upon execution. The intent of the Contract Documents js to include all items necessary for the proper completion of the work described herein. 2. SCOPE OF AGREEMENT. (a) Seller agrees to finish Buyer with the following in connection with this Agreement: (i) Lift design and engineering, as more specifically described herein and in the Contract Documents; (ii) 'Mechanical and structural equipment, including electrical systems, drives and low voltage controls, as more specifically described herein and in the Contract Documents; (iii) Erection and installation of the Lift (as defined in Paragraph 3 below); and (iv) Other lift related materials and services '(as described in Exhibit Q. (v) The Construction Engineer as, defined in the Colorado Passenger Tramway Safety Board Rules and Regulations, shall be considered an additional representative of the Buyer. As'such, Seller shallprovide any additional information on the Lift to the Construction Engineer (on a-timely basis ;as developed); that he or_ she may request. Upon review of either the original Lift specifications or such additional information, the Construction Engineer may add any reasonable measurement(s) or test(s) that-he or she deems necessary. (vi) Seller shall consult with Buyer's designated representative concerning installation of the new Lift before any earth disturbance, tree removal, or wetlands issues are initiated. (b) Buyer shall-be responsible for the following, at its sole cost and expense, in connection with this Agreement: 11 • 2 (i) Preparation and restoration of the job site as described in Paragraph 10 hereof; Construction Engineering, as defined in the Colorado Passenger Tramway Safety Board rules and regulations, in connection with the installation of the Lift; and (c) Buyer is entering into this Agreement with reliance on Seller's professional skill and judgment in designing, manufacturing and installing the Lift. (d) Milestone Dates. The parties mutually agree to accept the Milestone Dates set forth on Exhibit F, attached hereto and incorporated herein by thus reference. Seller agrees to provide to Buyer a proposal for the remaining milestone dates prior to April 15, 2006. Buyer and Seller shall use best efforts to agree upon a complete and final list of milestone dates by May 1, 2006, which list shall then amend and replace Exhibit F. In the event either party believes it will be unable to meet any of the Milestone Dates, such party shall be obligated to comply with the following procedure: (i) Delays Beyond the Control of Seller. If the delays are caused by circumstances beyond the control of Seller, as defined in Paragraph 18, to specifically include those delays wholly within the control of Buyer's obligations hereunder and including Buyer's Milestone Dates, Seller shall immediately notify Buyer that a delay has occurred and provide within five (5) working days, a cost proposal for measures to mitigate the delays and Buyer shall either: (a) reject such proposal and equitably adjust the Milestone Dates to incorporate the delays; or (b) accept such proposal and issue a Change Order which directs Seller to implement the measures for the agreed costs. (ii) Delays Within the Control of Seller. If the anticipated or actual failure to meet any Milestone Dates is caused by circumstances within the control and/or those which would be within the control and responsibility of a reasonably prudent Seller, Seller shall notify Buyer of the measures it proposes (without additional cost to Buyer or increase in the Lift Price) to regain the lost time and correct and update any subsequent Milestone Dates as often as necessary until the Lift _ install ion is back on schedule. 3. EQUIPMENT TO BE PURCHASED AND DELIVERED. (a) Seller agrees to deliver to Buyer, at Buyer's cost and expense one (1) high-speed detachable gondola, as described in Exhibit C ("the Lift'). Such Lift shall conform to the Technical Specifications attached hereto as Exhibits A and B and shall be delivered and installed for completion in accordance with Section 14 hereof, no later than September 30, 2007, provided that such completion date shall be dependent on Buyer's completion of its respective obligations set forth in the Milestone Dates. (b) Seller acknowledges that Buyer intends to use the Lift as important and extensively used passenger tramways to transport members of the general public between the Riverfront site in Avon and the Beaver Creek Resort. 3 4. LIFT PRICES AND PAYMENT, SPECIAL PAYMENT SCHEDULE COSTS AND PAYMENT: RETAINAGE AND FINAL PAYMENT. (a) Lift Price and Payment. Buyer shall pay to Seller Fig►e-million, Two-hundred and fifty-eight thousand, Nine-hundred and sixty Dollars (USD $5,258,960) for the Lift, which sum includes all costs and fees associated with the design, manufacture, delivery, installation and engineering of the Lift and other lift-related materials and services as described in Exhibit C. These sums are referred to herein as the "Lift Price." Payment of the Lift Price shall be made by Buyer to Seller within thirty (30) days of receipt of a proper invoice sent to Buyer from Seller in accordance with the following schedule: (i) A deposit of 25% of the total Lift Price, 10% of which shall be paid upon receipt of an invoice from Seiler, and 15% of which shall be paid on May 15, 2006. (ii) 10% of the Lift Price upon completion of the lower terminal foundations for the Lift, if completed; (iii) 10% of the Lift Price upon completion of the upper terminal foundations for the Lifts if completed; (iv) 10% of Lift Price upon completion of tower foundations for the Lift, if completed; (v) 10% of the Lift Price, upon completion of tower erection for the Lift, if completed; (vi) 10% of the Lift Price, plus all change orders to date, upon completion of the lower terminal machinery erection for the Lift, if completed; (vii) 10% of the Lift Price, plus all change orders to date, upon completion of the upper terminal machinery erection for the Lift, if completed; (viii) 10% of the Lift Price upon completion of final assembly of the Lift, with exception of the lower control booth (lift house), if completed; (ix) 5% of the Lift Price, on that date which all installation obligations have been satisfied for the Lift (as described in the Contract Documents), including a load test of the Lift, and the necessary operations permit from the Colorado Passenger Tramway Safety Board has been obtained. (b) Retainaae and Final Payment. In anticipation of the assignment of this Agreement to the Confluence District, and in compliance with the provisions of Section 24-91-103, C.R.S., retainage in the amount of 10% of each progress payment shall be withheld by Buyer until 4 such time as 50% of the Work has been completed; thereafter, provided that Buyer is satisfied with the progress of the Work, no further retainage shall be withheld. If the Seller desires a release of the retainage, the Seller can request that the retainage be released early if the Seller deposits acceptable securities with an escrow agent with a value at least equal to the amount of retainage being released as specified in Article 91 of Title 24 of the Colorado Revised Statutes. Final payment on the Project shall be made in accordance with the provisions of Section 38-26-107, C.R.S., relating to the publishing of notice of final settlement on construction contracts, and the procedures for filing of verified statements of claim by subcontractors relating thereto. Seller shall indemnify and hold harmless Buyer from any cost or expense, including reasonable attorney fees, incurred by Buyer in responding to a verified statement of claim submitted in connection with the Project, or to a lis pendens or court action filed in connection with such claim for payment. (c) Interest on Late Payments. Any invoice not paid within thirty (30) days of receipt will accrue interest at the rate of twelve percent (12%) A.P.R. beginning on the thirty-first day until the invoice is paid. (d) Cancelation or Extended Delay by Buyer. Buyer shall have the right to terminate this contract and order a cessation of work at any time prior to completion of Lift construction. Seller shall cease work immediately upon receipt of a written request for termination from Buyer. In the event of termination by Buyer, Buyer shall be responsible for payment to Seller the cost of all work completed or committed to at the time Seller receives termination notice. In the event Buyer causes a delay in work in excess of sixty (60) days, Seller may request payment for the cost of all work completed or committed to at the time the work delay began and Buyer shall be responsible for such payment to Seller within 30 days, subject to the retainage requirements Section 38-26-107, C.RS., if applicable. 5. RISK OF LOSS. Seller shall bear the risk of any loss or damage to, or the deterioration of, the Lift from the time the Lift leaves Seller's premises until the Lift's License Date (defined below). Buyer will bear the cost of any damage that is not caused by the Seller between the time the installation is complete and the operating permit is granted by the Colorado Passenger Tramway Safety Board. 6. OWNERSHIP. Ownership to the Lift shall pass to Buyer on the License Date (defined -below) for the Lift, provided,- however, that Buyer has paid Seller at least ninety percent (90%) of the Lift Price as described in Paragraph 4 above, and provided further, that Buyer has notified Seller of any particular objections, under the Contract Documents, to payment of the unpaid balance of the Lift Price, provided further that Buyer acknowledges that Seller may use the Lift as security for the remaining balance of 10% of the Lift Price. 7. MARKING. Buyer shall not remove or obliterate any metal plates or similar identification devices which may be attached to the Lift setting forth the name and address of Seller, any trade name or trademark of Seller or any references to patents or patent applications applicable to the Lift. Buyer shall have the right to approve the location and size of any such plates and/or devices upon the Lift. This Paragraph shall survive the passage of title to Buyer. 8. TAXES. To the extent permitted by law, Buyer will seek exemption from payment of state sales tax due to the Seller. If an exemption is not granted, Buyer agrees to pay any sales, 5 excise, use or other similar tax when due in connection with the purchase and installation of the Lift. Buyer shall not pay taxes on the field labor and other services rendered by Seller hereunder if such services are not subject to sales tax under Colorado law under a tax-board ruling. Seller's invoices to Buyer shall describe the amounts of such charges in detail adequate to allow Buyer to verify the appropriate taxable amounts. Seller shall pay all import duties, customs charges or other taxes associated with foreign manufacture. Seller shall cooperate with Buyer in connection with the expected assignment of the Contract Documents to the Confluence District (as permitted in Paragraph 30 hereof), and the assumption by the Confluence District of all of Buyer's rights, duties and obligations hereunder, to obtain any relief from the payment of any sales, excise, use or other similar tax to which the Confluence District may be entitled by virtue of its status as a political subdivision of the State of Colorado. 9. DELIVERY OF COMPONENTS. All component parts of the Lift, whether manufactured in the United States or any other country, shall be delivered or caused to be delivered by Seller to the Job Site (defined below) so as to meet the scheduled License Date (defined below). 10. PREPARATION AND RESTORATION OF JOB SITE. Buyer shall, at its own cost and expense, clear, grade and re-vegetate the lift line areas upon which the Lift is to be installed (the "Job Site"). Upon completion of such clearing and grading, Seller shall inspect the Job Site and provide Buyer with profile drawings indicating any additional clearing and grading which must be performed to ensure proper operation of the Lift. Upon receipt of such profile drawings, Buyer shall perform the additional clearing and grading in substantial compliance with the profile drawings. Upon completion of the grading and clearing, Seller shall construct all foundation excavation, bases, footings and/or other structures and shall proceed with the installation of the Lift in accordance with the Contract Documents. 11. PROJECT REPRESENTATIVES. (a) Seller shall notify buyer of the representative it proposes to designate for coordination and oversight of the Lift installation on or before March 31 , 2006. Buyer shall have five (5) business days to verbally accept or reject such designated representative. If Buyer accepts such representative, such individual shall be so designated as "Seller's Representative." If Buyer does not accept such initially proposed representative, Seller shall immediately, and successively, _ -propose_otherindb6duals until Buyer-accepts one of them, provided hat_this process is completed no later than April 30, 2006. (b) Vail Associates, Inc. ("VAI") is Buyer's representative for purposes of the Work, and for purposes of coordinating ancillary activities necessary or incident to the performance of the Work (such as site preparation, utility relocation, installation of new utilities, and similar matters). VAI shall notify Seller of the individual(s) it proposes to administer VAI's functions as Buyer's representative. 12. INSTALLATION OF THE LIFT. All work to be performed by Seller with regard to the installation of the Lift under this Agreement shall be referred to as the "Work." The Work shall be performed in accordance with the Contract Documents, subject nonetheless to the provisions of Paragraph 12 hereof. Seller shall supply all labor and supervision, supplies, materials, tools, 6 machinery and services necessary to perform the Work required by the Contract Documents for the installation of the Lift. Buyer shall have the right to inspect the Lift' and the Lift installation at any time and shall specifically inspect the Work at the occurrence of the following: excavation, installation of the reinforcing steel, completion of the finished concrete, final assembly and load test. If any of the Work shall be determined by Buyer to be deficient, Buyer shall-notify Seller of such deficiency and Seller shall immediately rectify such deficiency to conform to the Contract Documents at Seller's sole cost and expense. All Work shall be performed in a workmanlike manner in accordance with all of the terms, covenants and conditions set forth in the Contract Documents. 13. CHANGES. (a) Seller shall immediately notify Buyer of any material changes which occur prior to the completion of the installation of the Lift, including without limitation, any matters which affect the Lift Price; the component delivery schedule or the completion dates hereunder. Any such-- notice shall be given to Buyer in writing in accordance with Paragraph 32 hereof. (b) If changes are required in the Contract Documents, such changes shall be proposed to Buyer on a Change Order in the form attached hereto as Exhibit D. Buyer reserves the right to propose changes to Seller via Change Order as well. Seller shall have ten (10) days from the date on which the need for a Change Order is evidenced to inform Buyer of the proposed change. Any Change Order must be signed by authorized representatives of both parties to be effective. If such changes affect the Lift Price, such price shall be adjusted by good faith negotiation-on the basis of the Lift Price originally established. If such changes affect the date scheduled for the Lift's License Date (defined herein), the dates shall be adjusted to the date or dates agreed upon by both parties. 14. COMPLETION AND ACCEPTANCE. Seller agrees to cause the License Date for the Lift to occur on or before September 30, 2007. When Seller has completed installation of the Lift, Seller shall notify Buyer in writing that such lift is ready for inspection. Upon receipt of such notice, Buyer shall promptly cause the inspection of the Lift as installed. For the purpose,of this Agreement, the term "License Date" shall mean the date on which the Lift has been installed in accordance vvith the Contract Documents, has been load tested, all defects noted by- the Colorado _ Passenger Tramway Safety Board (that are the responsibility, of SeIIer) 'have been corrected and such Board has granted Buyer a license to operate the Lift for the purpose intended. If Buyer determines that the Lift has not been installed in accordance with the Contract Documents, and/or the load test requirements have not been met, and/or all the defects'noted by the Colorado Passenger Safety Tramway Board (that are the responsibility of;Seller) have not been corrected, and%or the public license is not-granted, Seller shall be subject to the provisions of Paragraph, l5 herein, shall immediately rectify all deficiencies at its sole cost and shall notify Buyer when such deficiencies have been rectified. 15. LIQUIDATED DAMAGES. For purposes of when liquidated damages will become due and payable, Seller agrees that if the Lift is not installed and "ready to operate" by'September 30, 2007, and other than date otherwise in accordance with the terms of Section 14 above, Seller will pay Buyer liquidated-damages as set forth below as Buyer will suffer damages in an amount which will be difficult to determine and it shall be infeasible for Buyer to otherwise obtain an 7- adequate remedy. The liquidated damages shall be paid unless the delay is caused by a material default of Buyer under any of the terms of this Agreement or unless the delay is and to the extent permitted as a justifiable delay under Paragraph 18 hereof. Seller acknowledges that the liquidated damages set forth below are reasonable and were determined through negotiations between the parties in which both were represented by counsel. In light of the anticipated harm caused by such breach, Seller agrees as follows: (a) If the License Date for the Lift does not occur on or before the appropriate date set forth in this Section, Seller shall pay Buyer liquidated damages in an amount as specified, below. For each day following such date which the License Date does not occur for the Lift, Seller shall pay Buyer additional liquidated damages in the amount as specified below for each day until the License Date for such Lift occurs. Name of Lift Date on Which Liquidated Amount of liquidated Amount of liquidated Damages are Due and danages if Completion and damages each day Payable License Date not met by thereafter S tember 30, 2007 River&ont Express September '30,2007 $25,000 $2,500 per day Gondola, Avon, Colorado (b) Notwithstanding the foregoing, if Buyer, after March 25, 2007, causes the Milestone Dates to be delayed in excess of a cumulative of fifteen (15) days, the scheduled License Date for such Lift shall be extended by the number of additional days which Buyer's delay caused. Such change in the scheduled License Date shall be documented by a Change Order in accordance with Paragraph 13 hereof. Seller shall give Buyer prompt written notice of any delays claimed under this provision and such delays shall be addressed as set forth in Paragraph 2(d) hereof. If Seller does not so notify Buyer, any scheduled date(s) shall not be extended. 16. WARRANTY, BREACH OF WARRANTY. For purposes of this Section 16 the term "Lift" shall be deemed to apply to the Riverfront Express Gondola independently and all periods of time or hours of operation shall apply to such Lift. (a) Materials Warranty. Seller warrants that, when used and maintained substantially in accordance with Seller's instructions, from the License Date for the Lift and for five (5) years thereafter (the "Materials Warranty Period"), the Lift materials and-parts and-related workmanship shall be: (i) free from defects, (ii) merchantable and fit for the purpose for which such are intended, and (iii) not require repair or replacement. This warranty shall not apply to those parts which are annually replaced during Buyer's typical Lift maintenance program, which program Seller shall have the opportunity to review upon written request delivered to Buyer prior to the License Date, or those parts requiring replacement due to abuse or lack of maintenance by Buyer (the "Excluded Parts"). Should VAI cease to be Buyer's Lift maintenance and operations contractor, the Material Warranty Period will default to a period of two calendar (2) years of operation from the License Date for the Lift. (b) Design Warranty. Seller warrants that, when used and maintained substantially in accordance with Seller's instructions, for a period of fifteen (15) years or 15,000 hours of operation as appropriate from the License Date for the Lift (the "Design Warranty Period"), 8 the Lift design and workmanship, including without limitation, the installation and manufacture of the Lift, shall be: (i) free from defects, (ii) merchantable and fit for the purpose for which such are intended, and (iii) not require repair or replacement. The items set forth on Exhibit F, if any, are the only exceptions to this warranty. Should VAI cease to be Buyer's Lift maintenance and operations contractor, the Material Warranty Period will default to a period of two calendar (2) years of operation from the License Date for the Lift. (c) For the purposes of this warranty, a defect in design, manufacture, installation and/or workmanship shall be deemed to exist (A) if agreed upon by Buyer and Seller or (B) if so stated by an independent qualified third parry who shall be appointed by Buyer and Seller (or, in the event Buyer and Seller cannot agree on the appointment of such a third parry, settled by arbitration in Denver, Colorado in accordance with the then governing rules of the Judicial Arbiter Group of Denver, Colorado or its successor organization). Notwithstanding the above, Buyer and Seller agree that such a defect is anticipated to include, without limitation: (Y) a latent or patent design error, miscalculation, misapplication or misjudgment; or (Z) a defect of the Lift or Lift- related materials or parts designed by Seller, or its affiliates, which causes a relatively simultaneous failure of a substantial portion of similar parts, such as structural failures, fatigue failures, cracks or the like, but excluding normal wear and tear to sheave liners, bushings or the like. (d) Compliance Warranty. Seller warrants that, for the life of Buyer's ownership of the Lift or the ownership of any person or entity acquiring all or substantially all of the assets of Buyer (the "Compliance Warranty Period"), the Lift shall operate in accordance with the Contract Documents and all other written representations made by Seller to Buyer in connection therewith, and be continually in compliance with the Contract Documents and all Colorado Passenger Tramway Safety Board rules and regulations in effect at the License Date. (e) Breach of Warranties. Seller agrees to promptly remedy any breach of warranty, including, without limitation: (i) during the Materials Warranty Period, at no cost to Buyer, promptly repairing or replacing any Lift materials or parts, except Excluded Parts, and performing all related workmanship and labor; - - - - - (ii) during the Design V1tan-anty Period, promptly redesigning, reworking, reinstalling or remanufacturing, any defect in Lift design, workmanship, installation or manufacture. During the Materials Warranty Period Seller shall bear all expenses related to the remedy. Following expiration of the Materials Warranty Period but during the Design Warranty Period, Buyer will be responsible for a share of parts, materials, manufacture and labor costs associated with remedying a defect in Lift parts, materials, design, workmanship, installation or manufacture (the "Corrective Costs") according to the following formula: (No. of hours or years Amount of of Lift operation prior 15,000 hours or 15 years Corrective Corrective Costs to identification of as appropriate.) X Costs = paid by Buyer defect 9 Seller shall have the option of choosing whether such calculation shall be based on operating hours or years. Seller shall be responsible for the balance of Corrective Costs and all costs associated with redesigning, reworking, reinstalling or remanufacturing any defect and for all costs of redesign. For example, if, in the tenth year or after 10,000 operating hours following the License Date, a part fails due to a defect in design, Buyer shall pay 66.7% of Corrective Costs and Seller shall pay 33.3% of Corrective Costs; and (iii) during the Compliance Warranty Period, at no cost to Buyer, promptly correcting or otherwise remedying any non-compliance with the Contract Documents and Colorado Passenger Tramway Safety Board rules and regulations in effect on the License Date. (f) Failure to Cure. In the event Seller fails or refuses to so redesign, replace and/or repair any defect in the Lift, Buyer may do so and Seller shall reimburse Buyer for the full cost of such redesign, replacement and/or repair. If Buyer encounters any problem with the Lift, Seller will consult with Buyer and use its best efforts to assist Buyer in resolving such problem. (g) Buyer's Representations. The above warranties of Seller are made in reliance on Buyer's representation that the Job Site will be properly prepared in substantial compliance with Seller's profile drawings and Paragraph 10 hereof. It is understood and agreed that all warranties of Seller herein provided shall be null and void if Buyer materially changes or moves the location of the installation without Seller's knowledge and acceptance. (h) No Other Warranties. Except as provided for in this Paragraph 16 and elsewhere in the Contract Documents, Seller gives no other express or implied warranty. (i) Contrai-~Law. Seller warrants the Lift as described in this Agreement notwithstanding any law, judgment, order, rule or regulation to the contrary whatsoever. Seller specifically waives any statute of limitation or other defense which may limit remedies under these warranties in any way, with respect to the warranties set forth in Paragraph 16. 17. REMEDIES CUMULATIVE. All the rights and remedies of Buyer under this Agreement are intended to be distinct, separate and cumulative. - 18.- FORCE MAJEURE. (a) Time is of the essence with respect to the parties' respective obligations under this Agreement. However, neither of the parties hereto shall be liable for any liquidated, direct, indirect, or consequential damages due to delays or inability to perform caused by factors beyond its control, including acts of God, flood, war, riot, fire, explosion, wildcat labor strikes, transoceanic shipping casualty or acts of Government, with the specific exceptions, however, that weather on the Premises, regulations concerning the Job Site (whether related to noise, construction, labor disputes (other than wildcat labor strikes) and/or a delay in the delivery of the Lift or any part thereof to Seller shall not be considered justification for delay. (b) If, by reason of the occurrence of one or more of the events described above for which delay is justifiable, airfreight of some portions of the Lift is necessary to complete the project 10 on time, then Buyer and Seller agree to negotiate the splitting of the additional airfreight cost. If airfi-eight would not enable Seller to complete the project on time or if no agreement regarding splitting of additional airfreight cost can be reached, Seller shall receive a reasonable extension of time to complete the project. (c) Subject to Buyer's rights under Section 13 herein, the parties hereto acknowledge that orders for parts cannot be canceled or changed or deliveries deferred, and, if Buyer refuses to accept delivery of items reasonably ordered, Seller shall be entitled to charge reasonable storage, interest, loading and unloading expenses, extra freight, if applicable, and all other reasonable, direct and actual costs caused by delay in delivery. 19. INFORMATION DISCLOSURE. (a) Information considered by either party to be proprietary information, shall be held in confidence by the other party for a period of eight (8) years from the License Date, unless such period is extended by notice in writing to the other party prior to the expiration of the then- current period of confidentiality. This confidentiality commitment shall not apply to any information: (i) known by the recipient of the information at the time of disclosure; (ii) generally available to the public; (iii) lawfully disclosed to the recipient of the information by a third party subsequent to disclosure; (iv) approved in writing by the disclosing party for disclosure by the recipient of the information; or (v) required by law to be disclosed by the recipient of the information. No information relevant to the operation of the Lift shall be withheld from Buyer. At such time as this Agreement is assigned to the Confluence Metropolitan District as permitted under Paragraph 30 hereof, Seller acknowledges and agrees that the terms of this Agreement and any other information -provided by Seller to Buyer, may be subject to disclosure in accordance with and subject to any applicable limitations of the Colorado Open Records Act, Section 24-72-201,C.R.S. (b) Seller shall use its best efforts to notify Buyer in writing of any information that Seller may have concerning the Lift which may have a material affect on the safety, maintenance or servicing of the Lift which comes to the attention of Seller by virtue of any known safety defects in similar lifts or any material changes in Seller's policy and procedures with respect to the service and maintenance of the Lift. The provisions of this subsection shall survive the end of this Agreement so long as the Lift is being utilized in its present location without substantial modification unless such Lift modification is done by Seller or with Seller's consent. 20. APPROVAL OF CONTRACTORS AND EMPLOYEES: MECHANIC'S LIENS. • 11 (a) Buyer shall have the right to approve of or disapprove of any of Seller's contractors, subcontractors or employees engaged by Seller in connection with the Work, which approval may be withheld in Buyer's sole discretion. Seller shall provide Buyer, prior to the engagement of any contractor, subcontractor or employee, with a list of the contractors, subcontractors and employees of Buyer that Seller intends to engage. Buyer shall, within seven (7) days of receipt of such list, notify Seller of any contractor, subcontractor or employee which Buyer disapproves. If Seller has not received such notice from Buyer within such seven (7) day period, the list of contractors, subcontractors and employees submitted by Seller shall be deemed approved by Buyer and Buyer shall have waived its right of disapproval under this Paragraph 20. (b) Notwithstanding the foregoing, Seller agrees it is responsible to Buyer for the acts or omissions of Seller's subcontractors, their respective employees and agents, during the course of their respective subcontract agreement. Nothing contained herein shall create any obligation on the part of Buyer to pay any sums to any of Seller's subcontractors. Seller agrees it will pay and discharge in the ordinary course all amounts due to its subcontractor(s) in connection with the Work; Seller shall promptly discharge or "bond over," in its discretion, any mechanics lien or the like filed by its subcontractor(s) and Buyer may withhold the amount of any such claim from the next payment(s) due Seller until satisfactory evidence that such lien claim has been finally resolved or bonded over. 21. COMPLIANCE WITH LAWS, SAFETY PROGRAM. (a) Seller agrees to comply with all applicable laws, ordinances, rules and regulations whether federal, state, local or otherwise affecting the Lift, the installation thereof or the Job Site (including, without limitation, the most current rules of the Colorado Passenger Tramway Safety Board and applicable local laws, rules and/or regulations including but not limited to the Town of Avon. (b) Seller shall be responsible for its own safety program which shall comply with all applicable Federal, State and local laws and regulations, including but not limited to the occupational Health and Safety Act ("OSHA") and shall provide Buyer and VAI with a copy of Seller's safety manual, attached hereto as Exhibit G and incorporated herein by this reference. If Buyer and/or VAI find deficiencies in said safety manual which include but are not limited to non- compliance with.OSHA, Buyer and/or VAI shall notify Seller and Seller shall correct such deficiencies. Further, Seller warrants that in performing the Work, Seller, its agents and subcontractors shall maintain compliance with applicable OSHA regulations. During performance of the Work, if Buyer and/or VAI detennines Seller is not adhering to its safety manual or is in non- compliance with OSHA, Buyer and/or VAI shall notify Seller and Seller shall correct the non- compliance. Any non-compliance which is not corrected shall be deemed to be a breach of this Agreement and handled as contemplated herein. 22. ROADS AND ACCESS WAYS. Buyer will provide seller free and unrestricted access to the Job Site. 23. COORDINATION AT JOB SITE. By executing this Agreement, Seller represents it has visited the Job Site, familiarized itself with the local conditions under which the Work is to be 12 performed and correlated its observations with the requirements of the Contract Documents. Seller and Buyer understand that there may be other contractors working on and in close proximity to the Job Site. Seller and Buyer shall use their best effort to coordinate the installation of the Lift with the work of other contractors in order to minimize work delays and inefficiencies and further agree that Seller may not be entitled to.additional compensation or extensions of time from Buyer,on account of the actions of other contractors working at or around the Job Site. 24. CLEANUP. (a) Seller at all times shall keep the areas in and around the Job Site flee from accumulation of waste materials or rubbish caused by its operations.- At the completion of the installation, Seller shall rem-ove all waste-materials and rubbish from and about the Job Site as well as allits-tools, equipment, machineryand'surplus materials. • (b) Buyer shall provide a sediment control pond for the excavation of the Lower Terminal Foundation.. Seller will be responsible for transporting sediment to the pond and also responsible for any additional localized sediment control required for any other excavation. (c) If Seller fails to clean up its construction materials and rubbish at the completion of the installation of the Lift,-Buyer-may do so and the-cost thereof shall be deducted from- any- - - - amounts due Seller or if the cost of the cleanup exceeds the amount- due Seller, the cleanup costs shall be charged to Seller and Seller agrees to promptly reimburse Buyer for such cleanup costs. 0 25. RULES AND REGULATIONS. All rules and regulations in effect with regard to access to the Premises regarding passes, lists of employees, safety and-conduct on the property shall be strictly observed by Seller, its agents, contractors, subcontractors, materialmen, suppliers and employees, provided such rules and regulations are provided to Seller in writing prior to the start of construction. 26. INSURANCE AND BONDS. (a) Seller's Insurance. At all times during the manufacture, delivery and installation of the Lift and throughout the Materials Warranty Period and the Design Warranty Period, as set forth in Paragraph 16'hereof, Seller shall use its best efforts to carry afi&mafiJfid ; in full force-and, effect, at its sole cost and expense, the following insurance policies with insurance companies satisfactory to Buyer. (i) Comprehensive general liability insurance in an occurrence format in an amount of at least $20,000,000 per occurrence, including the following coverages: contractual liability, personal injury, broad form property damage, independent contractors,. premises operations, underground explosion and collapse hazard and producWcompleted-operations. , Buyer shall be listed as additional insured as their respective interests may appear on such policy. (ii) Comprehensive automobile liability insurance on all vehicles used in connection with this Agreement, in an amount of $2,000,000 combined single limits for bodily 13 injury and property damage, per occurrence. Buyer shall be listed as additional insured as their respective interests may appear on such policy. (iii) Workers' Compensation insurance in accordance with the provisions of the Workers' Compensation Act of the State of Colorado for all its employees engaged in the Work. (iv) Builders Risk insurance for the Lift in the amount of the Lift Price or such amount to provide for all risk of loss of the Lift, with coverage to continue until the License Date. (v) In the event helicopters are used in the performance of the Work, Seller shall cause the helicopter operator to provide comprehensive or commercial general liability insurance including coverage for premises operations, underground explosion and collapse hazard, products/completed operations, contractual, independent contractors, broad form property damage, personal injury, aviator liability, load coverage and hull coverage with aggregate limits of at least $10,000,000 for property damage and bodily injury, including death. Seller shall provide Buyer with evidence of the helicopter operator's insurance coverage prior to the performance of its services to Seller. Buyer shall be listed as additional insured as their respective interests may appear on such policy. (b) General Insurance Provisions. Each policy shall include a provision requiring a minimum of thirty (30) days' notice to Buyer of any change or cancellation. (c) Certificates of Insurance Declarations Page and Policy Manuscri pt. Certificates of all insurance required, together with the appurtenant declarations page(s) and policy manuscript shall be submitted to Buyer prior to commencement of the Work. The coverage required herein shall be provided by insurance companies which are licensed to do business in the United States and the State of Colorado, and with a Best Rating of "A" or "A+." (d) Subcontractors. In the event any portion of the Work is subcontracted, Seller shall require the subcontractor to provide the identical insurance listed in Subparagraph 26(a). In the event any subcontractor does not have such identical coverage, Seller shall name such subcontractor(s) as additional insured's on it respective policy(ies) during the construction period. For the purpose of this _sub-section, suppliers of materials shall not be considered subcontractors. (e) Performance and Payment Bonds. At the time of execution of this Agreement, Seller shall furnish a Performance Bond and a Payment Bond, each in an amount equal to 100% of the Lift Price, in forms attached as Section 6 and 7 to the Project Manual for the project. (fl The entity providing Lift maintenance and operation will carry a minimum of $20,000,000 per occurrence of General Liability Insurance coverage until the expiration of the warranty period. 27. INDEMIq=. • 14 (a) General Indemnity. Seller agrees to forever indemnify, defend and hold harmless Buyer, its subsidiaries and affiliates, their respective: agents, officers, directors, contractors, servants and employees of and from any and all liability, claims, liens, demands, actions and causes of action whatsoever arising out of or related to any loss, cost, damage or injury, including death, of any person or damage to property of any kind caused by Seller's operations or the misconduct or negligent acts, errors or omissions of Seller, its subcontractors, materialmen or, any other person directly or indirectly employed by them, or any of them, while engaged in any activity, associated with the Lift or this Agreement, including without limitation, the design and/or manufacture of the Lift, the installation thereof, the breach of the warranties set forth in Paragraph 16-or any activity related thereto or associated therewith, whether contractually or otherwise. (b) Patent Indemnity: Seller agrees to forever indemnify, defend and hold harmless Buyer, their respective= agents, officers, directors, contractors, servants and employees of and from any and all liability, claims, liens, demands, actions and causes of action whatsoever arising out of or related to any loss, cost or damage, of any person or damage to property of any kind caused by SeIer's alleged infringement of any patent, copyright, trade secret, trademark or other legally protected ,pr`opriety right of any third party, in connection with the Lift or any part or component thereof. If the Lift or any part or component thereof is held to infringe, or in Seller's opinion, is likely to be held to infringe, any third party intellectual property right, Seller shall, at its expense, secure the right for Buyer to.continue use of the Lift or replace or modify.the Lift to make it non- infringing; provided that, such replacement or modification yields substantially equivalent results. 28. DEFAULT AND REMEDIES. (a) In addition to Buyer's remedy as set forth in Paragraph 15 hereof, if either parry to this Agreement fails to perform in accordance with any of the terms, covenants or conditions of this Agreement or is otherwise in default of any of the terms of this Agreement, after giving fifteen (15) days' prior written notice to the other party of the alleged default and.upon said defaulting party's failure to make agood-faith effort to cure such breach within fifteen (15) days after receipt of the notice of default, the non-defaulting party shall have the right to pursue any remedy available at law or in equity, including but not limited to, any remedy set forth in this Agreement. (b) After adhering to Section 34(k), if either.party to this contract materially breaches any of the terms, covenants or conditions of this Contract, the nonbreaching party, so long as it is no alleged default, shall t mmaterial breaeli hereof, upon giving tyirty`30)clayswritten notice of the have the right to terminate this Contract or stop the Work and pursue any remedy available at law or equity. Without limitation, a material breach shall include: (i) The Buyer encumbering the property, including without lunitation, the Lift, without prior written consent of the Seller, or the property is seized or levied upon under any legal or governmental process, (ii) either party becomes insolvent, or is subject to any bankruptcy proceeding, (iii) either party makes an assignment for the benefit of creditors, (iv) either party's business fails or terminates, (v) a receiver is appointed for a party or all or a substantial part of its assets or business, (vi) either party reasonably believes that the prospect of payment or performance is impaired, (vii) the Lift or any portion thereof is transferred or hypothecated to a third party (except as allowed in this contract) or (viii) either party fails to make any payment or perform any obligation hereunder when due. 0 29. WAIVER OF DEFAULT. 15 (a) Failure to insist upon strict compliance with any of the terms, covenants and conditions hereof shall not be deemed a waiver of such terms, covenants and conditions, nor shall any waiver or relinquishment of any right or power hereunder at any one or more times be deemed a waiver or relinquishment of such right or power at any other time or times. No waiver shall be valid unless in writing and signed by authorized officers of the parties hereto. (b) Buyer agrees that Seller may, at its option, accept payments past due, or part payments of monies due without in any manner modifying the terms of this Agreement, that the acceptance of partial payments shall not constitute a waiver of any default created by the failure of Buyer to pay in accordance with the terms hereof, nor shall the acceptance of any sums in full or partial payment of any delinquent installments constitute or be construed as a waiver of time as the essence of this Agreement or of any subsequent defaults of Buyer. Any action to enforce payment of any indebtedness shall not waive any of Seller's rights hereunder. 30. DELEGATION/ASSIGNMENT. Neither of the parties may delegate its respective duties under this Agreement nor assign this Agreement without the prior written consent of the other parties; provided, however, Buyer may assign all of its rights under this Agreement, including, without limitation, its rights under Paragraph 16 hereof, to any person or entity acquiring all or substantially all of the assets of Buyer, and to the Confluence Metropolitan District and/or the Avon Station Metropolitan District (collectively the "Confluence District'), subject to the Confluence District demonstrating an ability to pay the balance then due under this Agreement. In connection with any such assignment, Seller shall substitute the name of the assignee for that of Buyer on the Performance and Payment Bonds, as an additional insured under any policy of insurance so required, and on any other certificate, permit or other instrument naming Buyer as the holder, beneficiary or authorized party relating to the rights established thereunder. Upon any such assignment, Buyer shall be released and discharged from any further liability or obligation under this Agreement. 31. SUCCESSORS AND ASSIGNS. Subject to the provisions of Paragraph 30 herein, the terms, covenants and conditions of this Agreement shall be binding on the successors and assigns of each of the parties. 32. NOTICES. Any notice, demand or communication which any parry may desire or be required to give to the other party shall be in writing and shall be deemed sufficiently given or rendered if delivered personally or sent by first class United States mail, certified or registered mail, postage prepaid, addressed as follows: If to Buyer: EAST WEST RESORT DEVELOPMENT)UV L.P., L.L.L.P Attn: Andy Gunion P.O. Drawer 2770 100 East Thomas Place Avon, Colorado 81620 With a copy to: William P. Ankele, Jr. • • • 16 • 1805 Shea Center Drive, Suite 100 Highlands Ranch, Colorado 80129 And: George Hudspeth, Director of Lifts Beaver Creek Resort P.O. Box 7, Internal Box B33 Vail, Colorado 81658 And: Richard D. Travers 1000 South Frontage Road West Suite 2 Vail, Colorado 81657 If to Seller: Doppelmayr CTEC, Inc. Attn: Jan Leonard 3160 West 500 South Salt Lake City, Utah 84104 • • With a copy to: Doppelmayr CTEC, Inc. Attn: Randy Woolwine 6452 Fig Street, Unit B Arvada, CO 80004 And: Mark Bee (At same address immediately above) Such notice, demand or communication shall be deemed to be given at such time as it is personally delivered or mailed. The parties shall have the right to designate in writing, served as provided above, a different address to which any notice, demand or communication is to be mailed. 33. NONDISCRIMINATION. During the term of this Agreement, Contractor agrees that it shall not discriminate: (a) against any employee or applicant for employment because of race, color, religion, sex, national origin, age or handicap (Ref. Title VII of the Civil Rights Act of 1964 as amended.); and (b) by segregation or otherwise against any person on the basis of race, color, religion, sex, national origin, age or handicap, by curtailing or refusing to furnish accommodations, facilities, services or use privileges offered to the public generally. (Ref. Title VI of the Civil Rights Act of 1964 as amended, Section 504 of the Rehabilitation Act of 1973, Title IX of the Education Amendments, and the Age Discrimination Act of 1975.) 34. MISCELLANEOUS. 17 (a) If any clause or provision of this Agreement shall be held.to be invalid in whole or in part, then the remaining clauses and provisions, or, portions thereof, shall nevertheless be and remain in full force and effect. (b) No amendment, alteration,'modification of or-addition to this Agreement shall be valid or binding unless expressed in writing and, signed by the,parties to be bound thereby. - (c) The captions of each section are added, as a matter of convenience only and shall be considered of no effect in the construction of any provision of this Agreement. (d) If any party hereto shall bring any suit or action against another for relief, declaratory or otherwise, arising out of this Agreement, the prevailing party. shall have and-recover against the other party, in addition to all court costs and disbursements, such sum as the Court may adjudge to be reasonable attorneys' fees. (e) This Agreement shall be governed by and interpreted in accordance with the laws of the State of Colorado. Exclusive jurisdiction for any and all legal action regarding this Agreement shall lie in the District Court, Eagle County, Colorado. (fl Any and all warranties, provisions,-rights and obligations-of the parties herein described and agreed to be performed subsequent to the termination of this Agreement shall survive the termination of this Agreement. (g) Time is of the essence with respect to the performance of each of the covenants and agreements herein set forth. (h) The parties and their respective counsel have reviewed this Agreement in its entirety and acknowledge that each has had a full opportunity to negotiate the Agreement's terms. Therefore, the parties expressly waive any.and all applicable common law and statutory rules of construction that any provision of this Agreement should.be construed against the Agreement's drafter, and agree and affirm that the Agreement and all provisions thereof shall in all cases be construed as a whole, according to the fair meaning of the language used. (i) Failure to insist upon strict compliance with any of the terms, covenants and . conditions hereof shall not be deemed a waiver of such terms, covenants and conditions, nor shall any waiver or relinquishment of any right or power hereunder at any one or more tunes.be deemed a waiver or relinquishment of such right or power at any other time or times. No waiver shall be valid unless in writing and signed by an authorized officer of Owner. 0) This Agreement constitutes a valid and binding agreement of the parties, enforceable against each in accordance with its terms. To the extent the parties are not natural Persons, the persons executing this.document on such party's behalf have actual power and authority to bind the corporation or other entity and to execute and deliver this Agreement. (k) If the Buyer or Seller believes a conflict exists as to the interpretation or performance of the contract, the party shall explain this belief to the other party in writing. Once the 18 explanation of the conflict is received, the Buyer and Seller shall first attempt to mediate any conflicts related to the interpretation of or performance under the Contract Documents. Should the parties fail to reach a resolution of the conflict within ten (10) days, the matter shall be referred to the Judicial Arbiters Group, Inc., located in Denver, Colorado, for binding arbitration. In no way does this sub- section prohibit the Buyer or Seller from bringing suit or action against another for relief, declaratory or otherwise, arising out of this agreement. 35. ENTIRE AGREEMENT. This Agreement and the exhibits attached hereto constitute the understanding of the parties with respect to the entire subject matter hereof, and, except where provided herein, there are no representations, inducements, promises or agreements, oral or otherwise, not embodied herein. Any and all prior discussions, agreements, proposals, negotiations and representations relating thereto are merged herein. In the event of conflict between the terms and conditions of this Agreement and any of the exhibits, this Agreement shall control. • 19 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the respective dates set forth below to become effective as of the day and year first set forth above. SELLER: DOPPLEMAYR CTEC, INC., a Utah Corporati n E/ Date: 3 - oZ 3 ~ By: Name: /~itst/Qn, L C.aaGCJi.vL'' ATTEST: Title: ke; AC~C `aL Secretary/Other Title:VLCv ka . IE(pKb )d , \f BUYER: EAST WEST RESORT DEVELOPMENT XIV L.P., L.L.L.P A Delaware limited partnership registered as a limited liability ' 'ted partnership Date: 3-Z Lo k By: U w 0 Name: c.~ tfirLt~7~ ,v g XO? r 9L! Title: Vice l~rz~s•ve•-, ATTEST: b.a~ a L'n Secretary/Other-Title: R-64 _ 20