Attachment D_Spring Valley Annexation Terms and Conditions

Spring Valley Annexation Terms and Conditions RECITALS A. Landowners within the Spring Valley Estates neighborhood, comprising more than 50 percent of the landowners in the area and owning more than 50 percent of the area (“Applicants”), have petitioned the City of Boulder (“City”) to annex the area more particularly described in Exhibit A to Resolution 1376 (collectively, the “Annexation Area”). B. The properties within the Annexation Area currently receive water service from the Spring Valley Mutual Water Association (“SVMWA”). C. With annexation, the Applicants are seeking to connect the properties in the Annexation Area to the City’s water utility. D. The City already serves the properties within the Annexation Area with sanitary sewer service pursuant to an out-of-city sanitary sewer agreement dated March 17, 1967, recorded in the records of the Boulder County Clerk and Recorder’s office on March 20, 1967, at Film 597, Reception No. 842044. E. To connect to and receive water from the City’s water utility and meet City infrastructure requirements, public infrastructure improvements must be designed, constructed and installed, including without limitation water mains, service taps, service lines from main to meter, water meters, fire hydrants, valves, a booster pump station, and any associated appurtenances consistent with the provisions in Chapter 11-1, “Water Utility,” Boulder Revised Code (B.R.C.) 1981, and the City of Boulder Design and Construction Standards (“DCS”) (collectively, “Water Distribution System”); additional rights-of-way and easements may need to be dedicated or obtained for required improvements; City property, rights-of-way and easement areas for such improvements will be impacted and have to be restored; and Cholla Court and Spring Valley Road will have to be upgraded to provide improved access for fire department vehicles and equipment (all collectively, “Spring Valley Public Improvements”). F. To assist the Applicants in annexing into the City, the City is offering to initiate, following the effective date of annexation, one or more local improvement districts to construct the Spring Valley Public Improvements pursuant to the provisions Chapter 8-1, “Local Improvements,” B.R.C. 1981. G. Pursuant to Section 9-2-17, “Annexation Requirements,” B.R.C. 1981, annexation of land to the City shall not create an unreasonable burden on the physical, social, economic, or Page 1 of 15

environmental resources of the City. The cost of construction of the Spring Valley Public Improvements through a local improvement district will therefore be assessed to properties in the Annexation Area benefited by the improvements and the annexation and the following terms and conditions (“Terms and Conditions”) shall be imposed on the owners of property within the Annexation Area. H. The Terms and Conditions create obligations for individual owners of a lot or parcel within the Annexation Area (each a “Landowner” and collectively “Landowners”). A separate agreement between the City and the SVMWA addresses obligations of SVMWA in this annexation, future discontinuance of water service by SVMWA within the Annexation Area, and dissolution of SVMWA when the City provides water service to lots and parcels in the Annexation Area (each individually hereafter “Annexation Property” and collectively “Annexation Properties”). NOW, THEREFORE, in consideration of the recitals which are incorporated herein by reference, the following Terms and Conditions shall be imposed on the annexation to the City of properties in the Annexation Area: 1. SVMWA Agreement. The annexation shall be conditioned on the execution by SVMWA of an agreement (“SVMWA Agreement”) between the City and SVMWA prior to a public hearing by the City Council to determine if the proposed annexation complies with the applicable state law and whether to impose terms and conditions on the annexation pursuant to Section 3112-108, C.R.S. The SVMWA Agreement shall provide for, without limitation: (a) the water service that may be provided by SVMWA within the boundaries of the City between the effective date of the annexation and connection of the last of all Annexation Properties to the City’s water utility; (b) timing of discontinuance of SVMWA water service to Annexation Properties; (c) completion or near completion of the design of the Spring Valley Public Improvements by SVMWA and valid assignment of any rights under contracts for the design of any Spring Valley Public Improvements to allow the City, as needed, to finalize or revise the design and cause the construction of the Spring Valley Public Improvements, and (d) dedication of easements to the City, including any utility easements for the construction and future maintenance of the Spring Valley Public Improvements and flood control easements. a. SVMWA shall be responsible for the dedication or granting of the required easements by the owners of the underlying properties to the City, at no cost to the City. The form and terms of the easements will be subject to the city manager’s approval. SVMWA Page 2 of 15

shall submit the easements to the City prior to consideration of an ordinance to annex the Annexation Area. Final adoption of an annexation ordinance shall be considered the acceptance of such easements. If the Annexation Area is not annexed by the City following City Council consideration of the annexation, the easements provided to the City under the SVMWA Agreement will be considered not accepted, and the City will not record and will destroy the easement documents. b. Prior to finalizing and execution of utility easements for the construction of the Spring Valley Public Improvements, the design of the Spring Valley Public Improvements must have progressed to a point that allows the City to determine, with reasonable certainty, the areas where the Water Distribution System will be located and the location and extent of easements that the City will need for the construction and accommodation of the Water Distribution System. c. Flood control easements are required for those areas of the Annexation Properties subject to the conveyance zone as delineated on the City’s regulatory floodplain mapping, and access easements are required to provide adequate access to the flood control easement areas for reasonable use thereof. d. Prior to dissolution of SVMWA, the parcel within the Annexation Area generally known as 0 Cactus Court and more particularly described as that part of Lot 18, Spring Valley Estates, Boulder County, Colorado, described as beginning at the Westernmost corner of said Lot 18; running thence South 6°00' East, 89.53 feet along its westerly line; thence South 85°56' East, 44.35 feet; thence North 04°04’ East, 88.15 feet; thence North 85°56’ West, 60 feet to the point of beginning that is owned by SVMWA (“SVMWA Parcel”) shall be conveyed to the owner of an adjacent property. Prior to this conveyance of the SVMWA Parcel, any water utility infrastructure located above ground and up to one foot below ground, excluding any wells which shall be decommissioned in accordance with State of Colorado rules and regulations, any building, and any other impervious area on the SVMWA Parcel shall be removed. 2. SVMWA Dissolution. As a requirement of annexation, the Landowners shall use their best efforts to dissolve SVMWA within two years of the City’s final acceptance of the Spring Valley Public Improvements under the City’s construction contract for the Spring Valley Public Improvements or withing two years of commencement of City water service to all dwelling units within SVMWA, whichever occurs later.

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3. Spring Valley Public Improvements. Following annexation, the city manager will propose to establish a local improvement district (“LID”) under the procedures established in Chapter 8-1, “Local Improvements,” B.R.C. 1981, for the construction of the Spring Valley Public Improvements. The city manager will propose to establish the LID pursuant to the procedure set forth in Section 81-3, “Initiation of Local Improvement District by City Manager,” B.R.C. 1981. The proposal will include the following: a. The City will construct or cause the construction of the Spring Valley Public Improvements. b. The Spring Valley Public Improvements design, construction, and construction administration will include and be consistent with the following: i. Water mains, service taps, service lines from main to meter, water meters, fire hydrants, valves, and any associated appurtenances constructed as part of the Spring Valley Public Improvements will be located in City right-of-way or City utility easements, and, to the extent reasonably feasible, new water mains will be constructed within existing right-of-way or City utility easements. Where necessary and not otherwise provided to the City as may be required under these Terms and Conditions, new rightsof-way or easements may be acquired by the City. ii. Spring Valley Public Improvements will be designed and constructed to City standards, including without limitation the Boulder Revised Code and the City of Boulder Design and Construction Standards, except for variances or waivers approved in advance by the City in accordance with City standards. With regard to a booster pump station, where standards are not specified, the improvements will be designed to American Water Works Association (“AWWA”) standards and published manufacturer’s recommendations. iii. The Water Distribution System will generally be based on a design provided by SVMWA that is approved by the city manager pursuant to TEC2023-00045. iv. The Water Distribution System will include a booster pump station to serve all properties within the Annexation Area. The design of the booster pump station will generally be based on a design provided by SVMWA to the City that is approved by the city manager pursuant to TEC2023-00045. The booster pump station will be placed on an existing City parcel, adjacent to the Maxwell Water Tank and Maxwell Hydroelectric Facility, subject to City approval of such development pursuant to the Boulder Page 4 of 15

v.

vi.

vii.

Revised Code. The city manager will submit and process a site plan application for such site. The booster pump station will be designed to allow for delivery of water pressures consistent with the DCS standards, with an operational goal of providing adequate pressure at the meter to serve the highest-elevation dwelling units in the system without overpressuring the lowest-elevation dwelling units. Cholla Court right-of-way improvements to improve the City fire department’s ability to respond to fires will generally be based on a design provided by SVMWA that is approved by the city manager pursuant to TEC2023-00045. Spring Valley Road right-of-way improvements to improve the City fire department’s ability to respond to fires will generally be based on a design provided by SVMWA that is approved by the city manager pursuant to TEC2023-00045. No other street improvements, such as curb, gutter, sidewalk, or streetlights, will be included in this initiation, except as those may be associated with the construction of the Spring Valley Public Improvements.

c. The LID proposal will include a cost estimate for the Spring Valley Public Improvements. Property owners within the LID will be responsible to pay costs up to the amount of 100 percent of the cost estimate to accomplish the design, construction, installation, reconstruction, renewal, or replacement of improvements that are Spring Valley Public Improvements, including, without limitation, acquisition of right-of-way and easements, development review application costs, consultant and contractor costs, and administrative costs, plus any such costs up to 15 percent over that cost estimate if the design, construction, or acquisition costs or other costs of items previously not foreseen exceed estimated costs, (collectively, “Project Costs”), except those portions of the Project Costs expressly set forth below, in i. through iv., or that the City chooses to bear and except that no assessment will exceed the special benefit accruing to affected properties: i. Any portion of the Project Costs paid by SVMWA and not by the City, including any design, surveying, and easement acquisition costs paid by SVMWA. ii. Any portion of the Project Costs for which the City has received, and does not have to pay back, grant funding or contributions from third parties for the Spring Valley Public Improvements. The City has been awarded a $1,000,000 grant from a DOLA EIAF grant, contingent on annexation by November 14, 2026. The City will work in good faith towards receiving the DOLA EIAF grant funds including such steps as the City will Page 5 of 15

iii.

iv.

reasonably be able to comply with in the terms of the grant. Any funds from the DOLA EIAF grant received by the City will be used consistent with grant requirements and allocated to reimburse costs associated with the Water Distribution System, which may include costs for design and engineering services for the Water Distribution System if consistent with grant requirements. The City will consider allocating grant funds such that 50% are applied to the pump station costs and 50% are applied to the Water Distribution System costs. Costs associated with improvements the City chooses in its sole discretion to include that exceed City standards (which for the pump station consists of nationally recognized standards), such as upsizing of the transformer for electric service to the Maxwell site, optional upgrades to the pump station, or chip seal coating of roads within the Annexation Area, if included in the project. Any costs associated with City staff time used to manage third-party contractors and consultants and City staff time used to establish and manage financing for the Spring Valley Public Improvements.

d. The Annexation Area is the general geographical area proposed to be assessed. e. The following method for computing assessments against affected properties (other than the SVMWA Parcel): i. Water Distribution System: 1. Costs of design and installation of the Water Distribution System, except water main and pump station costs, including service taps, service lines from tap to meter, water meters, meter pits, meter assemblies, road base for patching after line installation, and costs of easement acquisition (if paid for by the City), sitework, mobilization, and project administration will be assessed equally on a per property basis; 2. Costs of water main installation not contained within the costs set forth in 1., above, will be assessed among the properties as follows: a. Fifty percent of the costs assessed based on property square footage 1 relative to the total square footage of the properties in the Annexation Area that have a dwelling unit or can have a dwelling unit; and

1

Based on Boulder County Assessor records.

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b. Fifty percent of the costs assessed based on the building square footage of a property 2, relative to the total building square footage in the Annexation Area. 3. Costs of a pump station, including without limitation, the costs of the purchase, installation, and construction of the pump station and pump station building, not contained within the costs set forth in 1., above, will be assessed among the properties as follows: a. Fifty percent of the costs assessed based on property square footage 3 relative to the total square footage of the properties in the Annexation Area that have a dwelling unit or can have a dwelling unit; and b. Fifty percent of the costs assessed based on the building square footage of a property, 4 relative to the total building square footage in the Annexation Area. ii. Road improvements to Cholla Court, including without limitation, costs of design, construction, and right-of-way and easement acquisition will be assessed equally on a per-property basis among the properties on Cholla Court. iii. Road improvements to Spring Valley Road, including without limitation, costs of design, construction, and right-of-way and easement acquisition will be assessed equally on a-per property basis among the properties on Spring Valley Road. iv. Construction management, contingency, and contractor’s overhead and profit will be assessed among the properties based on a pro rata allocation of the total project cost (other than pre-construction costs). For example, if property X is paying 3% of the costs described in Paragraph 3.e.i-iii, then property X will pay 3% of the total cost of construction management, contingency, and contractor’s overhead and profit. f. A list of affected properties to be assessed. g. The assessment proposed to be levied against each affected property. h. Assessments will be levied by ordinance when the construction of the Spring Valley Public Improvements have been substantially completed as follows: 2 Based on Boulder County Assessor records for the existing (or, if none, previously existing) building(s), unless the County has approved a building permit for redevelopment of the property, in which case the square footage of the redeveloped building(s) will be applied. 3 Based on Boulder County Assessor Records. 4 Based on Boulder County Assessor records for the existing (or, if none, previously existing) building(s), unless the County has approved a building permit for redevelopment of the property, in which case the square footage of the redeveloped building(s) will be applied.

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i.

ii.

iii.

Payment In Full: Assessments will be due and payable within 30 days after the effective date of the assessment ordinance. If an assessment is not paid in full when due, the Landowner will be deemed to have elected to pay in installments as described in ii. below. Installments: Alternatively, assessments can be paid in 30 annual, substantially equal installments, amortized over a total 30-year payment period. The interest rate applied to the installment will be established by the City in the ordinance establishing the LID and shall be sufficient to recover the City’s actual cost of borrowing, including without limitation, the interest rate borne by any bonds, direct placement loan, or other indebtedness issued or incurred to finance the project. A penalty of one and one-half percent per month accrues on the outstanding principal and accrued interest if an installment is not paid on the date it is due. The city manager may waive the penalty if the owner demonstrates good cause. The first installment payment of principal and interest is due and payable within 30 days after the effective date of the ordinance. If a Landowner fails to pay an assessment or installment within 30 days of the date on which it is due, the whole amount of unpaid principal, accrued interested, and penalty becomes due and payable. If a Landowner has refused or neglected to pay any installment assessment within 30 days of the date on which it is due, the city manager will, at least once each year, but not sooner than December first of each year, certify the amount of the principal, interest, and penalties due and unpaid together with 10 percent of the delinquent amount for costs of collection to the county treasurer to be assessed and collected in the same manner as general taxes are assessed and collected pursuant to Section 8-1-18, “Installment Payments and Delinquent Assessments,” B.R.C. 1981.

i. The City has no obligation to create the local improvement district, in particular, if the owners of a majority of all properties benefitted and constituting the basis of assessment protest or object to the creation of the local improvement district. 4. Private Connection to the City’s Water Utility. a. Connection to City’s water utility. Upon completion of the Water Distribution System, Landowners within the Annexation Area shall not connect an Annexation Property to or have it be served by any water utility other than the City’s and shall connect the Annexation Property to the City water utility when so required by the city manager.

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b. Service Lines to Homes. The construction of the service line between the service tap into the water main and the meter shall be constructed as part of the Spring Valley Public Improvements to meet City standards, including without limitation the Boulder Revised Code and the City of Boulder Design and Construction Standards. The construction of any service line between the meter and dwelling unit and/or appurtenances, such as backflow prevention or pressure reducing valves that may be necessary to connect a Landowner’s dwelling unit to the new water meter as determined by the city manager, is the responsibility of the Landowner at the Landowner’s costs. Each Landowner may elect at their own cost to replace their service line between the meter and the dwelling unit, in which case, the water service line shall meet City standards, including without limitation the Boulder Revised Code and the City of Boulder Design and Construction Standards. c. Pressure Valves. Depending on the water pressure delivered to each Annexation Property through the Water Distribution System, prior to connecting to the City water utility, Landowners, at their costs, may be required to install or modify pressure reducing valves on their property to meet applicable City standards. 5. Water Plant Investment Fee (“Water PIF”). a. Rate and Payment. Prior to the setting of a water meter and connecting an Annexation Property to the City water utility, the Landowner shall pay the City’s Water PIF that is due pursuant to the Boulder Revised Code at the rates appliable in 2023 or enter into a written payment plan agreement with the City to pay the Water PIF in monthly installments over a period of 10 years from the first bill for the Water PIF. b. Payment Plan Option. If a Landowner chooses to enter into a payment plan agreement, at the time payment is due for each monthly installment, in addition to the monthly installment, a payment plan charge shall be paid in the amount of 30 percent of the monthly installment. There will be no penalty for prepayment of the remaining outstanding principal amount due, and no payment plan charge for prepayments. The first installment shall be paid within 10 days after the date of receipt of the first bill for the Water PIF. For any property which participates in the payment program, the property owner shall pay the entire outstanding obligation for the Water PIF, including any payment plan charges that are due for missed monthly payments, and the full unpaid principal amount at such time as the property is sold. No penalty or payment plan charge will be imposed for pre-payment of the Water PIF in whole or in part.

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c. Billing and Collection. The payment-in-full charge and the monthly installment due under a payment plan may be included on the same bill that includes water, wastewater, or storm water and flood management services charges or may be included on a separate bill as provided in Title 11, “Utilities and Airport,” B.R.C. 1981. The billing, payment, and collection provisions of Sections 11-1-52 “Water Plant Investment Fee,” 11-1-53 “Use of Fees,” and 11-1-54 “Certification of Unpaid Charges to County Treasurer,” B.R.C. 1981, shall apply to the billing, payment, and collection of the Water PIF, including installments and payment plan charges due under the phased payment plan program for the Water PIF, and any interest on delinquent payments due thereon. d. Base Outdoor Water Irrigation PIF. The base outdoor irrigation Water PIF associated with 2,000 square feet of irrigable area is eligible for inclusion within a payment plan. Additional water PIFs for outdoor irrigation (beyond the base 2,000 sq ft) shall be due and paid prior to setting of water meter and connection to City water system. City water budget billing will be applicable as is used for other similar customers in the City. Note that if a Landowner fails to purchase adequate PIF for irrigation, then consumption is billed at higher block rates. e. Vacant Property. Any Landowner of property in the Annexation Area (other than the SVMWA Parcel) that is vacant (without a dwelling unit) or has a dwelling unit under construction at the time of completion of the Water Distribution System so as to prevent connection of the dwelling unit to the City water utility at that time will, at the time of issuance of a building permit to construct a new dwelling unit on the property or of connection of a dwelling unit on the property to the city’s water utility, whichever occurs first after annexation, be responsible for payment of the full Water PIF in effect at that time, and tap, service line, meter charges, and other applicable standards and fees. 6. Stormwater Plant Investment Fee (“Storm PIF”). a. Rate. The Landowners shall pay the Storm PIF that is due for developed property annexing into the City pursuant to the Boulder Revised Code at the rates applicable in 2023. b. Payment. The Storm PIF will be charged to the Landowners in a City of Boulder utility bill no earlier than 30 days following the effective date of the annexation. Within 10 days of a Landowner’s receipt of that utility bill, the Landowner shall pay the Storm PIF or enter into a written payment plan agreement with the City to Page 10 of 15

pay the Storm PIF in monthly installments over a period of 10 years from the first bill for the Storm PIF. c. Payment Plan Option. If a Landowner chooses to enter into a written payment plan agreement with the City to pay the Storm PIF in monthly installments over a period of 10 years, at the time payment is due for each monthly installment, in addition to the monthly installment, a payment plan charge shall be paid in the amount of 30 percent of the monthly installment. There will be no penalty for prepayment of the remaining outstanding principal amount due, and no payment plan charge for prepayments. The first installment shall be paid within 10 days after the date of receipt of the first bill for the Storm PIF. For any property which participates in the phased repayment program, the property owner shall pay the entire outstanding obligation for the Storm PIF, including any payment plan charges that are due for missed monthly payments, and the full unpaid principal amount at such time as the property is sold. No penalty or payment plan charge will be imposed for prepayment of the Storm PIF in whole or in part. d. Billing and Collection. The payment-in-full charge and the monthly installment due under a payment plan may be included on the same bill that includes water, wastewater, or storm water and flood management services charges or may be included on a separate bill as provided in Title 11, “Utilities and Airport,” B.R.C. 1981. The billing, payment, and collection provisions of Sections 11-5-12, “Billing and Payment of Fees,” 11-5-13, “Certification of Unpaid Charges to County Assessor,” and 11-5-14, “Charges are Lien on Property,” B.R.C. 1981, shall apply to the billing, payment, and collection of the Storm PIF, including installments and payment plan charges due under the payment plan program for the Storm PIF, and any interest on delinquent payments due thereon. e. Pending Permit. For any impervious area that is constructed on the Landowner’s property after the effective date of the annexation ordinance pursuant to a valid permit issued by Boulder County, for which a complete application was submitted to Boulder County prior to the effective date of the annexation ordinance, the Landowner shall pay the Storm PIF in full. The Storm PIF shall be assessed at the rate in effect at that time of issuance of the permit or construction of such impervious area, whichever occurs first after annexation. Payment shall be made no later than the earliest of: (i) prior to issuance of a certificate of completion or certificate of occupancy by Boulder County for the appliable improvements, or (ii) prior to connection of the property to the City’s water utility. No city payment plan is available for a Storm PIF paid under the terms of this Paragraph 6.e. Page 11 of 15

7. Other Fees. The City will not charge Landowners a water tap connection fee or right-of-way permitting fee for the construction of the Spring Valley Public Improvements. 8. SVMWA Parcel. The Storm PIF for any impervious area on the SVMWA Parcel at the time of annexation shall be due prior to conveyance of the SVMWA Parcel by SVMWA consistent with the conveyance requirement in the SVMWA Agreement. If at the time of such conveyance there is no impervious area on the SVMWA Parcel, no Storm PIF is due. Any addition of impervious area on the SVMWA Parcel following annexation is subject to the Storm PIF consistent with the standards of the Boulder Revised Code. 9. Water Rights. At the time of connection to the City’s water utility, but in no event later than issuance of a building permit for the Annexation Property, any Landowner with water or ditch rights used on or appurtenant to their property in the Annexation Area, shall sell or offer a right of first refusal to the City, consistent with Section 11-1-19, “Water and Ditch Rights,” B.R.C. 1981, for any water rights appurtenant to the property. The City does not have any use for the water rights owned by the SVMWA and does not intend to purchase or obtain a right of first refusal for the water rights. The City will not contest SVMWA’s sale of such water rights to another water user. If a party applies for a change of the SVMWA water rights in water court, the City reserves the right to file a statement of opposition to monitor the case and take action to ensure City water rights are protected but will not otherwise oppose the change of water rights. 10. Wetland Mapping. Prior to annexation of the Annexation Area, the City has contracted for the mapping of all stream, wetland, water bodies and buffer areas on the properties within the Annexation Area and preparation of a functional evaluation of the stream, wetland, and water bodies. The mapping and functional evaluations will be adopted as an update to the City’s regulatory maps as part of the annexation ordinance.

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11. Inclusion in the Northern Colorado Water Conservancy District. All Annexation Properties shall be included in the Northern Colorado Water Conservancy District (“District”) and the Municipal Subdistrict (“Subdistrict”) thereof prior to connection to the City water utility. The Annexation Properties are anticipated to be included pursuant to the process in Section 37-45-136(3.6), C.R.S., if not already included therein. To be included in both the District and the Subdistrict and be served with City water, Landowners shall pay any District taxes that are due and unpaid. 12. Use of Existing Wells. The City will not prohibit a Landowner from using existing, privately-owned wells for non-potable irrigation purposes on the Landowner’s property in the Annexation Area following annexation, even after an Annexation Property is served by the City water utility. Existing wells that are used for irrigation purposes must be registered and permitted by the State Engineer’s Office and operated in accordance with any augmentation and other requirements under Colorado water law. Existing wells shall not be used for domestic water purposes once the property is connected to the City’s water utility. No person shall make any cross-connections to the City’s municipal water supply system from any well on the property, and all persons must adhere to Chapter 5.11 Cross-Connection Regulations of the City’s Design and Construction Standards. 13. Historic Drainage. Drainage from Annexation Properties shall be conveyed in an historic manner that does not materially and adversely affect abutting properties. 14. Rental Property Requirements. If an Annexation Property is used as rental property at the time of annexation, it shall be brought into compliance with Chapter 10-3, “Rental Licenses,” B.R.C. 1981, within 90 days of the effective date of the annexation; for a rental license issued within 90 days of the effective date of the annexation, the energy efficiency requirements of Chapter 10-2, “Property Maintenance Code, Appendix C - Energy Efficiency Requirements,” B.R.C. 1981, shall be waived. Any subsequent application for a new or renewal of a license and any rental license for a new building or new dwelling unit on the Annexation Property shall be subject to the energy efficiency requirements of Chapter 10-2, B.R.C. 1981.

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15. Snow Plowing. Following annexation, a unit owners association of a common interest community for the lots within the Annexation Area may provide or contract for snow removal on streets within the Annexation Area, pursuant to an annual right-of-way permit and compliance with all applicable City requirements. 16. No Subdivision. Due to the area’s topography and location on the western boundary of the City, no lot or parcel within the Annexation Area may be subdivided to create an additional lot. 17. One Dwelling Unit per Lot or Parcel. Due to the area’s topography and location on the western boundary of the City, no lot or parcel within the Annexation Area may be developed with more than one principal dwelling unit. Notwithstanding the foregoing, the SVMWA Parcel is not a buildable lot and may not be developed with a principal dwelling unit. 18. Building Permit Application. Any building permit applications which have been submitted to Boulder County prior to the effective date of annexation for the Annexation Area may continue under review for approval by Boulder County, and once approved, the Landowner may construct the approved structure according to County regulations. After the effective date of annexation, any new building permit applications must be submitted to the City of Boulder for review and approval. 19. Initial Zoning. The properties in the Annexation Area will be annexed with an initial zoning designation of Residential Estate (RE), and except as otherwise set forth in these Terms and Conditions shall be subject to all of the rights and restrictions associated with that zoning. This provision does not prevent a future rezoning of Annexation Properties. 20. Annexation Agreement. Each Annexation Property shall be subject to these Terms and Conditions unless a separate annexation agreement has been executed by the City and the Landowner that expressly modifies the Terms and Conditions. Page 14 of 15

21. Breach. In the event a Landowner fails to pay any monies due under these Terms and Conditions or fails to perform any affirmative obligation hereunder, the City may collect the monies due in the manner provided for in Section 2-2-12, B.R.C. 1981, as amended, or the City may perform the obligations on behalf of the Landowner, and collect its costs in the manner provided in these Terms and Conditions. The annexation ordinance shall be the enabling ordinance required under Section 31-20-105, C.R.S. authorizing the collection of those debts.

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