Crane Lake Water & Sanitary District

connection fee payment Agreement

This connection fee payment Agreement made the _____ day of _______________, 20__ by and between the Crane Lake Water & Sanitary District (hereinafter referred to as “District”) and __________________________________ (hereinafter referred to as “Landowner”) is in response to the following situation:

1. Landowner owns property in the County of St. Louis, State of Minnesota, legally described as follows to-wit:

1. Check applicable box:   The District and Landowner have entered into an ISTS Construction and Managed System Agreement dated ________________, 20__ (“ISTS Agreement”)  Landowner desires to connect to the District’s Waste Water Treatment System.

1. Check applicable box:   Landowner desires to pay the connection fee required to be paid pursuant to the ISTS Agreement  Landowner desires to pay the connection fee required to be paid under District Ordinance No. 3 to the District as provided for in this Connection Fee Payment Agreement.

Now therefore, in consideration of the mutual covenants contained herein the parties do hereby agree as follows:

1. Landowner hereby covenants and agrees to pay the District the sum of Seven Thousand Five Hundred and No/100 Dollars (check applicable box)  as a connection charge for the purpose of paying for the construction, reconstruction, repair, enlargement, improvement, maintenance and operation of the ISTS to be constructed by the District under the ISTS Agreement or  the connection fee required to be paid to the District for a connection to the District’s Waste Water Treatment System under District Ordinance No. 3.

1. Landowner hereby covenants and agrees to pay such amount together with interest at the rate of four percent (4%) per annum on the unpaid balance in monthly installments of $_______________ with the first such payment due on the _____ day of _______________, 20__, and subsequent payments due on the _____ day of each succeeding month until _______________, 20__, at which time, unless sooner paid or due, the entire amount and accrued interest shall be due and payable. Landowner shall be entitled to prepay such amount in whole or in part at any time without penalty.

1. Landowner hereby covenants and agrees that if default be made in the payment of any said monthly payments or any portions thereof at the time they become due and payable, the entire unpaid balance shall at the option of the District, become due and payable without further notice.

1. Landowner hereby acknowledges and understands that upon default in the payment of any of said monthly payments or any portion thereof that the District may, at its option, provide notice of such delinquent amount, which may be the entire unpaid balance if the District chooses to accelerate the payment of the entire amount as provided by in Section 3 hereof, to the Clerk who shall certify such delinquent amount to the St. Louis County Auditor for collection with the real estate taxes for such year.

1. All payments made by Landowner shall be applied first to payment of interest and then to the reduction of the amount specified in Section 1 hereof.

1. Landowner hereby covenants and agrees that this agreement shall be binding upon Landowner’s heirs, administrators, successors and assigns. In this regard Landowner expressly understands and agrees that the terms and provisions of this Agreement shall run with the land and be binding thereon.

1. It is expressly understood and agreed that a decision by the District not to exercise any rights granted it on any default shall not constitute a waiver of any such rights on any further or subsequent default.

[signatures appear on next page]

In witness whereof, the Landowner(s) has caused this Connection Fee Payment Agreement to be executed on the date first above-written.

                                                                                    Landowner:

____________________________________

[Sign Name]

____________________________________

[Sign Name]

Approval

In witness whereof, the District has approved this Connection Fee Payment Agreement on the date first above-written.

                                                                                    District:

                                                                                    Crane Lake Water & Sanitary District

By_________________________________

Its Authorized Officer

This instrument was drafted by:

Steven C. Overom

Maki & Overom, Ltd.

31 W. Superior Street

Suite 402

Duluth, MN 55802