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4. Septic Svstem Up�rade Installation: The design location, construction, installation and inaterials for septic system upgrade shall be in accordance with plans and specifications to be approved by the City prior to installation (the "Septic Improvements"). 5. Automatic Extension and Reconsideration: The Property Owner may request that the City Council reconsider the ternis of this agreement if, thirty (30) days prior to the Completion Date, the City Council has made no decision whether municipal sewer will be provided to the neighborhood and property. A. Automatic extension. If the City Council has not by thirty (30) days prior to the Completion Date made a decision whether municipal sewer will be provided to the neighborhood and the property, the Completion Date will be automatically extended to July 31, 1997 (the "Extended Completion Date") upon receipt prior to July 31, i 996 of a or.e ;;e�r e:�tezsion of the letter o: cr:,dit dis�asseu ir. �tcr.,. .�-, belo w. B. Impact of decision to provide sewer. In the event that the City Council prior to the Completion Date (or prior to the Extended Completion Date) makes a decision to provide municipal sewer with an expected sewer construction start within two years of the Completion Date (or E:ctended Completion Date), the Septic Improvements clause of this agreement shall be declared null and void and the City shall immediately return the letter of credit to the Poperty Owner. However, if the expected se��ver construction start is more than two years after the Completion Date (or �xtended Completion Date), the City Cotmcil shall determine whether or to what extent Septic Improvements shall be required and shall establish a required Completion Date if necessary. C. In the event lhe City Council prior to the Completion Date (or prior to the Extended Completion Date) determines that municipal sewer will not be provided to the neighborhood or the property in the foreseeable future, the Property Owner shall complete the Septic Improvements by the Completion Date (or Extended Completion Date) unless granted an extension by the City Council. � n�rfCP7::.i''.Ce vP�OSIt: t'or th? ;?!�.Y�J:>�S nf�SSUI'1?:y *O thn �'i;t� 1h._tt 1�1F s('�tIC 1171rTC��'�ment: will be completed according to the terms of this agreement, the Property Owner has deposited with the City at the time of.the execution of this agreement an irrevocable letter of credit in a form satisfactory to the City providin� that the City is able to draw upon such letter of credit in its sole discretion to complete the Septic Improvenients if the Properly Owner fails to satisfactorily complete the work prior to the Completion Date. The amount of the letter of credit shall not be reduced before substantial completion of the Septic Improvements. The term of the letter of credit shall be a period of one year. City shall return the letter of credit to Property Owner upon acceptance of the Septic Improvements. � Initials of Property Owner � Initials of City Clerk Page 3 of 6