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J 2. Issuance of Building Permit for Property Improvements: The City agrees to issue a building permit for the Property Improvements at this time, subject to conformance with all current City standards and ordinances for all applicable work. 3. Septic Svstem Up r� ade: In accordance with the ordinances and requirements of the City, the Property Owner hereby agrees to complete the required replacement of the septic system no later I than July 31, 2007 (the "Completion Date"). 4. Septic Svstem Up�rade Installation: The design location,construction,installation and materials for septic system upgrade shall be in accordance with the plans and specifications approved by the City. 5. Performance Deposit: For the purposes of assuring to the City that the Septic Improvements 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 a certified check satisfactory to the City providing that the City is able to cash the check in its sole discretion to complete the Septic Improvements if the Property Owner fails to satisfactorily complete the work prior to the Completion Date. City shall return the check to Property Owner upon final inspection approval of the Septic Improvements. 6. Bindin E�ct: The terms and provisions hereof shall be binding upon and inure to the benefit of the heirs, representatives, successors and assigns of the parties hereto and shall be binding deemed covenants running with the land. References herein to Property Owner,if there be more than one, shall mean each and all of them. This agreement shall be executed by the Property Owner and City and shall be placed of record so as to give notice hereof to subsequent purchasers and encumbrances of all or any part of the property,and all recording fees,if any,shall be paid by the Property Owner. 7. Notices: Whenever in this agreement,it shall be required or permitted that notice or demand be given or served by either party to this agreement to or on the other party, such notice or demand shall be delivered personally or mailed by United States certified mail(return receipt requested)to the addresses set forth below. Such notice or demand shall be deemed timely given when delivered personally or when deposited in the mail in accordance with the above. Notice to Citv Notice to Propertv Owner City of Orono =T�u, Y��,, „ , �s-� ��r�G„n �r n�, Clerk/Administrator U P.O. Box 66 �30 �`��m-o^�' C�rc-� Crystal Bay, MN 55323 �� 35� Lo►-�g , Initials of Property Owner�/�°��'GC/' Page 2 of 4