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HomeMy WebLinkAboutBy-law 4511/94 THE CORPORATION OF THE TOWN OF PICKERING BY-LAW NO. 4511/94 Being a by-law to authorize the execution of a Road Construction Agreement and related documentation respecting the construction and widening of part of Franklin Street (Claremon0 [Victorian Homes (Ontario) Inc.; Widernan (LD 156/94, 157/94)] WHEREAS a proposal to sever part of Lot 45 and all of Lot 46, Plan 12 (Claremont), Pickering, [Wideman, LD 156/94 and LD 157/94], has been approved by the Durham Land Division Committee, subject to several conditions, one of which requires the construction of a widened Franklin Street across the frontage of the severed and retained parcels; and X~v~-IEREAS, pursuant to the provisions of sections 263 and 284 of the Municipal Act, R.S.O. 1990, chapter M.45, the Council of The Corporation of the Town of Pickering has jurisdiction over Franklin Street across the frontage of the severed and retained parcels, and may, as a condition of the approval of the severances referred to, require the entering into of a Road Construction Agreement pursuant to the provisions of subsection 51 (6) of the Planning Act, R.S.O. 1990, chapter P. 13; and WHEREAS, pursuant to the provision of the Municipal Act, R.S.O. 1990, chapter M.45, section 191(1) the Council of The Corporation of the Town of Pickering may pass by-laws for acquiring any land or interest therein for the purposes of the Corporation. NOW THEREFORE, the Council of The Corporation of the Town of Pickering HEREBY ENACTS AS FOLLOWS: 1. The Mayor and Clerk are hereby authorized to execute a Road Construction Agreement in the form attached hereto as Schedule A, between Victorian Homes (Ontario) Inc. and The Corporation of the Town of Picketing, respecting the construction of a widened Franklin Street (Claremont) as a condition of the approval of Durham Land Division Committee Decisions LD 156/94, LD 157/94 [Wideman]. 2. The Corporation of the Town of Picketing shall acquire, (a) that part of Lot 31, Plan 12 (Claremont), Pickering, designated as Part 1, Plan 40R- 15816; (b) that part of Lots 45 and 46, Plan 12 (Claremont), Pickering, designated as Part 2, Plan 40R-15816; and (c) that part of Lot 46, Plan 12 (Clareraont), Pickering, designated as Part 3, Plan 40R-15816, for road widening purposes. [(Franklin Street (Claremont)] BY-LAW read a first, second and third time and finally passed this 17th day of October, 1994. P,S '[13 i'd::2~,l ~ce ~ylor, Cterk SCHEDULE THIS ROAD CONSTRUCTION AGREEMENT made October 17, 1994, pursuant to the provisions ofsectioas 263 and 284 of the Mumcipal,4ct, R.S.O. 1990, chapter M.45, and section 51 of the Planning Act, R_S.O. 1990, chapter P. 13, BETWEEN: VICTORIAN HOMES (ONTARIO} INC., herein called the "Company" OF THE FIRST PART, THE CORPORATION OF THE TOWN OF PICKERING herein called the "Town" OF THE SECOND PART. WHEREAS Stephen Arthur Wideman proposes to sever part of Lot 45 and all of Lot 46, Plan 12 (Claremont), in the Town of Picketing, in the Regional Municipality of Durham, into four building lots, and is required as a condition of approval of the relevant land severance applications [LD 156/94 and LD 157/94] by the Durham Land Division Committee to construct a widened Franklin Street across the fl'ontage of the severed and retained parcels; and WHEREAS the Company has been retained by Stephen Arthur Wideman to construct a widened Franklin Street across the l~ontage of those parcels; and WHEREAS the Town has jurisdiction over Franklin Street (Claremont) and, in furtherance of the severance approvals by the Durham Land Division Committee, requires that the Company enter into this Road Construction Agreement with the Town pursuant to sections 263 and 284 of the Mumctpal Act, R.S.O. 1990, chapter M.45, and section 51 of the Planning ,qct, R.S.O. 1990, chapter P. 13; NOW THEREFORE, THIS AGREEMENT WITNESSETH THAT, in consideration of the Town consenting to the Company constructing a widened Franklin Street across the fi'ontage of those parcels, and the covenants hereinafter expressed, and the sum of $2.00 now paid by each Party to the other (the receipt of which is hereby acknowledged) the Panics hereto covenant and agree one with the other as follows: PART 1 - INTERPRETING AND APPLYING THIS AGREEMENT I. STATUS OF THIS AGREEMENT This Agreement is entered into and executed by the Company for the purpose of having the Town act in reliance on the covenants by the Company contained herein and the Company hereby waives any right or claim which it now has or may hereinafter acquire which is inconsistent with the terms of this Agreement. 2. INTERPRETATION (1) Whenever in this Agreement the pronoun "it" is used, it shall be read and construed as "he", "she", "they", 'qfim", "her" or "them", and the number of the verb agreeing therewith shall be construed accordingly. (2) Schedule A attached hereto shall form pan of this Agreement. (3) Time shall be of the essence of this Agreement. 3. BINDING PARTIES This Agreement shall be enforceable by and against the Parties hereto, their heirs, executors, administrators, successors and assigns, and the Agreement and all the covenants by the Company contained herein shall nm with the Lands for the benefit of the Town and the land or interests in land owned by the Town upon the registration of the plan. 4. NOTICE ( I ) Any notice required to be given hereunder may be given by personal delivery or registered mail, (a) in the case of the Company, to Karsten Smith, President Victorian Homes (Ontario) Inc. 5012 Brock Road Claremont, Ontario LIY lB3 and (b) in the case of the Town, to The Town Clerk The Corporation of the Town of Pickering Picketing Civic Complex One The Esplanade Picketing, Ontario LIV 6K7 (2) Each Party may redesignate the person or the address, or both, to whom or to which such notice may be given by giving written notice to the other. (3) Any notice given in accordance with this section shall be deemed to have been given on the second day following the day of delivery or the day of mailing, as the case may be. 5. COMPANY'S GENERAL UNDERTAKING The Company shah complete in a good workmanlike manner for the Town, all the municipal services as hereinafter set forth to the satisfaction of the Town, and shall complete, perform or make payment for such other matters as may be provided for herein. 6. COMPANY'S EXPENSE Every provision of this Agreement by which the Company is obligated in any way shall be deemed to include the words "at the expense of the Company and at no expense to the Town" unless the context requires otherwise. 2 PART 2 - CONSTRUCTING THE TOWN'S SERVICES 7. CONSULTING ENGINEERS (1) The Company shall retain a Professional Engineer as the Consulting Engineer of the Company to carry out all the necessary engineering and to supervise the work required to be done for the construction of the project. (2) Such Consulting Engineer, or any successor thereto, shall continue to be retained until the work required to be done for the construction of the project is completed and formally accepted by the Town. (3) The Company may change fi.om one Consulting Engineer to another at any time or times during the construction of the project, so long as the Company has a Consulting Engineer retained at all times. 8. CONSTRUCTION / INSTALLATION OF TOWN ROADWAY AND SERVICES (1) The Company shall obtain all required approvals and shall construct or install, or complete the construction and installation, to Town standards and shall provide to the Town, complete in every detail, within 14 months after the date hereof~ a roadway (herein called the "Roadway") on Franklin Street (Claremont) from the intersection of Franklin Street and Joseph Street northerly approximately 100 metres, as shown on plans submitted by the Company's Consulting Engineer to the Town and approved by the Town's Director of Public Works in accordance with the Town's specifications therefor. (2) If at any time prior to the acceptance of the Roadway, the Town's Director of Public Works is of the opinion that additional works ate necessary to provide adequately any of the public services required by the project, the Company shall construct, install or perform such additional works at the request of the Director. (3) The Roadway shall be constructed and installed in accordance with the Town's specifications and in a good and workmanlike manner under the supervision of the Company's Consulting Engineer and under the observation of the Town's inspectors or, in the case of street lighting, Picketing Hydro's inspectors. (4) The Company shall pay to the Town the Town's costs of inspection, including but not necessarily limited to, salaries and wages of inspectors, testing fees and administration fees, within 30 days of invoices being rendered. 9. GENERAL KEGULATIONS KESPECTING SERVICING (1) The construction of the Roadway shall include the construction of paved driveway approaches between the curb and the lot line or, where no curb is to be provided, between the edge of the road surface and the lot line. (2) Where the construction or installation of the Roadway involves a continuation or extension of existing services, the Company shall join into the existing services, including adjustment of grades where necessary, in a good and workmanlike manner. (3) The Company shall not dump nor permit to be dumped any fill or debris on, nor remove or permit to be removed any fill from, any public lands, other than in the actual construction of the Roadway without the written consent of the authority responsible for such lands. (4) The Town's Director of Public Works may have qualitative or quantitative tests made of any materials which have been or are proposed to be used in the construction or installation of any services required by this Agreement, and the cost of such tests shall be paid by the Company within 30 days of invoices being rendered. 3 (5) The Company shall pay, within 30 days of invoices being rendered, the costs of, (a) relocating any existing services or utilities required to be relocated by the construction or installation of the Roadway, and (b) moving any services or utilities installed in driveways or so close thereto, in the opinion of the Town's Director of Public Works, as to interfere with the use of the driveway. (6) Unless otherwise provided herein, the Company shall perform any work required to be done under this Agreement to the specifications of the Town in effect at the date hereo£ (7) The Company shall provide and erect temporary signs of such nature and at such locations as designated by the Town's Director of Public Works. 10. USE OF ROADWAY PENDING COMPLETION / EMERGENCY REPAIRS (1) Any part of the Roadway may be used by the Town, or by such other person or agency as may be authorized by the Town's Director of Public Works, for the purposes for which the Roadway is designed, and such use shall not be deemed an acceptance of any part of the Roadway by the Town, nor an assumption by the Town of any liability in connection therewith, nor a release of the Company from any of its obligations under this Agreement. (2) The Town may make emergency repairs at any time to any pact of the Roadway and such repair shall not be deemed an acceptance of any part of the Roadway by the Town, nor an assumption by the Town of any liability in connection therewith, nor a release of the Company ~om any of its obligations under thi~ Agreement. 11. INTERNAL / EXTERNAL ROAD MAINTENANCE AND REPAIR / SNOW PLOWING (1) Throughout the term of this Agreement, the Company shall, (a) maintain all Town roads outside the project, including boulevards, in a mud and dust fxee condition and free of obstmctinns, where the source or cause of the mud, dust or obstruction is an operation or operations related in any way to the constmctinn of the Roadway; and (b) repair all Town roads outside the Roadway, including boulevards, where damage has occurred as a result of an operation or operations related in any way to the construction of the Roadway. (2) The Company, within 24 hours of verbal notification by the Town to it or its representatives, shall undertake such works as are necessary to clean, clear, repair, plow or salt any Town road requiring such work in the opinion of the Town's Director of Public Works or his designate. 12. FAILURE TO COMPLETE / IMPROPER PERFORMANCE (1) ~ in the opinion of the Town's Director of Public Works, the Company is not constructing or installing the Roadway, or causing it to be constructed or installed, within the specified time or so that it may be completed within the specified time, or is improperly performing works associated with the construction and installation of the Roadway, or has neglected or abandoned it before completion, or has unreasonably delayed construction and installation so that the terms and conditions of this Agreement are being violated or executed carelessly or in bad faith, or has neglected or refused to renew or again perform works rejected by the Director of Public Works as defective or unsuitable, or has in any other manner, in the opinion of the Director of Public Works, defaulted in the performance of the terms and conditions of this Agreement, then the Director may notify the Company and its surety in writing of the default or neglect and if the notification be without effect for seven days, then the Director shall have full authority to make any payment or do any thing, including but not limited to obtaining materials, tools and machinery and employing persons required for the proper completion of the Roadway or rectification of the default~ at the cost and expense of the Company or its sureW, or both. (2) la cases of emergency, in the opinion of the Director of Public Works, the Director may act without prior notice but the Company and its surety shall be notified forthwith. (3) The cost of rectifying the default shall be calculated by the Director of Public Works, whose decision shall be final, and may be charged to the Company, together with a 25 per cent engineering and administration fee, by drawing upon the letter of credit filed with the Town under section 14. 13. GUARANTEE OF ROADWAY, WORKMANSHIP AND MATERIALS (1) The Company shall guarantee all works, workmanship and materials employed or used in the construction or installation of the Roadway and other requirements under this Agreement for a rainlmum period of two years (the "maintenance period") following the issuance of the Completion Acceptance Certificate by the Town. (2) Despite any other provisions of this Agreement, the responsibilities of the Company during the maintenance period shall include the maintenance of the Roadway, including the rectification of any unsatisfaetorily installed works associated therewith. (3) Prior to the end of the maintenance period, the Company's Consulting Engineer shall submit to the Town "as built" construction drawings for the Roadway complete as per Town s~andards, together with that Consulting Engineer's certificate that those drawings accurately depict the Roadway as constructed. (4) Prior to the end of the maintenance period, the Town will re-inspect the Roadway and ~ (a) the Roadway is acceptable; and (b) the Company has performed ali of its obligations under the terms of this Agreement to the satisfaction of the Town, the Town will issue to the Company a Final Acceptance Certificate at which time the Town will assume the Roadway and the maintenance thereof; and the maintenance period will then end. (5) If upon the re-inspection conducted prior to the end of the maintenance period, (a) the Roadway is not acceptable, or (b) the Company has not performed all of its obligations under the terms of this Agreement to the satisfaction of the Town, the Town will advise the Company of the deficiencies, the expected rectifications, and the time limited for implementing the rectifications (the "rectification period") and the maintenance period shall be extended to the end of the rectification period. (6) At the end of the rectification period, the Town will re-inspect the Roadway and if; (a) the Roadway is acceptable; and (b) the Company has performed ali of its obligations under the terms of this Agreement to the satisfaction of the Town, the Town will issue to the Company a Final Acceptance Certificate at which time the Town will assume the Roadway and the maintenance thereof; and the maintenance period will then end. (7) If upon the re-inspection conducted at the end of the rectification period, (a) the Roadway is still not acceptable, or (b) the Company has not performed all ofits obligations under the terms of this Agreement to the satisfaction of the Town, the Town's Director of Public Works shall determine, in his sole discretion, whether a further rectification period will be granted, and, if so, upon what terms and conditions, or whether the Town shall proceed under the provisions of section 12, or both. 14. PERFORMANCE AND MAINTENANCE SECURITY (1) Before thi~ Agreement will be executed by the Town, the Company shall file with the Town an irrevocable letter of credit, issued by a chartered bank in Canada in the form set out in Schedule A and in an mount established by the Director of Public Works (the "original value"), as a performance and maintenance security for the purpose of; (a) guaranteeing the satisfactory construction, installation or performance of the Roadway; (b) guaranteeing the payment of any amounts payable to the Town under this Agreement; (c) guaranteeing the payment of any amotmt that the Town may be required to pay under the provisions of the Conxtruction Lien Act, or any successor thereto, and (d) guaranteeing all works, workmanah'.m and materials during the maintenance period and any rectification period or periods and until a Final Acceptance Certificate has been issued by the Town's Director of Public Works. (2) The Company may, at any time after the fixst 50 per cent, in value, of works have been constructed, installed or performed, and paid for, apply for a reduction in the security and such application shall be made to the Town Treasurer. (3) Upon written verification from the Director of Public Works that the construction, installation or performance of the works for which reduction is being sought have been satisfactorily completed and paid for, the Town Manager may reduce the amount of the security to an amount not less (a) 60 per cent of the original value where no certificate or declaration of substantial performance has been made; Co) 35 per cent of the original value where, (i) a certificate or declaration of substantial performance has been published; (ii) 45 days following such publication have expired; and (iii) all liens that may be claimed against any holdback required to be retained by the Town have expired or have been satisfied, discharged or provided for by payment into court; and (c) 17 per cent ofthe original value where, (i) a certificate of final completion has been made by the Company's Consulting Engineer; (ii) 45 days following the making of such certificate have expired; 6 (iii) all liens that may be claimed against any holdback required to be retained by the Tow~ have expired or have been satisfied, discharged or provided for by payment into court; and (iv) a Completion Acceptance Certificate has been issued by the Town's Director of Public Works, which 17 per cent portion shall secure the guarantee of works, workmanship and materials, until a Final Acceptance Certificate has been issued by the Town's Director of Public Works, when the balance of the security shah be returned to the Company subject to any deductions for rectification of deficiencies. (4) Upon the approval, if any, of a reduction in the amount of the security required to be provided in subsection (1), the Town Manager or the Town Treasurer shall provide to the Company any necessary assurance to effect the reduction. 15. COMPANY'S GENERAL INDEMNITY Until the Town's Director of Public Works has issued the Final Acceptance Certificate for the Roadway, the Company shall indemnify the Town against all actions, causes of actions, suits, claims and demands whatsoever, which may arise either directly or indirectly by reason of the Company undeaaking the project as required under this Agreement. 16. OCCUPATIONAL HEALTH AND SAFET~ (1) The Company certifies that it is aware of its duties and obligations under the Occupattonal Health attcl Safe(y Act, or any successor thereto, and all Regulations thereunder (in this section called the "Act"), and shall ensure that its employees, contractors, subcontractors and their employees, (a) are aware of their respective duties and obligations under the Act, and (b) have sufficient knowledge and training to perform all works and services required pursuant to this Agreement safely and in compliance with the Act. (2) In the performance of all works and services required pursuant to this Agreement, the Company shall, (a) act safely and comply in all respects with the Act, and Co) ensure that its employees, contractors, subcontractors and their employees act safely and comply in all respects with the Act. (3) The Company shall rectify any unsafe act or practice and any non-compliance with the Act immediately upon being notified by any person of the existence of such act, practice or non- compliance. (4) The Company shall permit representatives of the Town on the site where any works or services required pursuant to this Agreement are being performed at any time or times for the purpose of inspection to deternfine compliance with this section. (5) No act or omission by the Town or any representative of the Town (including the entering into of this Agreement) shall be deemed to be an assumption of any of the duties or obligations of the Company, its employees, contractors, subcontractors and their employees under the Act. (6) In addition to the Company's general indemnification ofthe Town pursuant to section 15, above, the Company shall indemnify and save harm/ess the Town, (a) from any loss, inconvenience, damage or cost to the Town which may result fi.om the Company or any of its employees, contractors, subcontractors and their employees failing 7 to act safely or to comply in all respects with the Act in the performance of any work or service required pursuant to this Agreement; and (b) against any action or claim, or costs related thereto, brought against the Town by any person arising out of any unsafe act or practice or any non-compliance with the Act by the Company or any of its employees, contractors, subcontractors and their employees in the performance of any work or service required pursuant to this Agreement. 17. LIABILITY INSURANCE POLICY / PROVISION FOR DEDUCTIBLE (1) Before this Agreement will be executed by the Town, the Company shall file with the Town a Certificate of Insurance verifying that a Liability Insurance Policy is in effect, setting out the essential terms and conditions of the insurance, and naming the Town as additional named insured, all of which shall be subject to the approval of the Town Solicitor. (2) The policy shall comply with the following provisions: (a) the minimum limit per occurrence shall be $5,000,000 all inclusive for property damage and personal liability; (b) it shall not contain a clause for exclusion for blasting; and (c) it may not be cancelled unless prior notice by registered letter has been given to the Town by the insurer thirty days in advance of the expiry date. (3) The policy premium must be paid initially for a period of one year and the policy shall be renewed for further one year periods until the Final Acceptance Certificate has been issued by the Town's Director of Public Works. (4) If the policy coverage is subject to a deductible amount, the Company shall file with the Town, when filing the Certificate of Insurance, a certified cheque or letter of credit with the Town in the deductible amount, as a deposit, together with a letter bom the Company authorizing the Town to appoint an independent adjuster and to investigate el,sling less than the deduct~le amount and authorizing the Town to pay such claims deemed valid by the adjuster out of the deposit; the Company shall be responsible for all adjustment service costs and shall maintain the deposit throughout the term of this agreement in the amount of the deductible. (5) The provision of the insurance policy required by this section shall not relieve the Company from liability for claimg not covered by the policy or which exceed its limits, if any, for which the Company may be held responsible. PART 3 - FINANCIAL MATYERS lg. EXPIRY OF SECURITIES (1) Should any letter of credit security required to be provided hereunder expire before the Town releases the Company from the terms and conditions hereof; the Company shall provide to the Town at least 30 days in advance of the expiry date of that security, a further security to take effect upon the expiry. (2) Such further security shall be in a form and amount satisfactory to the Town. (3) Should no such timber security be provided as required, then the Town shall have the right to convert the expiring security into cash and hold the cash in lieu of and for the same purposes as the expiring security. 8 19. PAYMENT OF LIENS AND OTHER CLAIMS (I) The Company shall discharge or vacate any fiens or claims filed with the Town or registered on title to any Town-owned lands within thirty days of being requested to do so by the Town. (2) At the end of the maintenance period, as extended during any rectification period, the Company shall file with the Town a Statutory Declaration stating that, (a) all materials have been supplied and all services and works have been completed in the project with respect to the construction and installation of works and other services; (b) all accounts for work or service performed and materials placed or furnished upon or in respect of the construction and installation of works and other services in the project have been fully paid and satisfied and no person is entitled to claim a lien under the Construction Lien Act against the Town or any Town-owned land; (c) there are no judgments or executions filed against the Company; (d) nothing is owed by the Company or claimed against it for unemployment insurance deductions, income tax deductions, or by way of contribution or assessment under the Workers' Compensation Act; (e) the Company has not made any assignment for the benefit of creditors, nor has any receiving order been made against it under the Bankruptcy Act, nor has any petition for such an order been served upon the Company; and (0 45 days have passed since the completion of the construction, installation, and last rectification of the works and services. 20. PAYMENT OF INTEREST ON OVERDUE AMOUNTS PAYABLE The Company shall pay interest at the rate of 18 per cent per year to the Town on all sums of money payable hereunder which are not paid on the due dates calculated from suck due dates. 21. PAYMENT OF LEGAL FEES Before this Agreement will be executed by the Town, the Company shall pay by certified cheque to the Town a Road Construction Agreement processing fee in the amount of $535 [$500 fee plus $35 GST] for the preparation and processing of this Agreement by the Town's Legal Services Department. PART 5 - TRANSFERS AND REGISTRATIONS 22. TRANSFERS OF LANDS OR INTERESTS IN LANDS OR PAYMENTS IN LIEU THEREOF (1) Upon executing this Agreement, the Company shall convey or cause to be conveyed to the Town, f~ee and clear of all encumbrances and at no cost to the Town, all of; (a) that part of Lot 31, Plan 12 (Claremont), Pickering, designated as Part 1, Plan 40R-15816; and (b) that part of Lots 45 and 46, Plan 12 (Claremont), Picketing, designated as Part 2, Plan 40R-15816; and (c) that part of Lot 46, Plan 12 (Claremont), Pickering, designated as Part 3, Plan 40R-15816, for road widening purposes. 9 (2) The Company hereby warrants that, upon such conveyance, neither the title to the lands conveyed nor their physical state and condition shall prevent the Town fi.om lawfully or physically using the lands for the purposes for which they are being conveyed. (3) Any Transfer/Deed given pursuant to this Agreement shall be in a form acceptable to the Town Solicitor. IN WITNESS WHEREOF the Parties hereto have hereunto affixed their respective Corporate Seals atlested to by the hands of their authorized officers. SIGNED, SEALED AND DELIVERED VICTORIAN HOMES (ONTARIO) INC. Karsten Smith, President I have authority to bind the Company. THE CORPORATION OF THE TOWN OF PICKERING Wayne Arthurs, Mayor Bruce Taylor, Clerk W3136 10 SCHEDULE A REQUIRED FORM FOR PERFORMANCE AND MAINTENANCE SECURITY LETTER OF CREDIT (Section 14) To: The Corporation of the Town of Picketing Picketing Civic Centre One The Esplanade Pickering, Ontario L1V 6K7 We hereby authorize you to draw on [name of bank], [address of bank], for account of [name of company or companies obtaining securityI up to an aggregate amount of [amount of security in figures and in full[ available by drafts at sight for 100% ofdenmnd as follows: Pursuant to the request of our customers(s), the said [name of company or companies obtaining security], we [name of bankl, laddress of bankl, hereby establish and give to you an irrevocable Letter of Credit in your favour in the total amount of [amount of security in numbers and in words[ which may be drawn on by you at any time and fi-om time to time upon written demand for payment made upon us by you which demand we shall honour without enquiring whether you have a right as between yourself and our said customer(s or any of them) to make such demand, and without recognizing any claim of our said custome~(s or any of them). P~ovided, however, that you are to deliver to lname of bank], [address of bank[, at such time as a written demand for payment is made upon us a certificate signed by you agreeing or confirming that monies drawn pursuant to this Letter of Credit are payable to you or are to be or have been expended pursuant to obligations incurred or to be incurred by you with reference to your file regarding a Road Construction Agreement dated October 17, 1994, between Victorian Homes (Ontario) Inc. and The Corporation of the Town of Picketing; this Letter of Credit is given as the Performance and Maintenance Security required by section 14 of that Agreement. Partial drawings are permitted. The amount of this Letter of Credit shall be reduced fi-om time to time as advised by notice in writing given to us fi-om time to time by you. This Letter of Credit will continue up to and including [date of expiry of Letter of Credit[ and will expire on that date and you may call for payment of the full amount outstanding under this Letter of Credit at any time up to the close of business on that date. It is a condition of this Letter of Credit that it shall be deemed to be automatically extended for one year fi.om the present or any future expiration date hereof~ unless thirty days prior to any such date, we shall notify you in writing by registered nmi[ that we elect not to consider this Letter of Credit renewed for any such additional period. We hereby covenant with drawers, endorsers, and bona fide holders of drafts drawn under and in accordance with the terms of this credit that such drafts will be duly hunoured if drawn and negotiated on or before [date of expiry of Letter of Creditl. The drafts drawn under this credit are to be endorsed hereon and shall state on their face that they are drawn under [name of bankI, [address of bankI. DATED this day of ~ 1994. Instructions for completing, Letter of Credit: I. Letter of Credit must be typed on bank lenerhead 2. Information required in square brackets must be provided where indicated, without brackets. 3. Phrases shown in round brackets must be included without brackets where there are two or more companies comprising the customer. 4. The date in the sixth paragraph must be at least one year from the date of the Lener of Credit. 5. The date in the seventh paragraph must be the same as the dale in the sixth paragraph. 6. Bank signatories must show name, printed or typed, and title, in addition to signature. 11