A. Any deferred improvement required by the City Engineer pursuant to Section 12.04.020 shall contain the following precautionary warnings to the owner in substantially the following form
"PRECAUTIONARY WARNINGS TO OWNER
The Owner is cautioned and advised that by entering into this Agreement, the Owner's legal rights and property rights will be affected. As examples, and not by way of limitation, Owner is apprised of the following with respect to this Agreement:
1. The Agreement will create a lien against owner's property. A lien is a charge or security upon property for payment of some debt, obligation, or duty. In this particular case, this Agreement will be recorded in the Butte County Recorder's office and the lien will be of public record. In the event Owner fails to abide by the terms and conditions of this Agreement, the City would have the right to foreclose the lien (i.e., the City would have the right to sell Owner's property in satisfaction of the obligation). In addition, the recording of the lien could prevent or make difficult the ability to obtain a loan from a lender secured by Owner' s property.
2. This Agreement gives the City the right at anytime to call due Owner's performance under this Agreement upon the giving of ninety (90) days notice. It is very difficult for the City to predict the time when it might require Owner's performance under the Agreement, and owner should not assume that any particular length of time will pass before the City gives ninety (90) days notice to perform.
3. Owner acknowledges that the obligations created by this Agreement will "run with the land," which means that these obligations are imposed both upon Owner and any successor to the Owner and in that regard, the recordation of this Agreement might cause the fair market value of owner's property to decrease.
4. Owner is further advised that "Exhibit B" to this Agreement sets forth the street frontage improvements to be constructed, however, it is difficult to determine the scope of the improvement work until the project is designed and adequate survey data is available. It is also possible that the field conditions may change between the time this Agreement is executed and the time the improvements are constructed. The cost of the improvements may involve items not easily estimated, such as utility relocation costs, undergrounding of culverts, street widening and the like. The construction costs will vary depending upon the method of contracting for the work (private construction is normally less expensive than a public works project).
5. Finally, Owner is encouraged to contact a qualified real estate agent, attorney, or other person of appropriate qualifications and expertise to advise them regarding the potential impact of this Agreement on the value and/or marketability of their property or to, in any other respect, counsel them regarding the consequences of signing this Agreement.
6. In the event the Owner has requested an engineers estimate pursuant to Gridley Municipal Code Section 12.04.021C, it is expressly understood and agreed that the City Engineer's estimates shall not be binding upon the City for purposes of any subsequent construction (or the Owner's costs thereunder) and said estimate shall be given as an accommodation to the Owner and to aid the Owner's decision whether or not to enter into this Deferred Improvement Agreement as opposed to installing frontage improvements concomitantly with the development of the land, the subject of this Agreement. In addition, the failure of this Deferred Improvement Agreement to contain the language specified in Gridley Municipal Code Section 12.04.021 shall not invalidate the Agreement if it would otherwise be enforceable without such provisions."
B. In addition to the foregoing warnings, any Deferred Improvement Agreement between the City and the Owner shall advise the Owner that the requirement to install "frontage improvements" does not necessarily mean that the improvements shall be located at the "front" of the dwelling or other structure being constructed by the Owner. In addition, any Deferred Improvement Agreement shall contain a provisions that the Owner's obligations to construct frontage improvements shall occur not less than 90 days after notification by the city of Gridley that the Owner must proceed to construct frontage improvements as specified in the Deferred Improvement Agreement.
C. Upon receipt of a written request from the Owner prior to the execution of any Deferred Improvement Agreement under Section 12.04.020, the City Engineer shall prepare an estimate as to the specific frontage improvements and the estimated cost of construction which would be required if the Owner were to install the frontage improvements at the present time. The City Engineer's estimates shall not be binding upon the City for purposes of any subsequent construction (or the Owner's costs thereunder) but shall be given as an accommodation to the Owner and to aid the Owner's decision whether or not to enter into a Deferred Improvement Agreement as opposed to installing the frontage improvements at the time of the new construction for development of the land in question. The failure of a Deferred Improvement Agreement to contain the terms specified in this section shall not invalidate the Agreement if it would otherwise be enforceable without such provisions.