The purpose of this letter is to follow up on our discussions regarding the construction of 2000 West. You requested that the City put in writing the points of understanding reached at a recent meeting between myself and members of the Smith Family. The following items are

1. Pleasant Grove City would like to be able to enter onto the Smith properties referred to as Phase 2 of the 2000 West road project to establish the design and alignment of the proposed roadway.

2. If the Smith Family grants Pleasant Grove City the desired access, the City would provide the completed design and cross section plans for Smith Family properties involved with the 2000 West roadway at no cost. Said plans are to include all underground utility design work. The City anticipates that it will be able to provide the design and cross section plans within approximately 180 days of March 1, 2005.

3. The Utah Department of Transportation (UDOT) has indicated that this design work would take approximately 180 days to complete.

4. Pleasant Grove City feels that there are several advantages to proceeding with the design and construction of 2000 West in this manner. First, the City and the property owners get continuity of design and alignment. Second, the design will meet UDOT standards, City specifications, and Utah State environmental compliance requirements. Third, any issues with the Army Corps of Engineers would also be addressed through the City's design. Fourth, it would result in a considerable cost savings to the Smith family to have the design work completed by the City.

5. The only disadvantage that we can see would be that the time frame may require a . delay in the Smith Family's expected timetable for construction of this portion of the road.

The City hopes you will consider our offer and let us know within seven (7) days if you intend to accept this proposal. We would consider it a pleasure to work with the family on this roadway project.