HomeMy WebLinkAbout#15 - Royal Golf Security Reduction STAFF REPORT
DATE: January 5, 2021
CONSENT
AGENDA ITEM: Approve Release of Warranty Security for Royal Golf Club 2nd Addition. SUBMITTED BY: Jack Griffin, City Engineer REVIEWED BY: Kristina Handt, City Administrator Ken Roberts, Planning Director Marty Powers, Public Works Director Chad Isakson, Assistant City Engineer
ISSUE BEFORE COUNCIL: Should the City Council approve release of warranty security for public improvements including streets, storm sewer facilities, sidewalks, trails, materials and equipment for Royal Golf Club 2nd Addition? PROPOSAL DETAILS/ANALYSIS: Staff has received and processed a request to release the
development security in accordance with the development agreement for Royal Golf Club 2nd Addition. The public improvements including streets, storm sewer facilities, sidewalks, trails, materials and equipment were completed and accepted by the City on December 17, 2019 and the 1-year warranty period
was initiated. Twenty-five percent (25%) of the original security was retained through the 1-year warranty period. A warranty walk-through has been completed by City staff and all warranty punch list items have since been addressed by the Developer. The release of security is contingent on the developer being current
with all other payments and obligations in accordance with the Development Agreement, including a positive escrow balance as required by the City and the payment of the outstanding invoice for the turn lanes installed as a part of the CSAH 17 Phase 3 project as managed by Washington County. With the release of the 1-year warranty security for public improvements the overall development security may be reduced as follows: Current Security Amount Proposed Security Amount 1. Royal Golf Club 2nd Add. $808,043 $329,853 Remaining security is for the warranty of the sanitary sewer, watermain, and landscaping improvements. FISCAL IMPACT: Release of the warranty security brings the public improvements including streets, storm sewer facilities, sidewalks, trails, materials and equipment to a close. The operation and maintenance
of these facilities becomes the responsibility of the City going forward. RECOMMENDATION: Staff is recommending that the City Council, as part of the Consent Agenda,
approve the release of warranty security for public improvements including streets, storm sewer facilities, sidewalks, trails, materials and equipment in Royal Golf Club 2nd Addition resulting in a reduction in overall security as detailed in the respective worksheet. The release of security is contingent on the
developer being current with all other payments and obligations in accordance with the Development Agreement, including a positive escrow balance as required by the City and the payment of the outstanding invoice for the turn lanes installed as a part of the CSAH 17 Phase 3 project as managed by Washington County. If removed from the consent agenda, the recommended motion for the action is as follows: “Move to approve the security reductions for Royal Golf Club 2nd Addition as detailed in the
respective Security Reduction Worksheet, contingent on the developer being current with all other payments and obligations in accordance with the Development Agreement, including a positive escrow
balance as required by the City and the payment of the outstanding invoice for the turn lanes installed as a part of the CSAH 17 Phase 3 project as managed by Washington County”.
ATTACHMENTS:
1. Security Reduction Worksheet – Royal Golf Club 2nd Addition.
ROYAL GOLF CLUB 2ND ADDITION October 31, 2018DEVELOPMENT AGREEMENT AMOUNTSCATEGORY CONSTRUCTION 125% REMARKS #1 #2 #3 #4 #5 #6Grading NA NAIncluded in Overall Grading AgreementSanitary Sewer $216,439 $270,549 $202,911Watermain $514,590 $643,238 $482,428Storm Sewer $409,749 $512,186 $256,093 $128,047 $128,047Streets and Sidewalks $998,255 $1,247,818 $623,909 $311,955 $311,955Trails $72,670 $90,838 $68,128 $22,709Surface Water Facilities NA NAincluded in Grading AgreementStreet Lighting $30,000 $37,500By Xcel Energy$28,125 $9,375Street Signs and Traffic Control Signs $4,235 $5,294 $3,970 $1,323Landscaping $324,500 $405,625 $304,219Tree Preservation and Restoration NA NAincluded in Grading AgreementWetland Mitigation and Buffers NA NAincluded in Grading AgreementMonuments $7,300 $9,125 $6,844 $2,281Erosion Control NA NAincluded in Grading AgreementTurn Lanes NA NABy CountyRecord Drawings $8,000 $10,000 $7,500 $2,500TOTALS $2,585,737 $3,232,172RELEASED AMOUNTS:$685,340 $880,002 $304,219 $554,568 $478,190 $0CUMMULATIVE AMOUNTS:$685,340 $1,565,342 $1,869,561 $2,424,129 $2,902,319SECURITY AMOUNT REMAINING:$2,546,832 $1,666,830 $1,362,611 $808,043 $329,853DATE: 1/15/2019 7/2/2019 11/5/201912/17/2019 1/5/2021Time of Performance: REDUCTIONS