HomeMy WebLinkAbout#16 - Legacy at Northstar Warranty Security Release STAFF REPORT
DATE: November 6, 2024
CONSENT
AGENDA ITEM: Approve Security Reduction for Legacy at Northstar 1st Addition
SUBMITTED BY: Jack Griffin, City Engineer
REVIEWED BY: Nicole Miller, City Administrator
Jason Stopa, Community Development Director
Sophia Jensen, City Planner Marty Powers, Public Works Director
Clarissa Hadler, Finance Director
Chad Isakson, Assistant City Engineer
ISSUE BEFORE COUNCIL: Should the City Council approve a security reduction for Legacy at
Northstar 1st Addition?
PROPOSAL DETAILS/ANALYSIS: Staff has received and processed a request to reduce the
development security for the Legacy at Northstar 1st Addition. This reduction includes the release of grading
security and public improvement warranty security as the warranty period has expired and all corrective
work has been completed. These requests have been reviewed and are being recommended for approval in
accordance with the approved Development Agreements. The approval is contingent on the developer
having a positive escrow balance in the minimum amount required by the city, and the developer being
current with all payments and obligations required by the Development Agreement. The Development
Security amounts are recommended to be reduced as follows:
Current Security Amount Proposed Security Amount
1. Legacy at Northstar 1st Addition $ 715,078 $ 23,200
Remaining security is for landscaping and builder landscaping items.
FISCAL IMPACT: It is the City’s goal to retain at all times during the subdivision improvements a
security amount that is adequate to ensure completion of all elements of the improvements as protection to
the city tax payers against the potential of developer default. Release of the public improvement warranty
security closes out the public improvements portion of the development. The operation and maintenance of
these facilities become the responsibility of the city going forward.
RECOMMENDATION: Staff is recommending that the City Council, as part of the Consent Agenda,
approve the security reduction and release as detailed in the attached worksheet for the Legacy at Northstar
1st Addition, contingent on the developer being current with all Development Agreement payments and
obligations, including a positive escrow balance as required by the City. If removed from the consent
agenda, the recommended motion for the action is as follows:
“Move to approve the security reduction and release as detailed in the attached worksheet for the
Legacy at Northstar 1st Addition, contingent on the developer being current with all payments and
obligations in accordance with the Development Agreement.”
ATTACHMENTS:
1. Security Reduction Worksheet – Legacy at Northstar 1st Addition.
LEGACY AT NORTH STAR 1ST ADDITION Time of Performance: October 31, 2018DEVELOPMENT AGREEMENT AMOUNTSCATEGORY CONSTRUCTION 125% REMARKS #1 #2 #3 #4 #5 #6Grading $247,500 $247,500100%$247,500Sanitary Sewer $366,592 $458,240100%$229,120 $114,560 $114,560Watermain $306,735 $383,419100%$191,709 $95,855 $95,855Storm Sewer (w/pond structures) $458,365 $572,956100%$429,717 $143,239Streets + Sidewalks $666,635 $833,294100%$624,970 $208,323Bituminous Trails $75,670 $94,588100%$70,941 $23,647Surface Water Facilities NA NAStreet Lighting $36,000 $45,000100%$33,750 $11,250Street Signs and Traffic Control Signs $8,150 $10,188100%$7,641 $2,547Private Utilities (electricity, natural gas, telephone, and cable)Builder Landscaping $37,440 $46,80075%$35,100Landscaping $36,800 $46,00075%$34,500Tree Preservation and Restoration NA NAWetland Mitigation and Buffers NA NAIncluded in Grading SecurityMonuments $5,900 $7,375100%$5,531 $1,844Erosion Control NA NAIncluded in Grading SecurityTurn Lane + By-pass Lane $166,290 $207,863100%$155,897 $51,966Record Drawings $5,000 $6,250100%$4,688 $1,563TOTALS $2,417,077 $2,959,471RELEASED AMOUNTS:$420,829 $210,415 $1,333,134 $210,415 $69,600 $691,878$2,250,787 $2,751,609CUMMULATIVE AMOUNTS:$420,829 $631,244 $1,964,378 $2,174,793 $2,244,393 $2,936,271SECURITY AMOUNT REMAINING:$2,330,779 $2,120,365 $995,093 $784,678 $715,078 $23,200DATE: 1/15/2019 9/17/2019 1/5/2021 12/20/2022 1/2/2024 11/6/2024REDUCTIONS