HomeMy WebLinkAbout#07 - Legacy at Northstar Security Reduction STAFF REPORT
DATE: January 7, 2025
CONSENT
AGENDA ITEM: Approve Security Reduction for Legacy at Northstar 2nd 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 2nd Addition?
PROPOSAL DETAILS/ANALYSIS: Staff has received and processed a request to reduce the
development security for the Legacy at Northstar 2nd Addition. This reduction includes the release of 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 2nd Addition $ 327,204 $ 25,501
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
2nd 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 2nd 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 2nd Addition.
LEGACY AT NORTH STAR 2ND ADDITION Time of Performance: October 31, 2019DEVELOPMENT AGREEMENT AMOUNTSCATEGORY CONSTRUCTION 125% REMARKS #1 #2 #3 #4 #5 #6 #7Grading NA NAIncluded in Grading SecuritySanitary Sewer $294,395 $367,994100%$275,995 $91,998Watermain $287,645 $359,556100%$269,667 $89,889Storm Sewer (w/pond structures) $350,133 $437,666100%$218,833 $109,417 $109,417Streets + Sidewalks $532,432 $665,540100%$332,770 $166,385 $166,385Bituminous Trails NA NASurface Water Facilities $28,320 $35,400100%$26,550 $8,850Street Lighting $18,976 $23,720100%$17,790 $5,930Street Signs and Traffic Control Signs $1,750 $2,188100%$1,641 $547Private Utilities (electricity, natural gas, telephone, and cable)Builder Landscaping $48,640 $60,80075%$45,600Landscaping $32,960 $41,20075%$30,900Tree Preservation and Restoration NA NAWetland Mitigation and Buffers NA NAMonuments $7,000 $8,750100%$6,563 $2,188Erosion Control $21,838 $27,298100%$20,473 $6,824Record Drawings $5,000 $6,250100%$4,688 $1,563TOTALS $1,629,089 $2,036,362RELEASED AMOUNTS:$1,097,266$275,802 $181,888 $77,704 $76,500 $301,703CUMMULATIVE AMOUNTS:$1,097,266$1,373,067 $1,554,955 $1,632,658 $1,709,158 $2,010,861SECURITY AMOUNT REMAINING:$939,097$663,295 $481,408 $403,704 $327,204 $25,501DATE: 1/21/2020 1/4/2022 12/20/2022 1/2/2024 11/19/20241/7/2025REDUCTIONS