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HomeMy WebLinkAbout6.p. Approve Subdivision Agreement Amendments for Greystone 8th and Meadow Ridge 2nd EXECUTIVE SUMMARY City Council Regular Meeting Date: December 4, 2018 AGENDA ITEM: Approve Subdivision Agreement Amendments for Greystone 8th and Meadow Ridge 2nd AGENDA SECTION: Consent PREPARED BY: Kim Lindquist, Community Development Director AGENDA NO. 6.p. ATTACHMENTS: None APPROVED BY: LJM RECOMMENDED ACTION: Motion to Approve the Amendments to the Subdivision Agreements for Greystone 8th and Meadow Ridge 2nd ISSUE On November 20th the City Council approved subdivision agreements for Greystone 8th and Meadow Ridge 2nd. The agreements required a 15% deposit to cover construction monitoring fees, which is consistent with typical agreements. This is a reimbursable fee, meaning that the developer pays the engineering bills and is reimbursed any funds not needed to cover costs. Because these two projects will be a test case to design and construct the public infrastructure privately, the developer has requested a reduced deposit of 10% for construction monitoring. From staff’s perspective the change is acceptable as the developer will pay the construction monitoring costs incurred regardless of the deposit amount. The following changes will be inserted into the body of the Subdivision Agreements: 18. Responsibility for Costs. (Greystone 8th) A. Except as otherwise specified herein, the Developer shall pay all costs incurred by it or the City in conjunction with the development of the Subject Property including, but not limited to, Soil and Water Conservation District charges, legal, planning, engineering, review and inspection expenses incurred in connection with approval and acceptance of the subdivision and the plat, the preparation of this Agreement and any amendments hereto, and all costs and expenses incurred by the City in monitoring and inspecting the development of the Subject Property. 2 A. The Developer shall reimburse the City for costs incurred in the preparation and enforcement of this Agreement, including engineering and attorney’s fees. Upon request, the City shall provide invoices, in reasonable detail, as to any such fees. The remaining estimated City fees of $169,397 shall be deposited with the City at the time this Agreement is signed, and represent the following amounts: $10,000 Engineering Review Fees $91,374 Construction Monitoring Fees (10%) $3,000 Attorney Fees $45,687 5% City Fees (based on developer’s estimate of $913,744) $1,728 Street Light Energy Cost $3,360 GIS Fees $14,248 Seal Coating $169,397 Total Amount Due If the actual City fees exceed this estimate, the Developer shall pay the additional costs to the City within thirty (30) business days of the request. If actual City fees are lower than this estimate, any surplus funds will be returned to the developer when the project fund is reconciled and closed. The developer for Greystone 8 has also indicated that the name on the agreement should be CalAtlantic Group, Inc. rather than US Home Corporation. By approving this amendment, staff will also make that change to the agreement. 18. Responsibility for Costs. (Meadow Ridge 2nd) A. Except as otherwise specified herein, the Developer shall pay all costs incurred by it or the City in conjunction with the development of the Subject Property including, but not limited to, Soil and Water Conservation District charges, legal, planning, engineering, review and inspection expenses incurred in connection with approval and acceptance of the subdivision and the plat, the preparation of this Agreement and any amendments hereto, and all costs and expenses incurred by the City in monitoring and inspecting the development of the Subject Property. 3 B. The Developer shall reimburse the City for costs incurred in the preparation and enforcement of this Agreement, including engineering and attorney’s fees. Upon request, the City shall provide invoices, in reasonable detail, as to any such fees. The remaining estimated City fees of $106,893 shall be deposited with the City at the time this Agreement is signed, and represent the following amounts: $10,000 Engineering Review Fees $55,464 Construction Monitoring Fees (10%) $3,000 Attorney Fees $27,732 5% City Fees (based on developer’s estimate of $554,637) $864 Street Light Energy Cost $1,740 GIS Fees $8,093 Seal Coating $106,893 Total Amount Due If the actual City fees exceed this estimate, the Developer shall pay the additional costs to the City within thirty (30) business days of the request. If actual City fees are lower than this estimate, any surplus funds will be returned to the developer when the project fund is reconciled and closed. RECOMMENDATION Staff recommends that the City Council approve the amendments to the two recently approved subdivision agreements which change the construction monitoring fees from 15% to 10% for the Greystone 8th and Meadow Ridge 2nd subdivisions. The entity name for Greystone 8th will also be changed from US Home Corporation to CalAtlantic Group, Inc. All other requirements of the subdivision agreements remain unchanged.