Staff recommends authorizing the Agreement to Terminate as submitted by Fruitland Park, LLC and release the security bond and a portion of the cash deposit after deducting the expenses incurred by the City of Leesburg for the installation of the electrical utility infrastructure solely intended to serve “Fruitland Estates—Phase I.”
In connection with the Agreement, and in compliance with the City’s Code of Ordinances, the Developer obtained a Utility Security Bond in the penal sum of $60,076.00 and placed with the City a cash deposit in the amount of $67,322.00, both to secure payment of the cost of certain work to be done at the Project by the City to provide electric utility service. The Developer has now elected not to proceed at this time with construction of the Project and has requested to cancel the Agreement and receive a return of its bond and cash deposit.
In accepting this Agreement to Terminate, the City shall release the utility security bond to the Developer and a portion of the cash deposit that remains after reimbursement to the City of all of its costs and expenses incurred or paid to date in connection with the Project Developer.
Cash Deposit: $67,322.00
Less amount of work provided by the City: $20,608.90
Total Refund: $46,713.10
1. Accept the Agreement to Terminate as presented and provide refund; or,
2. Such alternative action as the Commission may deem appropriate
Total refund: $46,713.10
Department: __Electric__ _
Prepared by: __Sabrina Hubbell_______
Attachments: Yes_X__ No ______
Advertised: ____Not Required _X____
Attorney Review : Yes X_ No ____
Reviewed by: Dept. Head _Paul Kalv
Finance Dept. ______JB__________
Deputy C.M. ___________________
City Manager ___________________
Account No. _________________
Project No. ___________________
WF No. ______________________
RESOLUTION NO. _____
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT TO TERMINATE DEVELOPER’S AGREEMENT AND BOND BETWEEN FRUITLAND PARK, LLC, AND THE CITY OF LEESBURG AND RETURN A PORTION OF THE CASH PLACED WITH THE CITY OF LEESBURG; AND PROVIDING AN EFFECTIVE DATE.
BE IT RESOLVED by the City Commission of the City of Leesburg, Florida:
That the Mayor and the City Clerk are authorized and directed to execute an Agreement to Terminate Developer’s Agreement and Bond, between Fruitland Park, LLC, and The City of Leesburg, Florida, in the form attached as Exhibit "A" to this resolution, and return a portion of the cash placed with the City of Leesburg of $46,713.10.
THIS RESOLUTION shall become effective upon its passage and adoption according to law.
PASSED AND ADOPTED at the regular meeting of the City Commission of the City of Leesburg, Florida, held on the __13th____ day of _September________________, 2010.
THE CITY OF LEESBURG