HomeMy WebLinkAbout10 A - Stemmer Ridge
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~ CITY COUNCIL AGENDA REPORT
MEETING DATE:
AGENDA #:
PREPARED BY:
AGENDA ITEM:
DISCUSSION:
ISSUES:
FINANCIAL
IMPACT:
ALTERNATIVES:
SEPTEMBER 15,2008
10A
STEVE ALBRECHT, DIRECTOR OF PUBLIC WORKS
CONSIDER APPROVAL OF A RESOLUTION APPROVING AMENDMENT
NO.3 TO THE DEVELOPMENT CONTRACT FOR STEMMER RIDGE
Introduction
The purpose of this agenda item is for the City Council to consider
Amendment NO.3 to the Stemmer Ridge Development Contract.
Historv
On June 6, 2006, the City Council approved the Development Contact for
Stemmer Ridge. On April 16, 2007, the City Council approved an extension to
December 31,2007 for Phase 2 of Stemmer Ridge. On December 17,2007
the City Council approved a second extension to December 31,2008 for
Phase 2 of Stemmer Ridge.
Current Circumstances
The Developer, Toll Brothers has requested a 3rd extension of the Completion
Date for the Phase 2 portion of the project from December 31,2008 to
December 31, 2009. The extension is a reflection of the fact that the
Developer has several lots in inventory and the building market has slowed
substantially. The Developer has posted a separate letter of credit for this
phase and has already paid all the required development fees for the phase.
Staff recognizes there is an inventory of unsold lots in the City and
recommends granting the extension. The City still has in place the Letter of
Credit from the Developer guaranteeing the completion of the improvements.
Installation of streets and utilities in areas with vacant lots results in additional
maintenance work for the City (plowing, flushing watermains etc.) Granting
the extension will reduce City maintenance costs.
The alternatives are as follows:
1. Approve Amendment NO.3 to the Development Contract for Stemmer
Ridge.
2. Deny this item for a specific reason and provide Staff with direction.
3. Table this item until some date in the future.
RECOMMENDED I
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Frank Bo~s, 9ty \.lanager
R:\COUnCiI1204 Agenf Repo fsl0915 08\Stemmer Ridge A~~t~~7.lJ\%ke.com
J Phone 952.447.9800 / Fax 952.447.4245
RESOLUTION 08-xx
A RESOLUTION APPROVING AMENDMENT NO.3 TO THE STEMMER RIDGE
DEVELOPMENT CONTRACT
Motion By:
Second By:
WHEREAS, On June 6,2005, the Prior Lake City Council approved the Development Contract for
Stemmer Ridge with Arcon Development; and
WHEREAS, On August 1, 2005, the City of Prior Lake approved the assignment of the
Development Contract to Toll Brothers, Inc. from Arcon Development; and
WHEREAS, Toll Brothers has completed the improvements in accordance with the Development
Contract with the exception of Phase 2; and
WHEREAS, Toll Brothers has provided the City with a separate letter of credit for Phase 2; and
WHEREAS, The Developer has requested an extension for the completion of the Phase 2
improvements of one year to December 31, 2009.
NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE,
MINNESOTA as follows:
1. The recitals set forth above are incorporated herein.
2. The Mayor and City Manager are authorized to execute on the City's behalf Amendment NO.3 to
the Development Contract for Stemmer Ridge.
PASSED AND ADOPTED THIS 15TH DAY OF SEPTEMBER 2008.
YES
NO
I Haugen
I Erickson
I Hedberg
I LeMair
I Millar
Haugen
Erickson
Hedberg
LeMair
Millar
Frank Boyles, City Manager
R\Council\2008 Agenda Reports\09 15 08\Stemmer Ridge Ame[1dm~nt .Re~oklution x,doc
www.C1tyotpnorlae.com
Phone 952.447.9800 / Fax 952.447.4245
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