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HomeMy Public PortalAbout1991_10_09_R228The Town of Leesburg, ]Virginia RESOLUTION NO. A RESOLUTION: PRESENTED October 9, 1991 91-228 ADOPTED October 9, 1991 DECLARING THE DEVELOPER OF TAVISTOCK FARMS SECTION 9 IN DEFAULT OF ITS CONTRACT FOR INSTAI,LATION OF PUBLIC IMPROVEMENTS AND AUTHORIZING THE TOWN MANAGER TO PREPARE AND SIGN THE DOCUMENTS NECESSARY TO REQUEST PAYMENT OF THE PERFORMANCE GUARANTEE FUNDS WHEREAS, the Poretsky Building Group, Inc., developers of Tavistock Farms Section 9, has not completed all the required public improvements in accordance with the approved construction drawings and town standards within the two-year period agreed to in the contract for public improvements; and WHEREAS, the Poretsky Building Group, Inc., has requested a one year time extension for completion of the remaining bonded improvements; and WHEREAS, a letter of credit from Perpetual Savings Bank FSB was provided by the Poretsky Building Group, Inc., which guarantees the installation of public improvements in Tavistock Farms Section 9, in the current amount of $38,580.00; and WHEREAS, the town has received a written notice from Perpetual Savings Bank, FSB that the letter of credit will not be renewed beyond the maturity date which is January 16, 1992; and WHEREAS, the Poretsky Building Group, Inc., has stated to the town that it cannot obtain a substitute performance guarantee from another institution; and WHEREAS, in order to guarantee that the town will have sufficient funds to complete the public improvements if the Poretsky Building Group, Inc., fails to complete the proje~ a claim for payment of the letter of credit funds must be made. THEREFORE, RESOLVED by the Council of the Town of Leesburg in Virginia as follows: SECTION I. The Town Manager is hereby authorized to declare the Poretsky Building Group, Inc., in default of its contract for public improvements for Tavistock Farms Section 9 and to request payment pursuant to the letter of credit from Perpetual Savings Bank, FSB in the amount of $38,580.00 which guarantees the installation of public improvements in Tavistock Farms Section 9. SECTION II. The Town Manager is also authorized to prepare and execute all documents necessary to enforce all terms of the contract for public improvements for Tavistock Farms Section 9. A RESOLUTION: -2- DECLARING THE DEVELOPER OF TAVISTOCK FARMS SECTION 9 IN DEFAULT OF ITS CONTRACT FOR INSTALLATION OF PUBLIC IMPROVEMENTS AND AUTHORIZING THE TOWN MANAGER TO PREPARE AND SIGN THE DOCUMENTS NECESSARY TO REQUEST PAYMENT OF THE PERFORMANCE GUARANTEE FUNDS PASSED this 9th day of October, 1991. Clerk of Counc~ Rob~rt-E. Sevila, Mayor Town of Leesburg tavistock.9