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HomeMy Public PortalAbout1992_09_08_R168 The Town of Leesburg, Virginia RESOLUTION NO. A ltgSOLUTION: PRESENTED September 8~ 1992 92-168 ADOPTED September 8, 1992 AUTHORIZING A SUBS'lTl'UTE AGREEMENT AND APPROVING A PERFORMANCE GUARANTEE AND REDUCTION FOR THE HIGHPOINT WATERLINE EXTENSION AND RELEASING A LETTER OF CREDIT AND CANCE~G A CONTRACT WITH HIGI-IPOINT ASSOCIATES WHEREAS, Council Resolution #90-234 approved a letter of credit from American Security Bank in the amount of $14,050.00 as security to guarantee inst~llstion of public improvements by Highpoint Associates as shown on plans approved by the Director of Engineering and Public Works for the tlighpoint Waterline Extension; and WHEREAS, the Sunset I-tills Corporation, the new owner of the Highpeint Development, has presented a new contract and a new perform-nce guarantee to replace the documents from Highpoint Associates, the former owner; and WI-IF, REAS, the Sunset I-Iills Corporation has requested a reduction of the amount of the performance guarantee based on the work completed to date; and WHEREAS, the Department of Engineering and Public Works has reviewed the request for reduction and inspected the improvements and recommends that the performance guarantee in the amount of $14,050.00 be reduced by $11,240.00 to $2,810.00; and WHEREAS, the Department of Engineering and Public Works also recommends acceptance of a new contract and a cash bond in the amount of $2,810.00 from Sunset I-Iills Corporation and release of the contract and the letter of credit provided by I-Iighpoint Associates from American Security Bank in the amount of $14,050.00. THEREFORE, RESOLVED by the Council of the Town of Leesburg, Virginia as follows: SECTION I. The Manager shall execute the contract for public improvements with the Sunset l-Iills Corporation for the improvements shown on plans approved by the Director of Engineering and Public Works for the Highpoint Waterline Extensior~ SECTION II. A cash bond in the amount of $2,810.00, provided by Sunset I-Iills Corporation, is approved to replace the letter of credit from American Security Bank in the amount of $14,050.00. RESOLUTION: -2- AUTHORIZING A SUBSTITUTE AGREEMENT AND APPROVING A PERFORMANCE GU~E AND REDUCTION FOR THE HIGHPOINT WATERINE EXTENSION AND REI,RASING A LETTER OF CRED1T AND CANCELLING A CONTRACT WITH HIGHPOINT ASSOCIATES SECTION III. hereby released. SECTION IV. The letter of credit from American Security Bank in the amount of $14,050.00 is The contract for inst~ll-tion of public improvements for the Highpoint Waterline Extension dated September 7, 1990 with Highpoint Associates, is hereby cancellech PASSED this 8th day of September , 1992. J es~~E. Clem, Mayor Town of Leesburg ATTEST: Clerk of Council d R:highpt.res