HomeMy Public PortalAbout1996_01_16_R006The Town o/
Leesburg,
.rg ma
RESOLUTION NO.
A RESOLUTION:
PRESENTED January 16, 1996
96-6 AINDPTED January 16, 1996
AUTHORIZING A TIME EXTENSION FOR COMPLETION OF PUBLIC
IMPROVEMENTS AND MAKING A REDUCTION OF THE
PERFORMANCE GUARANTEE FOR PUBLIC IMPROVEMENTS
INSTALLED IN EXETER SECTION 5
WHEREAS, Richmond American Homes, 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 previously approved time extensions;
and
WHEREAS, the developer has requested a one (1) year time extension to complete the public
improvements; and
WHEREAS, Richmond American Homes, the developer of Exeter Section 5, has completed a
large amount of the public improvements and has requested a reduction of the performance guarantee;
and
WHEREAS, currently the town is holding $343,087.00 in corporate surety bond funds from the
American Motorists Insurance Company which represents 20% of thc original performance bond amount
of $1,715,436.00; and
WHEREAS, the Virginia state law as of July 1, 1995 allows up to a 90% reduction of the
performance guarantee funds; and
WHEREAS, Richmond American has requested that their bond be reduced to $171,543.60
representing a 90% reduction of the original performance bond; and
THEREFORE, RESOLVED by the Council of the Town of Leesburg in Virginia as follows:
SECTION I. A time extension to October 9, 1996 for completion of the public improvements
is approved.
RESOLUTION:
-2-
AUTHORIZING A TIME EXTENSION FOR COMPLETION OF PUBLIC
IMPROVEMENTS AND MAKING A REDUCTION OF THE
PERFORMANCE GUARANTEE FOR PUBLIC IMPROVEMENTS
INSTALLED IN EXETER SECTION $
SECTION II. The corporate surety bond from the American Motorists Insurance Company in
the current amount of $343,087.00 is reduced to $171,543.60 and is approved to guarantee the installation
of public improvements in Exeter Section 5.
SECTION III. The Town Manager shall notify the developer that liability for the corporate
surety bond funds has been reduced as outlined in Section I of this resolution and that this reduction
does not constitute acceptance of public improvements by the town or relieve the developer of
responsibilities outlined in the contract for public improvements for Exeter Section 5.
PASSED this 16th day of January
A/T~. ~ST:
Clerk of Council
, 1996.
,r--o~James E. Clem, Mayor
Town of Leesburg
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