HomeMy Public PortalAbout1999_04_27_r127The Town of
l eesburg,
lrglnla
PRESENTED April 27, 1999
RESOLUTION NO. 99-127 ADOPTED April 27, 1999
A RESOLUTION: AUTHORIZING A NEW AGREEMENT AND APPROVING A
PERFORMANCE GUARANTEE FOR EXETER HILLS SECTION 6A
AND RELEASING A CORPORATE SURETY BOND FROM K.
HOVNANIAN AT EXETER HILLS, INC.
WHEREAS, Council Resolution #97-92 adopted on April 22, 1997 approved a corporate
surety bond from The American Insurance Company in the mount of $829,396.10 as security to
guarantee installation of public improvements by K. Hovnanian at Exeter Hills, Inc., as shown on
plans approved by the Director of Engineering and Public Works for Exeter Hills Section 6A;
and
WHEREAS, K. Hovnanian at Exeter Hills, Inc. on March 31, 1999 sold Exeter Hills
Section 6A to Scottsbury, L.C.; and
WHEREAS, Scottsbury, L.C. has proposed to replace the previously approved corporate
surety bond with a new corporate surety bond in the amount of $829,396.10 issued by the
Amwest Surety Insurance Company and is requested approval of same.
THEREFORE, RESOLVED by the Council of the Town of Leesburg in Virginia as
follows:
SECTION I. The manager shall execute a new contract with an initial term of one year
for public improvements with Scottsbury, L.C. for the improvements shown on the plans
approved by the Director of Engineering and Public Works for Exeter Hills Section 6A.
SECTION II. The corporate surety bond from the Amwest Surety Insurance Company in
a form approved by the Town Attorney is approved.
A RESOLUTION:
-2-
AUTHORIZING A NEW AGREEMENT AND APPROVING A
PERFORMANCE GUARANTEE FOR EXETER HILLS SECTION 6A
AND RELEASING A CORPORATE SURETY BOND FROM K.
HOVNANIAN AT EXETER HILLS, INC.
SECTION III. The corporate surety bond from The American Insurance Company
provided by K. Hovnanian at Exeter Hills, Inc. in the amount of $829,396.10 is released
contingent upon approval by the Town Attorney of the substitute corporate surety bond from the
Amwest Surety Insurance Company provided by Scottsbury, L.C.
SECTION IV. When the new contract and performance guarantee from Scottsbury, L.C.
are received and in effect, the contract for public improvements with K. Hovnanian at Exeter
Hills, Inc. shall be canceled.
PASSED this 27th day of April, 1999.
ATTEST:
Clerk of Council
J~es E. Clem, Mayor
Town of Leesburg
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