HomeMy Public PortalAbout2006_06_13_r099
The Town of
Leesburg,
Virginia
PRESENTED:June 13. 2006
RESOLUTION NO. 2006-99
ADOPTED: June 13.2006
A RESOLUTION:
RESCINDING RESOLUTIONS #2003-84 AND #2005-127,
CANCELLING THE AUTHORIZATION OF A CONTRACT, AND
RELEASING LETTERS OF CREDIT FROM GNT ASSOCIATES, LC
FOR THE STAR PONTIAC BUICK, GMC BUILDING EXPANSION,
AND THE STAR PONTIAC GMC, BUICK STORM SEWER
IMPROVEMENTS
WHEREAS, Council Resolution #2003-84 adopted on May 28, 2003 approved a letter of
credit from the Wachovia Bank in the amount of $26,648.00 as security to guarantee installation
of public improvements by GNT Associates, LC, as shown on plans approved by the Director of
Engineering and Public Works for Star Pontiac, GMC, Buick Storm Sewer Improvements; and
WHEREAS, Council Resolution #2005-127 adopted on August 9,2005 approved a letter
of credit from the Middleburg Bank in the amount of $33,000.00 as security to guarantee
installation of public improvements by GNT Associates, LC, as shown on plans approved by the
Director of Engineering and Public Works for Star Pontiac, Buick, GMC Building Expansion;
and
WHEREAS, GNT Associates, LC has requested that the Town release the performance
guarantees posted for the Star Pontiac, GMC, Buick Storm Sewer Improvements and the Star
Pontiac, Buick, GMC Building Expansion; and
WHEREAS, the economic climate has forced the developer to reconsider their expansion
plans until they see how the domestic auto sales market is affected; and
WHEREAS, the Director of Engineering and Public Works recommends that the
contracts be cancelled and that the letters of credit be released to GNT Associates, LC for the
-2-
A RESOLUTION:
RESCINDING RESOLUTIONS #2003-84 AND #2005-127,
CANCELLING THE AUTHORIZATION OF A CONTRACT, AND
RELEASING LETTERS OF CREDIT FROM GNT ASSOCIATES, LC
FOR THE STAR PONTIAC BUICK, GMC BUILDING EXPANSION,
AND THE STAR PONTIAC GMC, BUICK STORM SEWER
IMPROVEMENTS
Star Pontiac, GMC, Buick Storm Sewer Improvements and the Star Pontiac, Buick, GMC
Building Expansion.
THEREFORE, RESOLVED by the Council of the Town of Leesburg in Virginia as
follows:
SECTION I. Resolutions #2003-84 and #2005-127 are hereby rescinded.
SECTION II. The contracts for public improvements with GNT Associates, LC, for the
improvements shown on plans approved by the Director of Engineering an~ Public Works Star
Pontiac, GMC, Buick Storm Sewer Improvements and the Star Pontiac, Buick, GMC Building
Expansion are hereby cancelled.
SECTION ill. The letter of credit from the Wachovia Bank in the amount of $26,648.00;
and the letter of credit from the Middleburg Bank in the amount ofS33,000.00 prO-videdby GNT
Associates, LC as security to guarantee the installation of the public improvements shown on
plans approved by the Director of Engineering and Public Works for the Star Pontiac, GMC,
Buick Storm Sewer Improvements and the Star Pontiac, Buick, GMC Building Expansion are
hereby released:
PASSEDtlUs nth day of June 2006.
~t~~
Kristen C. Umstattd, Mayor
Town of Lees burg
R06:Star Pontiac Rescind 2003-84 & 2005-127