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SEP -10 -9e 10764 AM <br /> P.01 <br /> rAX <br /> Sept. 10th, 1996 <br /> City of Centerville <br /> Att. Ry -Chel Fax #429 -W29 <br /> Re. Buechler Estates Development <br /> Dear Ry -Chel: <br /> As a follow -up to our meeting with the City Council last evening, please accept this letter <br /> as a summary of our position. We had been told that the Park and Roo fees would be $950.00 <br /> per lot for 5 lots, for a total = $4,750.00, and we reasonably relied on those statements in all of <br /> our work done up to this point. We have incurred substantial fees already in getting the project <br /> to this stage. Had we been told up front the truth about the Park and Rec Fees, we may have <br /> scrapped this project altogether, or at least would have considered developing only four lots <br /> instead of five. Instead, we were Informed of the additional fees wet] after the fact, and after <br /> considerable fees had already been spent by us. We feel that the Council is potentially being <br /> short- sighted in this matter, particularly those members that stated that they would like to see <br /> the fees set at 10% of the costs of the land. You are currently receiving next to nothing in taxes <br /> on that property, even though you have some responsibilty for maintenance. If our development <br /> was approved as we have proposed, you would not only receive $4,750.00 in Park & Rec fees, <br /> you would also have five homes paying approximately $6,000.00 per year in property taxes. <br /> The cost impact on the City of these five homes would be extremely minimal, much less than <br /> virtually any other proposed use. In short, our development, as proposed, would be a win -win <br /> situation for both us and the City. However, if the City insists on getting 10% of the costs of the <br /> and in Park and Rec fees, they will not only lose our development (we would either have to <br /> withdraw it completely or modify it), they will be discouraging other potential developers for any <br /> other areas, particularly those on the Lake. Those lands would continue to be vacant, and the <br /> City would be wasting more potential tax base. We will consider, but not commit to, a very <br /> modest increase in the fees over $950.00 per lot. Any substantial increase will kill this project, <br /> at least as it is currently designed. <br /> Our understanding of the Park & Rec fees is the same understanding as that of all of the <br /> other developers we have spoken to who have dealt with the City recently, none of them claim <br /> to have ever even heard of a potential 10% charge. Thus, we feel that we are being singled out. <br /> We will wait anxiously to hear the report on the previous five developments, to see what they <br /> were charged. Assuming that we get the report fairly quickly, we will respond at that time. <br /> However, it it becomes readily apparent that the City is going to insist on receiving 10% of the <br /> purchase price of the land in Park and Rao fees, or that this decision is going to be significantly <br /> delayed, please let us know, and we will then quickly take appropriate action. <br /> Sincerely, <br /> Carl D, Buechler <br />