2003-12-23 CC Packet - Laserfiche WebLink

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"or- Ie STAFF REPORT CENTERVILLE CITY COUNClL Date: December 23, 2003 To: Honorable Mayor and City Council Members Ms. Kim Moore-Sykes, City AclmiDi~tor From: Ellen PauJseth, Finance Director ~ Re: Hunters Crossing Phase I *...*****.*.*****..****.*.**..*.**.....***.***.*......*..******.******** Mr. Richard Carlson has requested return of the $7,000 escrow that was paid under condition of the Hunters Crossing Phase I Development Contract executed in the year 2000. Bond proceeds for the project were received in November of the year 2000. The final payment to the contractor, Northdale Construction, for the public improvements was approved and paid in November of2oo2. The final payment to the city engineering firm for engineering connected with the project was paid in May of2oo3. Copies of both invoices are attached. City staff is requesting that Council adopt contract language that would more clearly define.the point at which escrow funds can be returned. For developments in which the developer has utilized the MS. Chapter 429 process, it would seem that escrow could be returned at the time bond proceeds are received, unless Council desires otherwise. For developments in which the developer is financing his own improvements, final inspection may be the appropriate time. We do not think that it is the intent of Council to maintain escrow until the warranty period expires, but the development contracts have not been specific as to when the escrow funds should be returned. In addition, there are funds in the amount of$35,908.51, consisting of excess bond proceeds and interest income, remaining in the capital project account. This amount should. be transferred to the debt service fund to assist in paying off the bonds. It should not be used for warranty issues.