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City of Centerville September 24, 2003 Council Meeting Minutes Ms. Marty indicated that the waiver in the developer's contract waived the right to appeal for all three phases. City Attorney Hoeft indicated that the situation before Council is that the development contract is asking the City to put in improvements under the 429 process and part of the question is if the City chooses not to do that, the developer may have some costs involved in that. He then said that it needs to be worked out how the improvements are put in and who pays for it. Council Member Broussard Vickers indicated she did not think that signing the waiver posed a significant financial risk to the developer. Ms. Marty indicated she disagreed because the original estimate was for all three phases and when the bids were agreed to for Phases I and II, the developer was not consulted and those bids came in higher than the estimates and the developer has had no control over that and it does not seem like the developer is responsible for accepting a bid that was that much higher than the estimate. Council Member Broussard Vickers indicated that if that is the case, the City could withdraw the offer of 429 and the developer could find his own people to do the work. City Attorney Hoeft indicated that the court would need to make the determination that the assessed amount is equal to the benefit to the property. He then said that looking at the number of lots and having an idea of the sales price he feels there is no significant issue because he feels the City can prove the benefit to the property is there, but there would be costs to do so. Ms. Marty indicated that they have not had any involvement in how the numbers came in and to put them in a position of paying for that does not seem right. She then commented that if the City wants to talk about litigation expenses they could finish out the project and see whether it is worth Ground Development going forward with a challenge for the amount over the $1.8 waiver or we could litigate now over whether or not the City has the contractual obligation to go ahead with the 429. She then said she would rather go on the friendly basis of going forward and seeing if there is a need for further litigation down the road. Council Member Broussard Vickers indicated that if the developer is not willing to agree to a waiver she will make a motion to table approval of the agreement to allow time for consideration as to whether the City is interested in sponsoring the development through the 429 process without that waiver. Motion bv Council Member Broussard Vickers. seconded bv Council Member CaDra to table this matter. All in favor. Motion carried unanimously. Page 8 ofl4