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Pursuant to due call and notice thereof, the City Council of the City of Centerville held a special meeting on July 13, 1988 to discuss the possibility of City installed improvements as a City policy. Mayor LrAllier called the meeting to order at 6:08 p.m. Present: Neumann, Wilharber. Absent: Burgstahler, Fritchie. John Stewart, City Engineer advised that City installed improvements would give the City more control. Council member Neumann advised that he is installed improvement to maintain quality concern that he would have was the financing. in and favor of City control. One Mayor LrAllier agreed with Neumann, expressing the same concern. Carolyn Drude, City Municipal Advisor advised that bonding for each improvement project would not effect the bondability of the City as financial guarantees such as assessments are used to cover these bonds. These assessments would be further guaranteed by a letter of credit from the developer. Drude expressed her feeling that which ever way the City were to go with this proposal, the primary concern is the safety of the City. Drude noted that the policy in one City is that for every four lots developed, 5 assessments are paid off (thus when 75% of the project is complete, 100% of the assessments are paid in full). Bill Hawkins, City Attorney advised that a letter of credit is better than a bond from the standpoint of collectability for assessments. Bonds are issued by insurance companies and letters of credit are issued by lending institutions. Developers typically pay about 1% - 3% for a letter of credit. The letter of credit would be revised each year and the developer could pay off the total assessment at any time. The correct procedure to implement City installed improvements would be for the City to adopt a uniform policy with terms and qualifications for financing. The City should not vary this policy dependent upon the size of the project. The City should keep in mind its limited resources. Council member Wilharber suggested that the contract with Maier, Stewart and Associates be reviewed to include that Maier, Stewart and Associates will have no clients in other communities which are also developing in Centerville. He further noted that City installed improvements would be the best for the City in the future. Motion by Wilharber, second motion carried unanimously. by Neumann to adjourn the meeting, Meeting adjourned 6:36 p.m. Pursuant to due call and notice thereof, the City Council of the City of Centerville held their regular meeting July 13, 1988. Mayor LrAllier called the meeting to order at 7:05 p.m. Present: Neumann, Wilharber. Absent: Burgstahler, Fritchie.