File #: 24-0244    Version: 1 Name: East Ridge Drive letter of credit
Type: Resolution Status: Consent Agenda
File created: 6/27/2024 In control: City Council
On agenda: 7/9/2024 Final action: 7/9/2024
Title: Approval to release the current financial guarantee and accept an updated financial guarantee - East Ridge Drive
Attachments: 1. Irrevocable Letter of Credit.pdf

Title

Approval to release the current financial guarantee and accept an updated financial guarantee - East Ridge Drive

 

Body

SUMMARY: The property owner of 3 lots along East Ridge Drive, located off Cook Road, received approval in June 2023 to install a low-pressure sewer line. The extension will be approximately 520 feet. The property owner is wishing to have the line installed himself and must cover 100% of the cost of the project. At this time, the work has not been completed, but the letter of credit in the amount of $15,562.32 has expired. Per the City’s ordinance for mainline extension, a financial guarantee in the estimated amount is to be provided to the City for the cost of the project, and if the project is not completed within 12 months, a new letter of credit must be accepted with a 10% increase in funds. Cooper and Company plan to install the low-pressure sewer line in the near future and has provide a new letter of credit in the amount of $17,119.

 

 

Recommended Action

NECESSARY COUNCIL ACTION: release the current letter of credit and accept the new letter of credit with a 10% increase