HomeMy WebLinkAboutDoc 287 - Extend Tetherow AgrmtDeschutes County Board of Commissioners
1300 NW Wall St., Suite 200, Bend, OR 97701-1960
(541) 388-6570 -Fax (541) 385-3202 -www.deschutes.org
AGENDA REQUEST & STAFF REPORT
For Board Business Meeting of 6/18/12
Please see directions for completing this document on the next page.
DATE: 6/5112
FROM: Will Groves. CDD 388-6518
TITLE OF AGENDA ITEM:
Consideration and Signature of Document No. 2012-287, Amending Deschutes County Contract No.
2008-237 to Extend the Tetherow Phase V Improvement Agreement for Six Months.
PUBLIC HEARING ON THIS DATE? No
BACKGROUND AND POLICY IMPLICATIONS:
The time in the original Improvement Agreement has expired for constructing the roads and utilities for
the Tetherow Phase V subdivision within the Tetherow destination resort. TD Cascade Highlands,
LLC. then submitted an Improvement Agreement (IA-08-2) related to the Phase V plat of the Tetherow
Destination Resort (CU-04-94, M-05-2, TP-06-973). This Improvement Agreement ensures that the
infrastructure, such as roads and utilities, for this phase are completed to county standards. The
financial assurance (bond) is for $2,222,744.40. The applicant, JT Smith Companies, has applied on
behalf ofTD Cascade Highlands, LLC to extend this Improvement Agreement for six months. This
provides time for the lender to foreclose on the subject property, become the new owner and then apply
for a further extension and change in the form ofthe security, which is staff's understanding is the
intention of the lender.
Attached to this agenda request is the draft amendment with the changes shown in a redline version as
is required by county procedures for amendments. Attached to that draft amendment is a proposed
form of the bond rider for the 6 months. Before the Board approves the amendment, the applicant will
provide a completed and signed rider in order for a copy to be attached to the amendment and the
original placed in the County Clerk's safe.
FISCAL IMPLICATIONS:
With this amendment, the County is choosing not to exercise its right to call on the bond and begin
building the roads and utilities in a subdivision in which no lots have been sold.
RECOMMENDATION & ACTION REQUESTED: ,
Staff recommends that the Board approve and sign Document No. 2012-287
ATTENDANCE: Will Groves, Legal
DISTRIBUTION OF DOCUMENTS:
Original to Will Groves who will work with the applicant for recording in the Clerk's records and
placing the original bond rider in the Clerk's safe
i
REVIEWED
LEGAL COUNSEL
DOCUMENT NO. 2012-287
AMENDING DESCHUTES COUNTY CONTRACT NO. 2008-237
(Amendment No.1)
THAT CERTAIN AGREEMENT, Deschutes County Contract No. 2008-237 dated May 14,2008, and recorded in
the Deschutes County Official Records at 2008-23841 by and between DESCHUTES COUNTY, a political
subdivision of the State of Oregon ("Countt) and TD Cascades Highlands, LLC, an Oregon Limited Liability
Corporation ("Owner"), is amended, effective upon signing of all parties, as set forth below. Except as provided
herein, all other provisions of the contract remain the same and in full force .
Owner certifies that the representations, warranties and certifications contained in the original Contract are true
and correct as of the effective date of this Amendment and with the same effect as though made at the time of
this Amendment.
The above listed contract is amended as follows:
3. Exhibits. The exhibits listed below and attached to the Agreement together with the new Exhibit F listed
below and attached hereto are hereby incorporated herein by reference :
3.1 . Exhibit A -Legal description of Real Property.
3.2. Exhibit B --List of Roads and Utilities Required Improvements and cost estimates -submitted by the
Owner.
3.3. Exhibit C -Deschutes County Tentative Plat approval, File No. TP-06-973.
3.4 . Exhibit D -Security -Bond No 786032S
3.5. Exhibit E -Contractor List per DCC 17.24.120(A)( 1 )
3.6 . Exhibit F -Secur ity -Bond Rider No. 786032S
5. Construction of Roads and Utilities Required Improvements.
5.1. The Roads and Utilities Required Improvements shall be installed and completed in accordance with
the plans and construction specifications related thereto and to any additional County andlor State of
Oregon specifications .
5 .2 . Owner shall promptly repair any damage to existing and new facilities, within and without the Real
Property, which occurs during installation of the Roads and Utilities Required Improvements.
PAGE 1 OF 2 -DOCUMENT NO. 2012-287, AMENDING DESCHUTES COUNTY CONTRACT NO . 2008-237
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5.3 . Owner shall cause the Required Improvement to be inspected by and receive final written
construction approval from County and/or the State of Oregon not later than lhree (3) years six (6)
months from the recording of the Tetherow Phase 5 Improvement Agreement Amendment. Deschutes
County Document No. 2012-287 Final Pial in File No . FPA 08 .1 ("Completion Daten).
OWNER: [TD Cascades Highlands, LLC]
Dated this ___of ____-'' 20_.
Authorized Signature
LENDER: [SFI Cascade Highlands, LLC, A Delaware Limited Liability CompanY]
Lender is signing in its capacity as lender to evidence its consent to this agreement.
Dated this of , 20
Authorized Signature
COUNTY:
Dated this ___of ____~, 2012 BOARD OF COUNTY COMMISSIONERS
ANTHONY DEBONE, CHAIR
ALAN UNGER, VICE CHAIR
ATIEST:
Recording Secretary TAMMY BANEY, COMMISSIONER
PAGE 2 OF 2 -DOCUMENT NO . 2012-287, AMENDING DESCHUTES COUNTY CONTRACT NO. 2008-237
INSCO INSURANCE SERVICES, INC.
Underwriting Manager for:
Developers Surety and Indemnity Company
Indemnity Company of Califomia
17780 Fitch. Suite 200 • Irvine, California 92614 • (949) 263-3300
www.lnscoDico.com
BOND RIDER
AlTACHED TO AND FORMING A PART OF:
Bond No.: 786032S
Principal: m CASCADE HIGHLANDS, LLC
Obligee: DESCHUTES COUNTY. OREGON
Surety: Developers Surety and Indemnity Company
Effective , 20 12 , it is agreed that:
(list changes here) BOND TERM IS TO BE EXTENDED FROM:
BOND TERM TO BE EXTENDED UNTIL:
Nothing herein contained shall be held to vary, waive, alter, or extend any of the terms,
conditions, agreements or warranties of the above mentioned bond, other than stated as
above. Provided, however, that the liability of the company under the attached bond as
changed by this order shall not be cumulative.
Signed this day of .20 12
Surety: DEVELOPERS SURETY AND INDEMNITY COMPANY
ANGELA PUTNAM, Attorney-in-Fact
(Producer on behalf of surety or surety representative)
Producer: Please attach POA
PRODUCER NUMBER: 320214
AGENCY: KPD INSURANCE. INC.
ADDRESS: PO BOX 784
CITY: SPRINGFIELD STATE: OR ZIP: 97477
ID-1183 (Service) (11/02)