Reso 2008-1222 - Laserfiche WebLink

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The Honorable City Commission February 21, 2008 Page 2 E. Within 60 days notice by the City, the developer will underground all utilities or pay the City its pro-rata share to do so. Based on our discussion with the developers and their representatives, I believe items C, D, and E are acceptable. However, there was a concern that the time extensions and amount of partial payment to receive the extension were not in sync with the development community's perspective of a reasonable transaction. Current Status During the next five (5) years, our capital revenues from bonuses and TORs are estimated to be $21. 7 Million Dollars. If we do not receive a preponderance of this funding, we will either have to slow down our aggressive capital campaign, or find alternative funding sources to continue these projects. From a developer's perspective, they are cognizant that the makeup of a City Commission changes. Thus a variance for a development that was granted in 2006 may not be viewed as favorably in 2009 or 2010. Additionally, zoning regulations may change, which could have the potential of downsizing density, compared to what is currently allowed. It may also be easier to sell condominium units for a project that has site plan approval, compared to one that does not. All in all, what has salience is that extending the site plan review process provides certainty that the project can be developed as originally approved. Alternative Policy for V oluntarv Time Extensions Given the above, you may wish to consider an option that would essentially double the site approval timeframe while keeping the partial payment constant. This means that a two-year extension would carry a fee of 15%, or Five Hundred Thousand Dollars ($500,000), whichever is greater. A third year extension could automatically be purchased for 15% of the balance owed City, or Two Hundred Fifty Thousand Dollars ($250,000), whichever is greater. In addition, a fourth year extension could be purchased for 7.5% of the balance owed City or Two Hundred Fifty Thousand Dollars ($250,000), whichever is greater. In all cases, the interest rate on the unpaid balance would be 7.5% annually. There are some other proposed conditions. In bullet point format, it all looks like this: A. Two-Year Extension. Fifteen percent (15%) of balance owed City, or Five Hundred Thousand Dollars ($500,000), whichever is greater. Interest rate on unpaid balance is 7.5% annually. B. Third Year Extension, if applicable. 7.5% of balance owed City, or Two Hundred Fifty Thousand Dollars ($250,000), whichever is greater. Commission - Voluntary Time Extensions lligh Rise Cond i\lcmo 2