Resolution No. 85-105 CITY OF TIGARD, OREGON
RESOLUTION NO, 85--1Q15
RESOLUTION TO AUTHORIZE RELEASE OF COMMITMENT FUNDS FOR PENN LAWN ESTATES
SUBDIVISION.
WHEREAS, the City of Tigard, Oregon, has executed a Compliance AgreemenL- for
development of a subdivision known as Penn Lawn Estates Subdivision and has
accepted a Performance Bond in the form of a Letter of Commitment, (copy
attached hereto as Exhibit "A"), to assure completion of instal l.=tion of
certain public improvements therein; and,
WHEREAS, said documents provide for the City Council to authorize partial or
full release of commitment monies upon satisfactory completion of installation
of said improvements; and,
WHEREAS, the Council deems that a partial release of said monies is warranted
at this time in accord with the attached "Summary" denoted Exhibit "B",
N04d, THEREFORE, BE IT RESOLVED by the Tigard City Council that:
The City of Tigard. Oregon, hereby authorize the Mayor and City Recorder to
execute a letter providing for partial release of Commitment Monies,previously
set aside for Penn Lawn Estates Subdivision in the sum of $42,441.04 dollars.
PASSED: This �7h day of 1985.
Mayor — City of Tigard
ATYEST:
6e4putyty Recorder — City of Tigard
(3H:bsl21A8P)
RESOLUTION NO. 85— S
Page 1
MENEM= �.,-.
9
LETTER OF COMMITMENT
(Performance Bond)
We have received Ecom Washington l:ederal Savings 6 Loan AssocClending institurio
a loan commitment in the amount of $ -Ili, -29.5 S , to finance the improve mcnt
of a subdivision located in the City ofigard, said subdivision being commonly
known as Penn Lawn Estates_
This loan commitment is specifically for con
structiun purposes for: or $ 71,529.55 of the aforsaid total
commitment has been allocated for construction purposes for: (strike preceeding
inapplicable part) 1) public streets, including driveways. aprons, sidewalks,
iighaimn and curbs 2) sanitary and storm sewers 3) domestic water 4) under
ground telephone,and power and street lighting. All such improvements are
to be completed in conformity with City approved construction plans and the sub-
division compliance agreement thereinregard.
We have agreed that disbursements of the $ 7/57L'I.KS will be made in accord with the
following schedule upon completion of each, or all, item(s); but not including t
hold-back described below.
ITEM AMOUNT
Streets ( f, 40,699.85
Sanitary Sewer 6 appurtances 17,376.00
Storm Seder & appurtances 4,114.20
Water Line 5 appurtances 4,398.50
t17dk�R2'8C}W1CX��Cs
Underground Telephone S Electrical & Lighting 4,941.00
QQiE�t�C75Qt4dfi�'�Q%dt}SC�� �G{
gt> C�C6}�Z4tSQ+�
We have entered into a "Subdivision Compliance Agreement" whereby we have
agreed to install all improvements in accordance with the requirements of the
City of Tigard and we are hereby authorizing you to hold the above-stated funds
to pay them to us only when the following has been adhered to:
That the City of Tigard has provided certification
acknowledging completion of any or all work pursuant
to the above itemized schedule of improvements.
Pursuant to the above schedule, 20% of the commitment funds (i.e.. $14 305.91 >
will be held back through the normal one year guarantee period or untilf� nal
City Acceptance of the project takes place or until the City is provided with
a separate maintenance bond. effective for said one year period from the date
of Council tentative acceptance of the work, to assure continued freedom from
defects. and maintenance, during the guarantee period.
a
x
Page 2
Letter of Commitment
Concurrentwith the final release of these funds, establishment p_oceedings will
be instituted.
Itis understood and approved by all parties of concern to this letter of commitment
that the City of Tigard shall have first claim and priority to the sum of $71 529.55,
less disbursements approved by the City of Tigard, in the event of any defect s or
failure(s) to correct such in the construction of the required improvements.
It ?.... further understood and agreed that the aforsaid priority of claim is
paramount to all parties including the lending institution making the loan and
that the lending institution has covenanted and agreed that the sum of $71,529.55
less disbursements approved by the City of Tigard shall be held available to
satisfy any aformentioned claim by the City notwithstanding c;efault on loan by
borrowing party or termination of loan by lending. institution.
DATE: ALI&, a -116'11 Sincerely yours,
Arthur S sociates
by: <
Approved and Accepted:
Al I-
Mendiinstitution
BY: rs� (Attach notary information and
isle utE �2E4�ar`
signature(s) authority)
3s
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2 /
j ✓g/�Y7r'a�Y /o//-;OC/G.
s
E%F1IBT.T "B"
SUMMARY
RE: Penn Lawn Estates Subdivision; Performance ^ond Reduction Request #1.
LETTER OF CREDIT (BOND) REQUIRED HOLDBACK RELEASABLE
ITEM AMOUNT MAIrdTFNANCE* INCOM'LETE ITEM COMPLETE ITEM
Street $27,162.60 $ 5,432.52 $21,730.08
San. Sewer 17,376.00 3,475.20 13,900.80
Storm Sewer 4,114.20 822.84 i 3,291.36
i
Water Line 4,398.50 879,70 3,518.80
1
U.G. Tel/Elect. 3,191.00 $ 3,191.00
Walks/Aprons 7,875.00 i 7,875.00
I
A.C. Overly 5,662.25 5,662.25
Lighting 1,750.00 1,750.00
I '
I
TOTALS $71,529.5 $1.0,610.26 $18,478.25 $42,441.04
*Required withholding for one year guarantee period assurance.
(JH:bs/2148P)