HomeMy WebLinkAboutBond Release RequestWAYNE L. ALLEN
ASSISTANT VICE-PRESIDENT
CORPORATE COUNSEL
General Development Corporation
EXECUTIVE OFFICES • IIII SOUTH BAYSHORE DRIVE • MIAMI, FLORIDA 33131 • TELEPHONE (305) 350-1231
March 5, 1975
The Honorable F. Eugene Cragg
Mayor, City of Sebastian
644 Dempsey Avenue
Sebastian, Florida
Dear Mayor Cragg:
Re: Release of Corporate
Performance Bond
This letter is to request that the City of
Sebastian release the Corporate Performance Bond
which we have previously posted with the City of
Sebastian. This bond, dated January 27, 1964 is
in the amount of $1,864,594.00.
Attached is a proposed Resolution and support-
ing documents for this request. Our request is based
upon the fact that we have duplicate bonding. When
the surety bonds were released and the corporate bonds
were posted in 1970, the 1964 corporate bond was apparent-
ly overlooked and not released.
Enclosed also is a draft agreement for consideration
regarding a program we are proposing for a continuing
program of street completions and acceptance.
We would appreciate the City taking action upon this
request at its earliest convenience. Thank you.
Sincerely,
WAYNE L. ALLEN
WLA:da
encls.
cc: Messrs. Avella, Bluem, Crump, Doheny, Flagg
RESOLUTION
CITY COUNCIL
CITY OF SEBASTIAN
SEBASTIAN, FLORIDA
RELEASE OF CORPORATE BOND OF
GENERAL DEVELOPMENT CORPORATION
WHEREAS, General Development Corporation has requested
the City Council to release its corporate bond, dated
January 27, 1964, in the amount of $1,864,594.00, which
bond assured the construction of streets within the
City of Sebastian in accordance with its subdivision
regulations, and
WHEREAS, General Development Corporation in 1970
posted corporate bonds for the roads remaining to be
constructed within platted units bonded by the 1964 bond,
while simultaneously obtaining the release of certain surety
bonds posted.
NOW, THEREFORE, be it resolved by the City Council of
the City of Sebastian, Florida that:
The corporate bond of General Development Corporation
dated January 27, 1964, in the amount of $1,864,594.00
is hereby released and any obligation of General Development
Corporation arising therefrom to the City of Sebastian
is no longer of any force or effect.
Dated this day of March, 1975
Attest:
Clerk Mayor,
City of Sebastian
PEI,11011%1MA_�CE L'OND • .. v
r T n � r rrrti •
. ,. I:1\Uti� r�Ll� i,-ZL\ by T�i1�aE
That GENERAL DEVELOMMENT COIZPOI,tiATION, a Delaware Corporation
authorized to transact business in the State of Florida, ( hereinafter called the
".Principal") is held and firmly bound unto the City of Sebastian, Indian River
County, a municipal corporation existing under the laws of the State of Florida,
in the penal sum of ONE MILLION EIGHT HUNDRED SIXTY FOUR THOUSAND
FIVE .HUNDRED NINETY FOUR DOLLARS ($1, 864, 594, 00) for the. payment of
which it binds itself, its.successors and assigns firmly by these presents.
THE CONDITION OF THE ABOVE OBLIGATION is such that whereas the
Principal has platted portions of Sections 1, 11, 12, 13,. 14, 23 and 24, Township
31 South, Range 38 East, and portions of Sections 17 and 18, Township 31 South,
Range 39 East, Indian River County, Florida, into a Subdivision known as
SEBASTL•4N HIGHLANDS, UNITS 1 thru 6 and 8 thru 10, according to the plats
thereof recorded as follows:
Plat Designation Plat Book Pages
Sebastian Highlands 5 14 and 15
Sebastian Highlands, Unit 2 5 34 thru 37
Replat of Portions of Sebastian
Highlands, Unit 2 - Page 3 6 88, 88A and 88B
Replat of Portions of Sebastian
Highlands, Unit 2 - Page 3 6 87, 87A and °7D
Replat of Collier Creek Sebastian
• Highlands, Unit 2 - Page 4 . 6 89
Replat of Portions of Seba.s.tian
Highlands, Unit 2 Page 4 6 89A, 89B and 90
Sebastian Highlands, Unit 3 5 99
• Sebastian Highlands; -Unit :4' 5 1170 and 101
Sebastian Highlands, Unit 5 5 102 and 103
Sebastian Hilmlands, Unit 6 5 9� thiu 97
Sebastian Hi ;hlands, Unit 8 6 9 thru 1.1
Sebastian Highlands Unit 9 6 36 and 36.i
Replat of Portions of Sebastian
Highlands, Unit 9 7 2
Sebastian IIi :hl ands Unit 10 6 37, 37"A" thru 37 "O"
G
' 9
of the public x-ccord:, o' Adian River C,oiinty, Florida: ithe plats of saiLi sub-
divisions show streets
and drainage canals thereon,
and the Principal
has agreed
that it will grade and pave the streets and complete
such canals as
are shown on said
plats of the aforedescribed property and other improvements and all othcr.requiremcntl
in accordance with the specifications of the City of Sebastian, and approved by the .City
Engineer.
NOW, THEREFORE, if the Principal shall within ten (10) years from the
date hereof, grade and pave the streets and complete such canals as are shown on
said plats and other improvements thereof, which abut the aforedescribed property,
in accordance with the specifications and requirements of the City of Sebastian, Florid:
then this obligation shall be void; otherwise, the
and approved by its City Engineer;
' rt�ain in full force and effect. until such work is completed. ,All improve-
! same shall re.
mints and work shall be in accordance with the City of Sebastian's Subdivision
Ordinance, known as Ordinance No. 179, and any other ordinances adopted relating
thereto.
tion of the Principal shall diminish in
It is expressly understood the obliga
ti. I
proportion to the ation of the
_e
' mounts expended from time to time toward the comp
h ,it i
improvements for whics; obligated hereunder; and that by its approval and
t acceptance of this Bond, ahe City of Sebastian, Florida, agrees to acknowledge fro...
t.
i time to time,. in writing, the reduction of the? total sum of this obligation according
work has been completed.
to the extent such
IN WITNESS WHEREOF, the Principal has caused these presents to be
' executed by its proper officers and its corporate seal to be affixed hereto, all of
'1 . day of January, 196:
' which has been done at Aliami, Dade County, Florida, this ° w'
' COT'PORATT
'(Cor.u. Seal)
. i
The foregoing Fond is hereby approved
f da of
and accepted Y R
1961 by the duly constituted zuthority for
the City of Sebastian, Florida
cit3F Clerk �
GENERAL DEVELOPI•IZIN 1 •-
Y
Attest:
esident
Asst Secretary
PL;RI'OIZMANCE BOND
KNOW ALL MEN BY THESE PRESENTS:
That GENERAL DEVELOPMENT CORPORATION, a Delaware corporation
authorized to transact business in the State of Florida, (herein-
after called the "Principal") is held and firmly bound unto the
City of Sebastian, Indian River County, a municipal corporation
existing under the laws of the State of Florida, in the penal sum
of THREE HUNDRED EIGHTEEN THOUSAND FIVE HUNDRED THIRTY-NINE DOLLARS
($318,539.00) for the payment of which it binds itself, its suc-
cessors and assigns firmly by these presents:
THE CONDITION OF THE ABOVE OBLIGATION is such that whereas
the Principal has platted portions of Sections 1, 11, 12, 13, 14,
23 and 24, Township 31 South, Range 38 East, and portions of Sections
'17 and.18, Township 31 South, Range 39 East, Indian River County,
Florida, into Subdivisions known as Sebastian Highlands according to
the plats thereof recorded as follows:
Plat Designation
Plat Book
Pages
Sebastian
Highlands,
Unit
2
5.
34 and
37
Sebastian
Highlands,
Unit
3
5
99
Sebastian
Highlands,
Unit
4
5
100 and
101
Sebastian
Highlands,
Unit
5
5
102 and
103
Sebastian
Highlands,
Unit
6
5
93 thru
97
Sebastian
Highlands,
Unit
8
6
9 thru
14
Sebastian
Highlands,
Unit
9
6
36 and
36A
Sebastian Highlands, Unit 10 6 37, 37"A" thru 37"0"
in the public records of Indian River County, Florida; the plats of
said subdivisions show streets and drainage canals thereon, and the
Principal hereby agrees that it will grade and pave the streets
and complete such canals as are shown on said plats of the afore-
described property in accordance with the specifications of the
City of Sebastian on the date hereof.
NOW, THEIRE`FORE, if the Principal shall within four (4) years
from the date hereof, grade and pave the streets and complete such
canals as are shown on said plats which abut the aforesaid property
as agreed, then this obligation shall be void; otherwise, the
same shall remain in full force and effect until such work is
completed.
It is expressly understood the obligation of the Principal.shall
with respect to each individual subdivision unit, be in the amount
reflected as "Bond Amount" on the attached schedule "A" and that
such amounts shall diminish in proportion to the amounts expended
from time to time toward the completion of the improvements for which
it obligated hereunder; and that by its approval and acceptance
of this Bond, the City of Sebastian, Florida, agrees to acknowledge
from time to time, in writing, the reduction of the total sum of
this obligation according to the extent such work has been completed.
IN WITNESS WHEREOF, the Principal has caused these presents
to be executed by its proper officers and its corporate seal to be
affixed hereto, all of which has been done at Miami, Dade County,
Florida, this day of 1970.
(SEAL) GENERAL DEVELOPMENT CORPORATION
THE FOREGOING BOND IS HEREBY
APPROVED AND ACCEPTED THIS
DAY OF , 1970
CITY OF SEBASTIAN, FLORIDA
BY
Mayor
ATTEST
Clerk
BY
ATTEST
2
President
Secretary
SCHEDULE "A"
SEBASTIAN HIGHLANDS
SUBDIVISION
Plat Designation
Bond Amount
Sebastian
Highlands,
Unit
2
14,376.
Sebastian
Highlands,
Unit
3
24,000.
Sebastian
Highlands,
Unit
4
21,600.
Sebastian
Highlands,
Unit
5
15,200.
Sebastian
Highlands,
Unit
6
19,950.
Sebastian
Highlands,
Unit
8
71,874.
Sebastian
Highlands,
Unit
9
2,789.
Sebastian
Highlands,
Unit
10
148,750.
TOTAL $318,539.
A G R E E M E N T
THIS AGREEMENT, entered into this day of
March, 1975, between GENERAL DEVELOPMENT CORPORATION, a
Delaware corporation, authorized to do business in the
State of Florida, hereinafter called "General", and
the City of Sebastian, a municipality under the laws of
the State of Florida, and hereinafter called "City".
WITNESSETH:
WHEREAS, General has recorded in the Official Records
of Indian River County, plats subdividing lands within City
and,
WHEREAS, General has posted as security for the construction
of roads and drainage facilities as shown on said plats, corporate
performance bonds, and,
WHEREAS, General has completed construction, or will
complete in accordance with this agreement, roads and drainage
facilities as shown on said plats, and,
WHEREAS, said roads and drainage facilities must be
constructed in accordance with the ordinances in effect at
the time of acceptance by the City, of the plats which were
duly recorded by General, and,
THEREFORE, the parties do hereby agree as follows:
1. General shall complete construction of all roads and
drainage facilities in the recorded plats of Sebastian Highlands
Units One through Seventeen, as recorded in the Official Records
of Indian River County, which roads and drainage facilities
were not previously constructed and accepted by the City of
Sebastian.
2. General shall complete construction of said roads
and drainage Facilities in accordance with the requirements of
the ordinances of City in effect at the date of acceptance
by the City of the plats, and the requirements of said ordinances
shall be the standards applied by the City and its engineer
in accepting the roads and drainage facilities so constructed.
3. General shall complete all roads and drainage
facilities in the aforesaid plats on a phased basis, submitting
to the City for acceptance, said roads on a continuing and
regular basis until all roads and drainage facilities are
completed.
4. City will require its engineer to inspect said roads
and drainage facilities as they are tendered by General and within
30 days of their being tendered by General, the engineer shall
report to General, in writing, any discrepancies which he finds.
General shall then correct said discrepancies and shall re-
submit for final approval to the City the completed roads and
drainage facilities.
5. Upon acceptance of the aforesaid roads by the City,
the City Commission shall pass an appropriate resolution accept-
ing the construction of said roads and releasing therefrom all
bonds heretofore posted with City by General, in full or portions
thereof, in amounts equal to the amount of construction work
originally bonded and herewith accepted.
6. Simultaneously with the passage of the aforesaid
resolution by City, General shall post with City a maintenance
bond in an amount not in excess of $200.00 per mile for all
roads and drainage facilities which are released from the
construction bonds. The maintenance bonds shall guarantee the
performance of maintenance by General on the roads accepted
by City for a maximum period of three (3) years from the date
of said acceptance of construction, after which time said
maintenance bonds shall automatically expire by their own terms
and City shall assume full responsibility for maintenance of all
the roads and drainage facilities covered by said bonds.
7. General, by entering into this agreement, hereby
acknowledges that it relinquishes and waives all rights and
protection of any ordinances or regulations of City which
set a shorter period of time for required maintenance by the
developer.
8. General during the three year maintenance period
shall mow all the swales in the drainage facilities, repair
all holes which might develop in the pavement of the roads
and shall apply a herbicide to kill all vegetation which
would interfere with the proper operation of the drainage
facilities or would cause deterioration of the roads which
have been constructed.
9. It is the intent of the parties that the aforesaid
program shall be a continuing program between the parties
which shall be carried out in good faith and without undue
delay by either party.
10. It is an express condition of this agreement that
it shall be legally binding upon the parties and specifically
enforceable in the Courts of the State of Florida.
Entered into this day of
March, 1975.
Executed on behalf of the City of Sebastian in accordance
with a resolution passed by majority vote of the City Commission
at its meeting on March, 1975.
ATTEST:
CLERK
ATTEST:
WAYNE L. ALLEN
ASSISTANT SECRETARY
F. EUGENE CRAGG
MAYOR, CITY OF SEBASTIAN
C. C. CRUMP, SR. VICE-PRES.
GENERAL DEVELOPMENT CORP.