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HomeMy WebLinkAboutIR 9320INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9320 To the Mayor and Members of the City Council November 9, 2010 dtg Page 1 of 1 SUBJECT: AMENDMENT TO THE COMMUNITY FACILITIES AGREEMENT WITH WATERVIEW ESTATES, LP (WATERFRONT AT ENCHANTED BAY) TO EXTEND THE CURRENT COMPLETION DEADLINE TO DECEMBER 31, 2014 The purpose of this Informal Report is to inform City Council of an amendment request related to Enhanced Community Facilities Agreement Contract # 33575 with Waterview Estates, LP project known as "Waterfront at Enchanted Bay." On March 10, 2009, the City Council authorized the City Manager to execute Amendment No. 2 to the Enhanced Community Facilities Agreement (ECFA) with Waterview Estates, LP. Under Amendment No. 2 the City would forgo its right to terminate the ECFA if the Developer did not substantially complete 60 single - family homes by June 2, 2009. All other terms of the agreement remained intact, including the continuing right of the City to terminate the CFA if 150 single - family homes were not substantially completed by June 2, 2011. In October of 2010, Waterview Estates, LP approached the City to request an additional extension of the completion deadline in order to meet agreement commitments. The economic downturn has had several negative impacts on the ability to complete of the project within the required time frame. The original home builder on the project filed for bankruptcy as a result of the slow down in home sales, additionally the development suffered from the frequent theft of construction materials once the project slowdown occurred. These issues have created an obstacle for the developer in securing a new home builder for the project. Consequently, the developer is considering gating off the subdivision and making the streets private in order to make the development more secure. This option is currently being discussed with existing homeowners. The time extension being requested is to allow this process to be completed so that a new builder can be secured. The Developer has built thirty-one (31) homes and is preparing to aggressively initiate the new building program to finish Phase One of the development. The request calls for an amendment to the existing community facilities agreement to extend the completion deadline to December 31, 2014. All other terms and conditions of the agreement would remain in effect. This new schedule would require approximately thirty-six (36) houses a year to be completed in order to receive the full ECFA funding. Staff will bring forward an M&C on the November 16"' Council to authorize Amendment No. 3 to the Enhanced Community Facility Agreement with Waterview Estates, LP L Dale A. Fisseler, P City Manager ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS