HomeMy WebLinkAbout2003 10 13 Regular 501 Settlement Agreement Centex Homes
101303_COMM_Regular_501 _Centex_S aettlement_Agreement
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COMMISSION AGENDA
ITEM 501
October 13, 2003
Regular Meeting
REQUEST:
Consent
Informational
Public Hearing
Regular X
1 L~
Mgr. / Dept.
Authorization
The City Manager requesting the Commission to approve the terms of a Settlement
Agreement with Centex Homes related to the improper cutting of trees on the Centex
Heritage Park project, authorize the City Attorney to memorialize the terms in an
agreement, and authorize the City Manager to execute the agreement on behalf of the
Commission.
PURPOSE:
This Agenda Item is needed to comply with a Commission directive for the City Manager
and City Attorney to attempt to work out a Settlement Agreement with Centex Homes for
the improper cutting of trees on the Heritage Park project site.
CONSIDERATIONS:
On March 11, 2002 the City entered into a development agreement with Centex for
Centex to develop Heritage Park. The agreement provides for the preservation of 527
trees on site. On May 12, 2003 the Commission authorized the City Manager and City
Attorney to negotiate a settlement agreement related to what the City believes was the
cutting of 344 trees on the site in violation of the development agreement.
Centex claims that the improper cutting of the 344 trees resulted from a flawed set of
landscape plans which both the City and the developer relied upon. That resulted in the
cutting of 344 mature trees that should have been preserved according to the plans. Also,
the City noted several incidents of improper tree preservation techniques that violated the
development agreement between the City and Centex.
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The City desired two actions on the part of Centex to properly compensate the Public for
the loss of trees, and to cure the default in the agreement.
1) A revised landscape plan providing for the replacement of the 344 trees.
2) A $100,000 donation to a worthy project in the City.
The $100,000 donation to a worthy project in the City is based upon two points as
follows:
1. The Public suffered a loss of 344 "mature" trees that took many years to grow
to maturity.
2. The replacement of these mature trees with an equal number of small replacement
trees that will require many years of growth to reach the level of maturity of the
trees that were cut does not constitute adequate compensation to the Public for the
loss that was inflicted upon the Public by Centex's flawed plans. Therefore, in
staff's opinion the replacement of the trees alone does not constitute a proper
level of compensation to the Public for the loss of mature trees, nor therefore an
appropriate cure of Centex's default in the development agreement.
Consequently, during negotiations, the City demanded a revised landscape plan replacing
the 344 trees, and the additional $100,000 contribution to a worthy City project in order
to make the Public whole and to cure the default. Centex asserted that the worthy project
would have to benefit Centex properties in the City. The City offered that this could be
accomplished by Centex making a $100,000 donation to landscape enhancements on the
medians on State Road 434 that would extend from Tuskawilla Road to State Road 419.
This would result in landscape improvements in front of both Heritage Park and
Parkstone, both Centex projects. The City developed a preliminary median improvement
plan that would cost an estimated $100,000 to implement.
In additional discussions the City and Centex have come to a mutual agreement that involves the
following:
Centex Agrees to the Following:
1. To implement the original landscape plan developed by Daly Design Group.
2. To implement an enhanced plan to the Daly plan developed by the City staff that
would result in the replacement of the 344 trees provided for in the original plan
approved by the City.
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3. To make a $100,000 cash contribution to the City for enhanced landscaping of the
S.R. 434 median from Tuskawilla Road to S.R. 419.
4. Hire a code competent coordinator to review construction and to coordinate requests
for inspection.
5. To pay the Public Buildings Impact Fee the City is currently developing if the
Commission decides to approve the impact fee.
City Agrees to the Following:
1. To allow the installation of all electrical meters on the common exterior walls located
at the ends of each building provided that a main cut off is located in the electrical
system of each individual unit.
2. To allow the location of all air conditioner condensing units not less than five-feet
from the common walls located at the ends of each building provided the condensing
units are screened with a decorative P.V.C. type fence and plant material.
3. To provide a Master Plan approved for the three types of building units that will be
constructed in the development provided that no customization will occur after
approval.
4. To expedite plan review and inspection as much as possible.
5. To have apre-construction meeting with Centex staff to cover construction and
inspection issues.
6. To expedite recording of the plat.
7. To allow installation of the landscape plans to begin immediately.
RECOMMENDATIONS:
It is recommended that the City Commission approve the terms of the Settlement Agreement,
authorize the City Attorney to memorialize the terms in an agreement, and authorize the City
Manager to execute the agreement on behalf of the Commission.
ATTACHMENTS:
COMMISSION ACTION: