Summary This item is before the City Commission to correct deficiencies in the infrastructure and other work performed by the developers of the Heritage Oaks Subdivision.
A brief background for this item is as follows: The subsequent developer (“JGC Land Development, LLC” herein, “JGC”) for Phase 1 of the Heritage Oaks Subdivision defaulted under the “First Amendment to Subdividers Agreement” prior to the completion and correction of the infrastructure and other improvements for the subdivision. The City, therefore, made demand on the Irrevocable Letter of Credit provided to the City for the completion of these activities. JGC then filed two separate lawsuits against the City contesting the City’s rights to the money from the Letter of Credit. After the City prevailed on both lawsuits, the City staff embarked on reviewing the condition of the Heritage Oaks Subdivision, retaining experts needed to quantify the deficiencies existing in the subdivision, and determining the parties needed to facilitate corrective measures. Due to the numerous complications presented by this situation, including ongoing litigation with the original developer of Phase 1, Attorney David Theriaque, who is also handling the ongoing litigation with the original developer, was retained to represent the City in resolving this situation and facilitating the feasible corrective measures. The corrective measures were agreed upon and established by a Memorandum of Understanding (MOU) between the City, the Heritage Oaks Property Owners’ Association, Inc., Duration Builders, Inc., and Heritage Common Properties, Inc.
The City engaged the engineering firm Causseaux, Hewett & Walpole to develop construction documents to remediate the stormwater deficiencies in the subdivision. The City issued a Request for Bids (RFB 2015-08) in late 2015 and did not receive any responses that qualified. The City re-issued the Request for Bids (RFB 2015-08-R) with the same result. Therefore, the City began negotiations with Concept Construction of N. FL, as allowed by the City's Purchasing and Sales Policy and Regulations when no bids are received.
The results of the negotiations provided for the remediation of the Phase 1 stormwater to be completed at a cost of $574,593.42.
The Administration recommends moving forward with entering into a contract with Concept Construction of N. FL for the remediation work. | | |