Title
Tramonto Development LLC Final Reimbursement Agreement (Ordinance S-46302)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with Tramonto Development, LLC that establishes terms and conditions to accompany a final reimbursement payment, and further authorize the City Controller to disburse funds in accordance with said agreement in an amount not to exceed $371,479.42.
Report
Summary
Tramonto Development, LLC (TD) entered into the Corridor Infrastructure Group Development Agreement 87015 dated Dec. 13, 1999. In accordance with Section 19 of the agreement, TD is entitled to receive reimbursement in the amount of the difference in water impact fee credit granted to TD for water infrastructure contributions and the water impact fees payable within the Tramonto development area. No other party to the agreement is eligible to receive reimbursement. To date, two such reimbursements totaling $3,238,291 have been remitted to TD. Since it has taken more than 20 years to build-out Tramonto and fully utilize the water impact fee credit, TD is now requesting a final reimbursement payment in an amount equal to the unutilized and uncommitted water impact fee credit; which was estimated at $371,479.42 as of June 5, 2019.
Financial Impact
The total reimbursement amount will not exceed $371,479.42. Adequate funds are available in the Water Services Department, Northern Water Impact Fee Funds (0768, 2680, 3061).
Location
Generally located north of Jomax Road and Central Arizona Project canal.
Council Districts: 1 and 2
Department
Responsible Department
This item is submitted by Deputy City Managers Karen Peters and Mario Paniagua, and the Water Services and the Planning and Development departments.