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HomeMy WebLinkAboutItem 06 Approval of a Two-Year Warranty Surety Bond and MMW AgreementMeeting Date: November 18, 2025 Item #: 6 Contact Name: Martrivus Keaton Department Director: Contact Number: Ext. 1088 City Manager: Craig Shadrix Background Summary: The 429 Business Center Phase 2 East and West properties are located in Commission District 3, about 0.4 miles north of the intersection of Ocoee Apopka Road and West Silver Star Road. The developer has completed construction of the subdivision's infrastructure improvements and requested a Certificate of Completion. The infrastructure improvements include potable water, sanitary sewer, reclaimed water, utilities, new roadway (Corporate Park Road), stormwater collection system, ditch crossing, and associated landscaping. All identified punch list repairs have been completed, and the developer is ready to start the two- year warranty period for the public improvements. As a requirement of the Land Development Code, the developer must furnish the City with a Surety Bond to cover any possible damage discovered during the next three (3) years. Should the developer choose not to make those repairs, SFG Ocoee Owner, LP has provided the City with a Warranty Bond in the amount of $123,120.66, which is 10% of the constructed improvements cost. The attached Maintenance, Materials, and Workmanship Warrant Bond acts as the executable document between the developer and the City. The Surety will be returned to the developer upon completion of the three-year warranty period and the repair of any damages caused over those three years. Issue: Should the Honorable Mayor and City Commissioners accept the Surety bond provided by SFG Ocoee Owner, LP for the 429 Business Center Phase 2 East and West development warranty and execute the Maintenance, Materials, and Workmanship Agreement? Recommendations: The Development Services Department recommends that the Honorable Mayor and City Commissioners approve the acceptance of the Surety bond and the execution of the Maintenance, Materials, and Workmanship Agreement with SFG Ocoee Owner, LP for the 429 Business Center Phase 2 East and West development. Attachments: 1. Maintenance Bond • - j i *i ; -r •-- • Page 151 of 356 Financial Impacts: None Type of Item: Consent Page 152 of 356 Bond Number: 014263759 Received Date — Office Use Only KNOW ALL MEN BY THESE PRESENTS, that SFG Ocoee Owner, LP _ , of 3280 Peachtree Rd NE, Ste i *,f Atlanta, GA 30305 1 hereinafter referred to as "Developer' and The Ohio Casualty Insuranos Company of 175 Berkeley St , of Boston, MA 02116 Count Florida, hereinafter called "Surety", are held and firmly bound unto the City of Ocoee, Florida a municipal corporation in the State of Florida, as obligee, in the full and just sum o One Hundred Twenty -Three Thousand h One Hundred Twenty and 661100 ($123,120.W) dollars, lawful money of the United States of America, to t I WHEREAS, the Developer has developed and constructed a subdivision in the City of Ocoee, Florida, known and identified as 429 Business Center and in connection therewith has installed with the approval of the City certain roads, streets, sewers, water systems, drainage facilities (including retention and detention ponds), and/or other improvements under the provisions, conditions, and requirements of the subdivision approval granted the day of 20 by the Board of City Commissioners of the City of Ocoee, Florida. NOW THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH that if the Developer shall maintain all improvements required as a condition of the subdivision approval, including but not limited to roads and other structures, sewer and water systems, drainage facilities (including retention and detention ponds) and other public utilities, in first class condition for a period of three (3) years from the date of issuance of a Certificate of Completion, and if the Developer shall replace all paving or other structures which within said three (3) year period shall be found not to comply with said subdivision approval, and that if the Developer shall replace any other improvements, including but not limited to the sewer and water systems, drainage facilities (including retention and detention ponds), and other public utilities, the materials, workmanship, performance or structural integrity of which shall be found not to comply with said subdivision approval for a three (3) year period following issuance of the Certificate of Completion by the City and shall pay any and all costs or expenses incidental to the performance of any work required to be performed hereunder, then this obligation shall be void; otherwise to be and remain in full force and effect. FURTHERMORE, if at any time during the three (3) year period following the issuance of the Certificate of Completion the City notifies the Developer and Surety, in writing, of any deficiency or fault in the materials, workmanship, performance or structural integrity of the required improvements, including but not limited to roads and other structures, sewer and water systems, drainage facilities (including retention and detention ponds) and other public utilities, then this bond shall continue in full. force and effect until such deficiency or fault is corrected. SIGNED, SEALED, AND DATED THIS 6th DAY OF November __, 20 25 SFG Ocoee Owner, LP The Ohio Casualty Insurance Company d, Attorney-i DEVELOPER SURETY K lsyy Hoagagila , Attorney in-1:act 0 Page 153 of 356 Liberty POWER OF ATTORNEY mutu5l. Liberty Mutual Insurance Company SURETY The Ohio Casualty Insurance Company West American Insurance Company Certificate No: 8213934-014167 KNOWN ALL PERSONS BY THESE PRESENTS: That The Ohio Casualty Insurance Company is a corporation duly organized under the laws of the State of New Hampshire, that 1 ".1 NO *1 11. "*' I IN A-01011-111 W No. W-0 ow-r-im." *01 *4144191 04,402 11 1 * MIM Lyrnicutc Long, Mark A. Guidry, Melissa Ray, Michael Ocasio, Michele D. Lacrosse, Natasha Richardson, Raymond M. Hundley, Raymond Meyer litindley Jr, Ryan Briu, Suzanne Knight all of the city of Louisville state of KY each individually if there be more than one named, its true and lawful attorney -in -fact to make, eyer.ute, se2l- qi,.O deliver. for *,,-td ivt its 44Plf 2s suretv a0, 7s its,?,ct �.-id deed. any and all undertakinus, bonds, recoqnizances and other suretyribligations, in pursuance ID theretothis 29th2025 GA ej State of PENNSYLVANIA s, :3 County of MONTGOMERY Page 154 of 356 CITY OF OCOEE SIGNATURE PAGE Maintenance, Materials, and Workmanship Warrant Bond ATTEST: Melanie Sibbitt, City Clerk (SEAL) FOR USE AND RELIANCE ONLY BY THE CITY OF OCOEE, FLORIDA; APPROVED AS TO FORM AND LEGALITY this day of ,20 . FISHBACK DOMINICK M Richard Geller, City Attorney CITY: 0 Rusty Johnson, Mayor APPROVED BY THE CITY OF OCOEE COMMISSION AT A MEETING HELD ON -'20 UNDER AGENDA ITEM NO. Page 155 of 356