K-5 - Partial Release of Escrow - Madden Addition

AGENDA ITEM # K-5 AGENDA INFORMATION TIFFIN CITY COUNCIL COMMUNICATION DATE: September 2, 2022 AGENDA ITEM: Discussion and Consideration of Partial Release of Escrow for Madden Addition and Council Action as Needed ACTION: Motion SYNOPSIS: In November of 2021, the City entered into an escrow agreement with the developer for Madden Addition in the amount of $252,582. With the installation of the pedestrian bridge, the developer is asking/requesting if a portion of the escrow could be released. The developer has supplied the City with an invoice and a copy of two cancelled checks that total $88,686. Normally, the City would wait until a project is completely finished before releasing any of the escrow. However, this might be considered a little different situation with the large amount of the escrow and that the project could be broken up into two phases, one being the bridge and the other being the sidewalk/trail portion. I have run this request by the City Attorney and Ben Carhoff with Hart-Fredrick (who reviewed the original escrow agreement for the total construction amount). Again, this is not something the City would normally do but with the review from the City Attorney and Ben, I would recommend releasing a portion of the escrow in the amount of $88,686 and holding the remaining amount of $163,896 until the project is completed. BUDGET ITEM: MAYOR/COUNCIL ACTION: Motion ATTACHMENTS: PREPARED BY: Doug Boldt DATE PREPARED: September 2, 2022