HomeMy WebLinkAboutCRPS-10-151- Lyndale Pumping StationJ
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Date of Meeting:
Submitted By:
Prepared By:
Ward(s) Involved:
Date of Report:
Report No.:
Subject:
September 20, 2010
Dan Chapman, General Manager of Financial Services
Steven Ross, LL.B., Assistant City Solicitor
Binu J. Korah, P.Eng, Manager of Development Engineering
Ward 2
September 13, 2010
CRPS -10-151
GRAND RIVER SOUTH PUMPING STATION -CREDIT FOR
SERVICE RECONCILIATION
RECOMMENDATION:
THAT the Mayor and Clerk be authorized to execute an Amending Agreement regarding
the construction of the Grand River South Pumping in a form approved by the City
Solicitor, whereby the parties acknowledge that the total actual eligible costs paid by
Lyndale Estates Limited is $5,659,339.42;
AND FURTHER THAT the City of Kitchener provide payment in the amount of $38,116.17
to Lyndale Estates Limited representing the total actual eligible amount incurred by
Lyndale Estates Limited in excess of the amount stipulated in the original agreement
between the parties dating back to 2004.
BACKGROUND:
The City and the developer Lyndale Estates Limited, (formerly Lyndale Estates Inc. and Lyndale
South Developments Limited) entered into an Agreement on or about April 26, 2004 (the "2004
Agreement") which provided for the funding of construction of the Grand River South Pumping
Station by Lyndale and reimbursement of Lyndale through development charge credits, an
annual payment and payment of development charge credits collected in respect of the
development of abutting lands.
Lyndale has paid the sum of $5,172,761.11 towards the total costs of design and construction of
the pumping station. In addition, Lyndale constructed other works and other infrastructure for
which it is eligible to receive development charge credits, valued in the amount of $486,578.31.
These two amounts provide a total credit for service value of $5,659,339.42. The amount of the
credit for service stipulated in the 2004 Agreement is $5,621,223.25 Therefore, the amount
owed to Lyndale by the City of Kitchener on final reconciliation is $38,116.17.
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Committee of the Whole
For ease of accounting, staff is recommending that a one time payment of this amount be made
to Lyndale out of the Development Charges Reserve Fund. The City will continue to apply the
development charge credits owing to Lyndale to applicable development charges payable at the
date of building permit issuance for lots within the plans of subdivision in accordance with the
Agreement and the City's standard Development Charge policy and practice relating to
development charge credits up to the amount stipulated in the Agreement dated April 26, 2004,
being $5,621,223.25.
FINANCIAL IMPLICATIONS:
The $38,116.17 payment to Lyndale will be made from the Sanitary Sewer service area within
the Development Charges Reserve Fund.
ATTACHMENTS:
none
ACKNOWLEDGED BY: Dan Chapman, General Manager of Financial Services
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