Steamboat Springs Hayden and Robinson Construction have agreed that both will put money toward repairs in the Lake Village subdivision.
The town will put $60,000 in escrow, and Robinson will get a $100,000 bond to guarantee the work. Hayden's money will come from a $502,000 letter of credit the developers got from Vectra Bank in the planning process, Town Manager Russ Martin said.
The town will use whatever money is left after legal fees to help pay for a makeover of Poplar Street. That work was part of the initial off-site improvement agreement with developers, Martin said.
Oregon-based Robinson Construction will provide a new bond worth $100,000 to make sure the work is done to town specifications. Escrow is something of value put in the care of a third party and not delivered until certain conditions are fulfilled.
"It's kind of a restart button, and this is the button we pushed," Martin said.
Martin said he was satisfied with the arrangement, and Robinson Project Executive Kirk Moisan said the same.
"I think it all worked out just great," Moisan said.
Moisan said Friday that Robinson crews were on their way to Hayden. He expected work to start Monday at the subdivision in southern Hayden. The fixes should take four to six weeks, Moisan said.
According to the agreement, Robinson must:
- install handicap-accessible pedestrian ramps
- fix a sagging sewer line
- complete park amenities such as mounds, an irrigation system, a soft-surface path, a sidewalk, trees and seeding in accordance with June 2006 plans
- complete additional corrections presented in a study in May from Landmark Consultants and town staff members
The company won't be responsible for building sidewalks, driveways, trails, landscaping or other items not in the agreement. After the improvements are made and the town approves them, it will release the money from escrow.
The subdivision off Routt County Road 53 has been tangled in liens and legal problems since 2007. Robinson Construction, which isn't affiliated with RN Robinson & Son of Hayden, was responsible for the neighborhood's infrastructure work that is in need of repair or replacement.
Martin said the repairs wouldn't necessarily make the subdivision livable. People will be able to get building permits once the work is finished, but they can't get certificates of occupancy. That's because each house will need a sidewalk, and the roads at Lake Village will need a lift, likely another layer of asphalt, to be flush with the curb.
A new developer or a homeowners group probably would be expected to pay for the lifts, as well as a concrete trail required in the development. Mountain Adventure Property Investments, which owned the subdivision, is in Chapter 7 bankruptcy. A state trustee has been charged with selling off assets to pay creditors.
This deal between the town and Robinson could clear the air for a new owner, Martin said. Some lots were sold, but owners have been unable to build on them because of legal issues.
Martin said he thought the issues were 90 to 95 percent resolved. He's happy with the way the town was able to work through the problems.
"If there's light at the end of the tunnel, we can certainly see it now," Martin said.