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Developer asks board to rescind $1M-plus drawdown request for Schwartz Crossing; board hears progress update
Summary
A Schwartz Crossing representative told the board the developer misunderstood a drawdown date and asked the board to rescind a motion to draw down more than $1 million in performance guarantees. Staff and developer agreed to follow up; no rescission vote was recorded.
A representative for the Schwartz Crossing development told the Public Works and Safety Board on Sept. 3 that the developer had been surprised by a July 7 board motion to draw down more than $1 million in performance letters related to incomplete punch-list work. The developer asked the board to rescind that drawdown, saying the date for drawdown had been misinterpreted and that work on the project has progressed in phases over nearly a decade.
Ward Deep Claybolt, who identified himself as representing the Schwartz Crossing developer and gave an Indianapolis office address, presented an update on the southeast quadrant of the project and outlined site progress, ongoing on- and off-site construction and forthcoming commercial work. He said the developer now understood the drawdown timing had been misread and requested the board rescind the prior drawdown action so the developer could proceed while continuing to address punch-list items.
City staff and the developer agreed to continue the discussion and to coordinate next steps. The transcript records the request and discussion but does not show a formal rescission vote. Staff noted that the engineering division had documented punch-list items; the developer said it disagreed with some of the punch-list conclusions but also acknowledged that staff protect the city’s interest.
Why it matters: The motion on July 7 to draw down performance letters would have released funds tied to incomplete infrastructure work; rescinding or modifying that move affects the developer’s available credit and the city’s ability to require completion of infrastructure items.
Key points from the exchange
- Developer’s request: Ward Deep Claybolt said the infrastructure work at the site has advanced in two phases over many years and that recent progress is shown in the developer’s packet. He asked the board to rescind the drawdown request because the developer believed the drawdown date had been misinterpreted.
- City staff review: Deep Claybolt singled out comments in a punch-list prepared by Jeff Weaver and called the work-progress description “long winded,” but he also said he could not disagree with staff’s identification of unfinished or flawed work. Staff maintained that the punch list and the drawdown motion were intended to ensure outstanding items are completed.
- Financial scale: The developer referenced “a total of over a million dollars” in performance letters affected by the earlier motion. The board did not record a formal vote to rescind at the Sept. 3 meeting.
Board direction: The board and staff will continue to coordinate with the developer; no formal outcome was recorded during the Sept. 3 meeting. The item may return to a future agenda if the developer’s request to rescind the drawdown is formalized and if staff and the developer reach agreement on outstanding punch-list items.
Ending: The board heard the developer’s request and a status report but took no immediate formal action to rescind the July 7 drawdown; staff will continue follow-up with the developer and report back to the board.
