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Developer and board agree to bond/escrow requirement before further Smithfield Acres paving; Tyler Avenue to become public
Summary
Developer Eric Smith proposed phasing Smithfield Acres so paving occurs after multiple homes are built; the board and staff indicated a financial guarantee (bond or escrow/letter of credit) will be required to protect the town and future homeowners and supported making Tyler Avenue a public way.
Developer Eric Smith presented plans for the Smithfield Acres subdivision and asked the board to accept a change in design that makes Tyler Avenue a public way and widens a section from a 15-foot to a 20-foot paved road. Smith said he planned to develop phase one through lot 14 and postpone final paving until later phases to avoid repaving new pavement from heavy construction traffic.
Board members and staff raised concerns about the town’s exposure if development stalls after a partial pavement or if a developer or bank fails to complete work. The board discussed two mechanisms: a surety bond or an escrow/letter-of-credit held by the town or its lawyer. Several members said they preferred a bond or escrow to guarantee completion; one staffer noted prior ordinance language requiring a financial guarantee and explained the town can require an amount approved by the planning board.
The developer said he would provide cost estimates and contract details; paving contractors and bonding proposals will be submitted for the board’s review. The board discussed dust-control measures for unpaved segments during construction (water truck, calcium spread) and asked staff to document engineered inspection records (Summit Engineering is inspecting construction). Several members supported accepting Tyler Avenue as a public way once required construction and inspections are complete.
Next steps: developer to provide a paving cost estimate and bond/escrow instrument; staff will prepare conditions for allowing phased development to continue without immediate paving and will return the item to the board for formal action.
