Supervisors authorize claim on letter of credit after developer fails to pay $417 in fees

The Supervisors voted to find a developer in default and authorized the township manager to make a claim on the project's letter of credit for $417 in unpaid professional fees after the development's 18-month maintenance period ended.

Solicitor (speaker 6) told the board the Ross Farm major subdivision had successfully completed its 18-month maintenance period but that Mr. Strauss had not paid outstanding professional-services fees. "We're recommending that you find Mr. Strauss in default of the development agreement and authorize the township manager to make a claim on the letter of credit for the amount of $417," the solicitor said. The motion was seconded, there was no discussion and the board approved the action by voice vote.

According to staff, the release of the financial security guaranteeing the maintenance period had been conditioned on payment of all outstanding fees; staff said they communicated the payment requirement to the developer on Oct. 10 and had received neither payment nor communication. The board authorized the manager to proceed with a claim on the letter of credit.

The manager will report back to the board after the claim is filed; the amount involved is limited to the unpaid professional services fees noted in the staff presentation.