1 - Village of Palatine

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TYPE: RESOLUTION SUBMITTED BY: PLANNING & ZONING DATE: 6/25/2012
DESCRIPTION: A request for draw upon the Planned Development Letter of Credit for the
development known as Palatine Hicks Road Planned Development at the northeast corner of
Baldwin and Hicks Roads.
(Bradford Real Estate - Case No. 10-83) (District: 4)
COMMITTEE ACTION:
DATE:
BACKGROUND:
On May 27,2011, the Village accepted a Letter of Credit in the amount of $100,000 to insure
the completion of the planned development. The Letter of Credit is set to expire on June 30,
2012. The development has not been completed. Therefore, the Village is seeking:
Authorization to draw on a planned development letter of credit.
ANALYSIS:
• Work remaining to be completed includes various items related to the approved plans and
conditions of the planned development.
• The bank has indicated in writing that they do not intend to extend the letter of credit. The
developer has not yet submitted a replacement security.
ALTERNATIVES:
1. Authorize the draw on the Letter of Credit.
2. Do not authorize the draw on the Letter of Credit.
RECOMMENDATION:
Staff recommends that a draw be authorized upon the letter of credit. In the event an
extension is received prior to the expiration date, the Village could refrain from calling the draw
at the bank.
ACTION REQUIRED:
Consider approval of a Resolution granting authorization to draw upon the Planned
Development Letter of Credit in its entirety to ensure the letter of credit will not expire.