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HomeMy WebLinkAbout1999-12-28 Applicant Ltr to OPH Re DA Escrow PaymentKANSAS CITY FACILITIES SERVICE OFFICE 28 Dec 99 THOMAS MELENA CITY ADMINISTRATOR CITY OF OAK PARK HEIGHTS PO BOX 2007 OAK PARK HEIGHTS MN 55082 -2007 PROJECT: Oak Park Heights Carrier Annex LOCATION: Oak Park Heights, MN 55082 SUBJECT: Development Agreement Escrow Payment Dear Mr. Melena: It is my understanding that as part of the Development Agreement requested by the City of Oak Park Heights, the City has requested that the US Postal Service make payment into an escrow account, in the amount of 125 % of the total cost of proposed Plan A and Plan B Improvements, which would include a "security deposit" amounting to 25 % of the construction cost. 1 am requesting that you waive the requirement for an escrow payment. The USPS is an independent government agency with a well established reputation for delivering facilities which meet or exceed the quality and timeliness standards set by jurisdictional authorities. The USPS promises that all site improvements within its control, including required documents and fees (for work outside the property lines), will be completed within two years of the date of work commencement, said work to be in full accordance with the City of Oak Park Heights approved plans. As further assurance, the USPS requires the General Contractor to provide a Performance Bond in the amount of 100% of the construction cost, which would include all improvements covered in the Development Agreement. So, between the General Contractor's Performance Bond, and the commitment of a self- insured agency of the federal government, the City of Oak Park Heights should have all the assurance it needs that the work covered by the Development Agreement will be constructed as promised. I trust this will meet with your approval. Please feel free to contact Michael Schech, USPS Project Manager, if you have any questions or require additional information. He can be reached at (918) 281 -2489. Sincer ly, LARR STONE Ma ger FSC1 0 1: LLS: MJSchech :mjs:securitydepositwaiverl .doc cc: A -E, ASO, RES, D &C Prj File 5800 W 64TH STREET STE 100 OVERLAND PARK KS 66202 -4179 (913) 251 -2400 FAx: (913) 261-2510