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Deal gives Brunswick County developer new set of deadlines
Brunswick County and a local subdivision developer have agreed on a schedule for completing basic infrastructure on several stalled projects. After deadlines for more than a dozen phases of four subdivisions had expired, the county’s board of commissioners gave the parent company of the developments Seawatch near Sunset Harbor, Ocean Isle Palms, Ocean Ridge Plantation and Ibis Bay 30 days to come up with a new plan for finishing the infrastructure or the county would call their performance bonds into default. That notice got the developer’s attention and forced an agreement the county is comfortable with, county attorney Huey Marshall said. During a closed session Monday, the board accepted an agreement in which the developments have new completion deadlines and will be reviewed annually to ensure their bonding is sufficient for the work that needs to be done. The board also decided Coastal Cos. does not need to get bonding for Ibis Bay because no lots have been sold. As the economy tanked and development slowed, the county government has stepped in to make sure necessary infrastructure such as water and sewer lines are completed. Each development has a deadline for completing the basic infrastructure. If the developer misses that deadline and doesn’t have a good reason, such as waiting on permits from the state, the county then can call in performance bonds that were posted as insurance for completing the project. The bonds are required when developers want to start selling lots before the infrastructure is complete. Marshall said the agreement works well for both parties. “They don’t want the developers to fail,” he said of the board of commissioners. A finished project means more tax revenue for the county. In an e-mailed statement from Coastal Cos., spokeswoman Deborah Boodro said the company anticipated the county would come to this decision. She said they recognized “coastal’s commitment and ability to complete the development work in all neighborhoods.” Paying back taxes Mark Saunders, CEO of The Coastal Cos., has also reached an agreement to pay back about $1.3 million in 2008 property taxes. Saunders is paying back $50,000 a month until June 2010 when he’ll pay the remaining balance, Brunswick County tax administrator Ken Perry said. “It buys him some time to get his financial things in order,” he said, noting after the agreement was reached June 22, Saunders made his first payment shortly after. “The good news is we’re working together,” he added. When the tax issue first arose, the company claimed the county could owe more money to the developer than is owed in delinquent taxes because a county waterline crossing company property was blocking development. In the press release, Boodro states the tax payment plan gives the company time work out the waterline issue. Marshall said the water line was not discussed by the county commissioners. Shelby Sebens: 343-2076 On Twitter.com: @shelbsnc26 All rights reserved. This copyrighted material may not be re-published without permission. Links are encouraged.
Date Posted: July 8, 2009