County holds more than $3 million from developer
After seeing little progress being made toward meeting infrastructural requirements during a tour of the Buckhorn Ranch subdivision on Friday, May 30, Gunnison County says it will hang on to more than $3 million as a performance guarantee until the necessary work is done.
“Last week county staff, myself included, walked the entirety of the Buckhorn Ranch subdivision with [developer] Dick Landy, several of the land owners and representatives of the Buckhorn Ranch home owner’s association and others to see what progress was being made on the completion of the infrastructure needs and to find out what still had to be done,” says county attorney David Baumgarten. “He’s still got a long way to go.”
Since the incorporation of the 280 acres by Landy in 1998, the development has been fraught with problems like freezing water pipes, poor drainage, lagging road maintenance and issues relating to the affordable housing area of the subdivision, Stallion Park. Most of the infrastructural problems, however, have been associated with Buckhorn Ranch.
After granting approval for the subdivision in March 2003, the county held $3,212,858 in bond money that was to be paid out to Landy when he met the obligations of the contract, which included improving the roads and drainage, among other things. Until the standards set by the county have been met, no permits for new construction will be given for the undeveloped lots.
“Part of our agreement was about the completion of the infrastructure and that was a condition of approval of Buckhorn [Ranch],” says Baumgarten. “There are still a number of units that have not been sold and the county will hold the permits on all of those units until all of the requirements have been met.”
In a letter sent to the county attorney from the Buckhorn Ranch HOA dated June 13, those requirements that were in the contract between the county and Landy, and also in the contract between Landy and homeowners, are detailed, and first mentioned is the condition of the roads.
“Were they installed properly?” the letter asks.
According to Mindy Sturm, who has owned property at Buckhorn Ranch for nearly four years, Allen Morse was contracted to chip and seal the roads. He was present on the tour and expressed concern about the late start he got on the project and the effect the cold would have on the way the road materials sealed together. The contractor ultimately asked Landy to sign a release from liability.
“Did the tar adhere to the sub-base? Did the stones adhere to the tar? Allen Morse said that it took 60 days for the stone and chips to adhere. The late fall application we feel did not allow this required time,” the letter states, adding that the roads are also sinking around manholes and water taps.
“We are hiring road experts to come in and take a look at our road and it’s going to cost the development thousands because of the situation that we’re in,” says Sturm. That company is Grand Junction-based CTL Thompson Inc., which specializes in roads.
The homeowners association’s letter also raises questions about drainage and the ponds on the property that were to be available for recreation and fishing for stocked trout.
It reads, “Buckhorn Lake still has places where the liner is floating to the top,” and “Roseland Lake still is not holding water. Both lakes were supposed to be stocked with trout.”
The letter goes on to say, “Dick Landy needs to maintain liability insurance to the satisfaction of the Gunnison County Board of County Commissioners in the amount of $1,000,000, an amount that is adjusted every five years in accordance with the direction of the Board at their meeting on January 22, 2001.”
Other requirements relating to the airstrip are that it is to be fenced on one side to prevent pedestrian and “domesticated livestock traffic from entering the runway,” and that “stop signs and airstrip warning signs need to be installed on either side of the north end of the runway.”
“We just want a road that we’re able to drive on, gas and electricity and water lines that don’t freeze,” says Nancy Olsen, a year-round resident of the community.
Although no date has been set, the county is planning a return trip to Buckhorn Ranch in the coming weeks to check the progress being made and until that happens, the county will hold the bond money and all building permits for the undeveloped lots, says Baumgarten.
“He’s way overdue on every timeline and the county has done a number of extensions and now we’re at the end,” he says.
Landy could not be reached to comment for this story.