At Flagstaff City Council’s noon meeting Tuesday, councilmembers voted to approve the Presidio in the Pines Surety Completion Agreement — an accord with the Phoenix-based American Contractors Indemnity Company (ACIC), which will complete work on the development as promised to the city in 2004.
Sized at 91 acres, Presidio in the Pines is a mixed-use development on S. Woody Mountain Rd. on Flagstaff’s west side. In 2004, the city reached an agreement with Premiere Acquisitions that would allow that company, as well as ACIC, to develop the road, sewer and landscaping, as well as build a water tank for the surrounding community and city.
However, in 2008, Premiere Acquisitions filed for Chapter 11 bankruptcy. In response, the city called ACIC in 2010 to negotiate the cost of completing the development.
The terms of the new agreement regarding Presidio in the Pines were laid out in a press release from the council.
“Under the agreement, ACIC will construct public infrastructure covered under the Woody Mountain Road Bond, which will complete final paving and the round-about, including the drainage problems in the area,” the release said. “ACIC will complete the decorative screen wall along Woody Mountain Road, which is included in the Landscaping Bond.”
Due to the mutually beneficial nature of the water tank planned for the development, the council agreed to pay for a majority of the cost. The city will pay for 57 percent of the cost of building the one-million-gallon tank, while Premiere Acquisitions will pay the city for the remainder.
The council voted unanimously to approve the measure.