Delays in sewer project could impact Hanna Farms housing development

Hanna Farms has agreed to sell 85 acres of farmland to be developed into more than 250 homes off Artesian Avenue in Martinsville.
Hanna Farms has agreed to sell 85 acres of farmland to be developed into more than 250 homes off Artesian Avenue in Martinsville.

MARTINSVILLE — Delays in the extension of sanitary sewer lines to a new housing subdivision has led to concerns from the real estate developer overseeing the project, a representative from the company told city officials Monday.

Forestar Real Estate Group is building a residential subdivision known as Hanna Farms on the east side of Artesian Avenue.

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Melissa Garrard, entitlements manager for Forestar, appeared before the Martinsville Board of Works & Safety on Monday to present an agreement between the city and Forestar which would alleviate investors' uneasiness.

The city has agreed to provide sanitary sewer service to the property, but that project is not expected to go out for bid until July, which is when Forestar hopes to close on the approximately 70 acres of property.

One clause of the contract includes a "honey dipping option," which states that if the city fails to complete the sewer infrastructure prior to the issuance of a certificate of occupancy for any home constructed in the subdivision, then Forestar or the homebuilder would be entitled to store all sanitary sewage in the manholes and sewer pipes installed within the subdivision. The city would then be required to pump the sewage out of the manholes to prevent sewer backups.

It also states that the city would not inhibit Forestar or a homebuilder from obtaining building permits from the city even if sewer infrastructure is not completed.

Garrard presented the contract as a worst-case scenario .

"I think all of us that have discussed it together have every confidence in the world that you're going to get sanitary sewer in time before hookups are needed," Garrard said. "But this is a worst-case fallback position to make my corporate underwriting comfortable to allow us to close on schedule."

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Gary Oakes, the city's director of planning and zoning, said that the city's progress has been hampered by supply constraints, which are out of its control.

"We're seeing things being delayed four to six months," Oakes said, adding that he still expects the project to go out for bid in July and be completed by October.

Garrard said the contract would help protect the company's investment.

"This would be an easier discussion with corporate if sanitary sewer extension had been started, but right now they'd be signing this on a bridge to nowhere sewer system," she said.

At the recommendation of city attorney Dale Coffey, the board tabled the contract until June 13 to give the attorneys of both parties the opportunity to come up with language that would appease both sides.

The next regular meeting of the Board of Works & Safety is scheduled for 6:30 p.m. on June 13 in Council Chambers, 59 S. Jefferson St.

Workshop on employee handbook

The Martinsville Board of Works & Safety held a brief public workshop prior to its regular meeting Monday to review proposed changes to the City Employee Employment Handbook.

Board member Kelly Bray said she had issues with some of the proposed revisions that removed state statute from a section detailing mayor-appointed positions, such as fire chief, police chief, city superintendent and city attorney.

That led to a discussion about whether the deputy fire chief was a position that was appointed by the mayor.

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Martinsville Fire Chief Kevin Greene said that the chief is appointed by the mayor, and the deputy chief and fire marshall are then appointed by the fire chief.

City superintendent Mac Dunn said that when Martinsville Mayor Kenny Costin came into office, he relied on the chief's recommendations, but ultimately had the final say.

At that point, Deputy Fire Chief Aaron Fraker interjected, saying that the deputy fire chief is appointed by the fire chief and the fire marshall is a merited position and not appointed by the mayor, according to the department's merit rules.

"We'll be changing that," Dunn said.

Greene then clarified that the deputy chief position is subject to the mayor's approval but reiterated that the fire marshall needs to meet certain state requirements in order to fulfill that position.

"We’re not trying to buck any system," Greene said. "We’re simply in the process of telling you what the merit system is currently and what the state is saying the rules are. Obviously we want to work together, but we don’t want to create conflict in the whole organization."

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Costin then abruptly ended the meeting, saying that First Deputy Clerk Ben Merida would need to be present at the next workshop to go through the proposed changes in the employee handbook.

A future workshop has not yet been scheduled.

Contact reporter Peter Blanchard at 765-346-2942 or pblanchard@reporter-times.com. Follow him on Twitter @peterlblanchard.

This article originally appeared on The Reporter Times: Delays in sewer project could impact Hanna Farms housing development