Toccoa Voids Contract With Proposed Development

August 27, 2013

The Toccoa City Commission declares a sewer allocation agreement with a proposed development null and void after city officials say the developers did not live up to their part of the bargain.

Monday, city commissioners unanimously voted to declare a contract with Toccoa Falls Estates null and void.

The city and the developers entered into the contract in 2010 to reserve 20,000 gallons a day of sewer allocation for the first phase of a proposed development off of Falls Road.

Toccoa City Attorney John Dickerson said that the contract required the developer to make multiple payments in return for that allocation reserve.

“Under that agreement, Toccoa Falls Estates was obligated to pay $50,000 to the city by April 15, with an additional $50,000 due in April 2015,” said Dickerson.

In addition, the agreement called for Toccoa Falls Estates to spend no less than $2,500 per year on advertising.

In 2011, the city commission agreed to amend the contract, allowing the developers not to spend that $2,500 on advertising and promotion of Toccoa Falls Estates for one year.

However, Dickerson said that the developers have not lived up to any terms they agreed to in the contract.

“As of today, none of these payments have been made by Toccoa Falls Estates,” said Dickerson.

He added that if the contract was declared null and void, the city commission must also declare the first phase of the development abandoned.

“I am thinking that would be consistent since we have not heard anything as far as I know from Toccoa Falls Estates since the contract was amended in March of 2011,” said Dickerson.

Dickerson said he would send a letter to the developers advising them that the city has voided the contract.

While no further action is required by the city commission, Dickerson said he would let the commission know if he receives a response to the letter from the developers.

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