Download to read offline
Uploaded byFairfax County
LDS Aged Escrow Review Update
This document summarizes an LDS Aged Escrow Review regarding conservation escrows, cash proffers, and future construction escrows that are past a certain age. It defines what is considered "aged" for each category, with conservation escrows being aged after 30 days of project completion and cash proffers and future construction escrows being aged after 12 years. It also proposes value thresholds for releasing aged future construction escrows below $5,000 or $10,000 to the state.
LDS Aged Escrow Review Update
- 1. LDS Aged EscrowReview Update NVBIA-NAIOP-ESI Bill Hicks, Director, Land Development Services April 12, 2018
- 2.
- 3.
- 4. LDS Aged Escrow Review AgedConservation Escrows Aged Cash Proffers Aged Future Construction Escrows 4
- 5. LDS Aged Escrow Review AgedConservation Escrows Aged Cash Proffers Aged Future Construction Escrows 5 Deposits posted by developers to ensure proper E&S controls
- 6. 6 Aged Conservation Escrows Conservation Escrows KeyVariables OFPA Review Scope LDS Scope Date Range 1997-2001 1977-present (where stabilization is documented) Fund Value $6.4 million $34 million Number of Escrows held 887 2,600 OFPA limited their review to 1997-2001 because LDS was already working with OCA on legal mechanisms to release the conservation escrows dating from 1977-1997.
- 7. LDS Aged Escrow Review AgedConservation Escrows Aged Cash Proffers Aged Future Construction Escrows 7 A voluntary offer made by a landowner during the rezoning process to donate money.
- 8. 8 Aged Cash Proffers Cash Proffer KeyVariables OFPA Review Scope LDS Scope Date Range 1985-2010 Same as audit Fund Value $2.9 million $450,000 ($2.5 million transferred since June 2017) Number of Cash Proffers Held 138 28 remaining (141 Identified with 113 transferred/released to other agencies since June 2017)
- 9. LDS Aged Escrow Review AgedConservation Escrows Aged Cash Proffers Aged Future Construction Escrows 9 Deposits posted by developers to fund their share of a future public improvement
- 10. 10 Aged Future Construction Escrows FCE KeyVariables OFPA Review Scope LDS Scope Date range that should be addressed 1968-2002 1968-present Fund Value $6.5 million $12 million Number of escrows held 920 1,119
- 11. 11 Aged Future Construction Escrows With Inputfrom the BOS • Define ‘Aged’ • Define a Value Threshold below which all ‘aged’ future construction escrows will be released to the state.
- 12. Defining ‘Aged’ 12 Item AgedReasoning Conservation Escrows (2,600 in total) 30 days after county contact to owner regarding project completion Clears books as soon as possible Cash Proffers (Currently 28 over 12 years in age) 12 years Follows state regulations Future Construction Escrows (1,119 over 12 years in age) 12 years except: • Trees & Landscaping • Streetlight Conversions • Chapter 2 Roads • 12 years for consistency with proffers • Retains funds where practical for trees, landscaping and streetlights • Reflects the lengthy time horizon necessary to piece together road construction
- 13. Defining ‘Aged’ 13 Item AgedReasoning Conservation Escrows (2,600 in total) 30 days from project completion Clears books as soon as possible Cash Proffers (Currently 28 over 12 years in age) Approaching 12 years Provides greatest opportunity under state legislation to execute the proffers to county benefit. Future Construction Escrows (1,119 over 12 years in age) 12 years except: • Trees & Landscaping • Streetlights • Chapter 2 Roads • 12 years for consistency with proffers. • Simplicity in execution for trees, landscaping & streetlights • Reflects the lengthy time horizon necessary to piece together road construction. Defining Aged For Future Construction Escrows • 12 years for consistency with proffers. • Retains funds where practical for trees, landscaping and streetlights. • Reflects the lengthy time horizon necessary to piece together road construction.
- 14.
- 15. 15 Defining a ValueThreshold For Future Construction Escrows • Total 1,119 Items totaling $12.274,413 • 66 items totaling $814,583 remain in escrow • Trees, Landscaping, Streetlights & Roads • Option 1 – Release all 584 items below $5,000 to the state further research. • Option 2 – Release all 763 items below $10,000 to the state with further research.
- 16.