(A) Performance security. The performance security shall be released only following acceptance of the improvement by the city and when an approved warranty security has been filed with the city.
(B) Material, labor and equipment security. Any security securing the payment to the contractor, his or her subcontractors and to persons furnishing labor, materials or equipment shall, after passage of the time within which claims of lien are required to be recorded pursuant Cal. Civ. Code § 3114 (Article 3 of Chapter 2 of Title 15 of Part 4 of Division 3) and after acceptance of the work, by the City Council, be reduced to an amount equal to the total claimed by all claimants for whom claims of lien have been recorded and notice thereof given in writing to the legislative body, and if no such claims have been recorded, the security, shall be released in full.
(C) The release shall not apply to any required guarantee and warranty period required by Cal. Gov't Code § 66499.9. For the guarantee or warranty nor to the amount of the security deemed necessary by the local agency for such guarantee and warranty period nor to costs and reasonable expenses and fees, including reasonable attorney's fees.
('86 Code, § 22.60.060) (Ord. 4120, passed - - )