To guarantee the construction of the required improvements prior to the approval and recording of the final plat, the subdivider or developer shall be required to provide a performance guarantee in one or a combination of the following arrangements:
(A) Performance bond or certified check. The subdivider or developer shall post a bond, executed by a surety company or a certified check equal to the estimated cost, plus 10% of the required improvements. The Planning Commission shall approve the guarantee. Said bond or check shall guarantee construction of the improvements according to the plans and specifications approved by the village. The term of the bond or check shall not exceed two years. The format and language will be provided by the village. The Planning Commission may grant an extension where due cause can be shown.
(B) Deposit. The subdivider or developer may make a deposit with the Financial Director, with a responsible escrow agent, or with a trust company. The deposit shall be money or negotiable bonds in an amount equal to the estimated cost, plus 15% of the required improvements. An agreement may be executed to provide payments to the contractor or the subdivider from the deposit as the work progresses and as approved by the Planning Commission. The escrow agreement format and language shall substantially conform to a template provided by the village.
(C) Maintenance bond. Upon completion of the improvements and acceptance by the village, a maintenance bond for a two-year period commencing with the village’s final inspection date in an amount of 50% of said improvement cost shall be provided to the Village Engineer by the subdivider or developer or the developer's contractor. The maintenance bond format and language shall substantially conform to a template provided by the village.
(Ord. 2024-16, passed 2-19-2024)