(A) To ensure compliance with this chapter and proper completion of certain site improvements that are required by the Board as part or conditions of its approval of an application and plans, a performance guarantee may be required prior to issuance of any temporary certificate of occupancy. Performance guarantees shall be in the form of a cash deposit or irrevocable bank letter of credit in a form approved by the Village Attorney, be deposited with the Village Clerk and shall be in an amount determined as provided in division (C) for site improvements, including but not limited to, streets, drives, parking lots, handicapped parking signs, dumpster pads and enclosures, sidewalks, grading, required landscaping, required screens, storm drainage, exterior lighting and utilities. A performance guarantee shall not be required under this section for improvements for which a cash deposit, certified check, irrevocable bank letter of credit or surety bond has been deposited pursuant to Public Act 288 of 1967, being M.C.L.A. §§ 560.101 through 560.293, as amended.
(B) The site improvements to be completed and for which a performance guarantee will be required prior to issuance of a temporary certificate of occupancy shall be identified by the Board at the time of application and plan approval. For each such item, prior to permit issuance the permit applicant shall provide the Village Clerk with a cost estimate or contract from a qualified contractor.
(C) An applicant for a temporary certificate of occupancy under
the village zoning code
shall provide a performance guarantee in an amount determined as provided below for any required site improvements that have not been completed at that time. For each such improvement, the applicant shall provide the Village Clerk with a current cost estimate or contract from a qualified contractor for completion of the improvement within the next six months. The Village Clerk shall refer the applicant's cost estimates or contracts to the Village Engineering and/or Planning Consultants for review and written recommendation on the amount of the performance guarantee to be required, which at a minimum shall be the applicant's estimates or contracts plus a 10% contingency and an administrative fee equal to 25% of that amount, and which shall also take into account the size and scope of the overall project and incomplete site improvements, current and likely future costs to the village of actually completing the site improvements, cost of as-built drawings for the entire project, estimated enforcement and legal fees and expenses, and other relevant factors and conditions. Based on the written recommendation of the Village Engineering and/or Planning Consultants, the Village Clerk shall provide the recommendation(s) and a written notice to the applicant of the required performance guarantee amount, and upon it being delivered, shall issue or approve the issuance of a temporary certificate of occupancy as provided in
the village zoning code.
(D) If required site improvements for which a performance guarantee is provided are not satisfactorily completed within the time allowed or required by the temporary certificate of occupancy or terms and conditions of the performance guarantee, the village shall have the authority to use the performance guarantee to have the site improvements completed and reimburse itself for all costs whatsoever for such work including administrative costs and attorney fees, consulting fees and similar costs.
(E) Cash performance guarantees shall be rebated by the village in reasonable proportion to the ratio of work that is satisfactorily completed on a site improvement. Rebates shall be made in response to a written application by the holder of the temporary certificate of occupancy. Upon receipt of an application, the Village Clerk shall request inspection and written certification by the Village Engineering and/or Planning Consultants of the portion of work performed and remaining. Upon receiving the Village Engineering/Planning Consultant certification(s), the village shall rebate an amount consistent with the certifications, provided that under no circumstance shall the rebate result in the remaining performance guarantee for a site improvement being less than the current cost to complete plus a 10% contingency. All required inspections for improvements for which the cash deposit is to be rebated shall have been made prior to any rebate being made.
(F) The provision of a performance guarantee only authorizes a temporary certificate of occupancy and no full or final certificates of occupancy will be issued or approved for issuance until all required site improvements have been satisfactorily completed.
(O.C. Ch. 55, Art. XII) (Am. Ord. 198, passed 3-27-06)