The developer or subdivider shall furnish the financial guarantees required below:
(a) Types of Guarantees. The developer shall execute financial guarantees and shall file such financial guarantees according to Section 1131.10
. Such guarantees may be in the form of a performance or surety bond, a certified check, or any other type of surety approved by the City.
(b) Terms. The terms of such guarantees shall be approved by the City Attorney with confirmation by Council. Bonds shall be executed by the applicant as principal with a surety company authorized in the State.
(c) Performance Guarantee. When the required improvements are not completed prior to approval of the final plat, the subdivider shall insure their completion with a performance guarantee. The performance guarantee shall be in an amount equal to the estimated total costs of materials and labor required to install or construct the improvements. Such costs shall be determined by the City Engineer. When any portion of the improvements has, upon inspection, been found satisfactorily completed, a reduction in the bonds or partial withdrawal of funds equal to the estimated costs of such completed improvements may be authorized.
(d) Maintenance Guarantee. The developer shall guarantee the construction and materials of the street and public utility improvements for a one year period from the date of acceptance by the City with a maintenance bond equal to 10% of the construction cost of the improvements. Improvements shall include streets, sidewalks, pavements and facilities appurtenant thereto, and storm and sanitary sewers, water systems, street lighting systems and facilities appurtenant thereto. If the subdivider does not comply with the minimum improvement requirements, he or she shall reinstall the improvements to conform to these subdivision regulations.
(e) Title Insurance. The subdivider shall furnish title insurance in the amount determined by the City Attorney, covering the lands to be dedicated as indicated in the final plat and showing the title to such dedicated lands good in the name of the City when the final plat is filed for record.
(f) Liability Insurance. The subdivider shall furnish such insurance as is deemed necessary by Council which shall indemnify and save harmless the City from any and all liability arising from or related to the construction or installation of any improvements in the subdivision. The insurance shall be of such duration as determined by Council, but shall in no case be allowed to expire earlier than the effective period of any maintenance bond. A copy of the insurance policy shall remain, at all times, with the City Clerk.
(g) Staged Development. The developer may apply for final approval and recording of only a portion of the entire subdivision or development, as outlined in Section 1131
. Under such a staged development, the installation of required improvements and sale or lease of lots may proceed only on that portion of the subdivision which has been approved and recorded.