The Council may, in its discretion, accept security in lieu of completed construction as a condition precedent to signature and recording of the final plat; provided, however:
(A) The security must be in the form of a cash deposit or letter of credit;
(B) The security must be in an amount at least sufficient to complete construction of all improvements, in accordance with the final plat, the approved construction plans and specifications and all standards, rules and regulations applicable to the improvements and their constructions, without cost to the city, plus 10%;
(C) Such letter or cash deposit agreement shall be approved as to form, sufficiency and manner of execution by the city’s attorney and City Administrator;
(D) The terms, provisions and conditions of any letter of credit or deposit agreement must be approved by the city’s attorney and City Administrator;
(E) The letter of credit must be an unconditional guarantee, issued by a bank or other financial institution approved by the Council, agreeing to pay the city on demand a stipulated sum of money to apply to the estimated cost of installation of all improvements for which the developer is responsible;
(F) Periodic withdrawals may be made from the cash deposit account for a progressive payment of installation cost. The amounts of such withdrawals shall be based upon progress work estimates and approved by the City Administrator. The amount on deposit shall at all times be no less than the minimum security required hereunder; and
(G) The security will not be released until the improvements have been accepted by the city, except for periodic releases of cash security as and to the extent allowed hereunder.
(2012 Code, § 77-101)