A. Intent and scope of requirements. To insure compliance with the provisions of this Ordinance and any conditions imposed thereunder, the City may require that a performance guarantee be deposited with the City to insure faithful completion of improvements, in accordance with Section 4e of the City or Village Zoning Act, Public Act 207 of 1921, as amended. Improvements for which the City may require a performance guarantee include, but are not limited to, roadways, lighting, utilities, sidewalks, screening, and drainage.
B. General requirements. The performance guarantee shall meet the following requirements:
1. The performance guarantee shall be in the form of a cash deposit, certified check, surety bond, or performance bond which names the property owner as the obligor and the City as the obligee.
2. The performance guarantee shall be submitted at the time of issuance of the permit authorizing the activity or project. If appropriate based on the type of performance guarantee submitted, the City shall deposit the funds in an interest-bearing account in a financial institution with which the City regularly conducts business.
3. The amount of the performance guarantee shall be sufficient to cover the estimated cost of the improvements for which the performance guarantee is required. The applicant shall provide an itemized schedule of estimated costs to complete all such improvements. The exact amount of the performance guarantee shall be determined by the zoning administrator.
4. The entire performance guarantee, including interest accrued, shall be returned to the applicant following inspection by the building official and a determination that the required improvements have been completed satisfactorily. The performance guarantee may be released to the applicant in proportion to the work completed on various elements, provided that a minimum of ten percent shall be held back on each element until satisfactory completion of the entire project.
C. Unsatisfactory completion of improvements. Whenever required improvements are not installed or maintained within the time stipulated or in accordance with the standards set forth in this ordinance, the City may complete the necessary improvements itself or by contract to an independent developer, and assess all costs of completing said improvements against the performance bond or other surety, including any interest accrued on said bond or surety. Prior to completing said improvements, the City shall notify the owner, site plan review applicant, or other firm or individual responsible for completion of the required improvements.
(Ord. No. 93-553, § 2.18, 2-2-1993)