(A) Agreements and guarantees which are required prior to approval of the final plat are as follows:
(1) Agreement. The subdivider, builder, or developer shall provide a signed statement setting forth in either an annexation or development agreement wherein he or she or they agree to construct and install the improvements required in this chapter, in accordance with the plans and specifications approved by the village.
(2) Improvement security. The subdivider or developer shall submit to the Zoning Administrator a good and sufficient security for the completion of all the improvements required under this chapter together with the cost of reasonable inspection fees in the amount of 125% of the cost of such improvements and fees.
(a) The security shall provide that monies in such estimated amounts are on deposit with a bank or other financial institution and restricted for the purpose of the installation and satisfactory completion of the improvements.
(b) The acceptable form of security is an irrevocable letter of credit in the amount issued by any reputable financial institution. The letter of credit shall be in substantially the form set forth in Appendix E.
(3) Maintenance guarantee. In addition to the security requirement described herein, the subdivider, builder, or developer shall deposit cash in the amount of 10% of the amount required for construction, or the Village Board may accept a certificate of deposit or other United States government security in lieu of cash, which is to be retained by the village for a period of 1 year following the final acceptance of the project, to insure and protect against defects or faults discovered during such 1-year period.
(B) Reduction of improvement security. A letter of credit may be reduced from time-to-time (maximum of once per month) upon resolution of the Village Board approving such reductions and concurrently granting their preliminary approval to corresponding portions of the improvements.
(1) There shall be withheld and reserved from each reduction an amount equal to 10% of the original estimate of the work completed for which preliminary approval has been granted.
(2) Upon completion of all public improvements and private improvements, where applicable, and when satisfactorily meeting the requirements of this chapter, the Village Board, upon resolution, may release the improvement security and initiate the 1-year maintenance guarantee.
(3) If all improvements are acceptable after the 1-year maintenance period, the maintenance guarantee shall be refunded to the developer along with any accrued interest.
(4) The village may use all or any portion of the maintenance guarantee to cure or correct any damage, defects, or faults discovered during the 1-year period should the developer not promptly or properly correct said damage, defects, or faults.
(C) Outside corporate limits. Subdividers, builders, or land developers of land outside the village limits, but within 1 1/2 miles of the corporate limits of the village, which is not included in any other municipality, shall also be subject to these requirements.
(D) Provisions applicable to all subdividers. If the subdivider, builder, or developer elects to develop the subdivision in units or sections, building permits (where issuance of same is within the jurisdiction of the village) will be issued for lots contained in each section or unit upon approval by the village of the plan delineating such sectional development.
(1) Public improvements, as set forth in this chapter, for each section or unit shall adequately serve each and every lot within the unit so designated and shall conform to the public improvement plans for the entire subdivision under consideration. Notwithstanding anything else herein to the contrary, no such phased development shall be permitted unless the developer or subdivider demonstrates that each separate section, unit or phase upon completion will be permanently served by all necessary public improvements, and will not rely on public improvements to be constructed for subsequent sections, units or phases.
(2) The sectional installation of public improvements and cash deposit with the village shall be done in accordance with the requirements set forth herein.
(Ord. 2007-15, passed 7-10-2007; Am. Ord. 2021-03, passed 3-9-2021) Penalty, see § 153.999