(A) Financial guarantees.
(1) The City Council shall require that the applicant provide a financial guarantee such as a performance bond, an irrevocable letter of credit, assurance of completion, funds in escrow, or other guarantee acceptable to the city prior to recording the final subdivision plat in an amount sufficient to secure to the city the satisfactory construction, installation, and dedication of the required improvements. The financial guarantee shall also secure all lot improvements on the individual lots of the subdivision as required in this chapter. The amount of the financial guarantee shall be 100% of the cost of the installation and materials necessary to complete the subdivision, including street lights, street name signs, street regulatory signs and all grading.
(2) (a) The financial guarantee shall comply with all statutory requirements and shall be satisfactory to the City Attorney as to form, sufficiency, and manner of execution, as set forth in this chapter. The period within which required improvements must be completed shall be specified by the City Council in the resolution approving the final subdivision plat and shall be incorporated in the financial guarantee and shall not, in any event, exceed two years from the date of final approval.
(b) The financial guarantee shall be approved by the city as to amount and surety and conditions satisfactory to the governing body. The City Council may, upon proof of difficulty, grant an extension of the completion date set forth in the guarantee for a maximum period of one additional year.
(B) Completion of improvements. As an alternative to requiring a contractor’s performance bond, the City Council, at its discretion, may allow the procedures for completion of improvements described in § 155.032(B) above.
(C) Temporary improvement. The applicant shall build and pay for all costs of temporary improvements required by the City Council and shall maintain them for the period specified by the City Council. Prior to construction of any temporary facility or improvement, the developer shall file with the City Engineer a separate, suitable, financial guarantee for temporary facilities, which guarantee shall ensure that the temporary facilities will be properly constructed, maintained, and removed.
(D) Governmental units. Governmental units to which these financial guarantees and contract provisions apply may file in lieu of the contract or financial guarantee a certified resolution or ordinance from officers or agencies authorized to act in their behalf, agreeing to comply with the provisions of this section.
(E) Failure to complete improvements. For subdivisions for which no financial guarantee has been posted, if the improvements are not completed within the period specified by the City Council in the resolution approving the plat, subject to § 155.032(B) above, the approval shall be deemed to have expired. In those cases where a financial guarantee has been posted and required improvements have not been installed within the terms of the guarantee, the city may thereupon declare the guarantee to be in default, call on the guarantee, and require that all the improvements be installed regardless of the extent of the building development at the time the financial guarantee is declared to be in default.
(F) Acceptance of dedication and maintenance. Acceptance of dedication of land for streets, public areas, and easements shall be by resolution of the City Council. The resolution approving the final plat shall constitute the acceptance, provided a statement of dedication is placed on the plat. The approval by the City Council of a subdivision plat shall not be deemed to constitute or imply the acceptance of maintenance by the city of any street or easement improvements shown on the plat. The City Council may require the plat to be endorsed with appropriate notes to this effect. A separate resolution accepting improvements and maintenance shall be required following installation of all improvements.
(Prior Code, § 15-5-1) (Ord. O88-06-007, passed 10-13-1988)
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