(A) Guarantee. To ensure that improvements are installed as required by this chapter, and before final plat approval by the County Commission, the subdivider shall guarantee the installation thereof by one or a combination of one or more of the methods specified as follows.
(B) Performance bonds. The subdivider shall furnish and file with the County Clerk a corporate surety bond, to assure that the actual construction of such improvements is completed within a period of two years immediately following the approval of the final plat and subdivision by the County Commission, which bond shall be approved by the County Commission and the County Attorney.
(C) Escrow deposit. The subdivider shall deposit in escrow with an escrow holder approved by the County Commission an amount of money, under an interest-bearing escrow agreement conditioned upon the installation of said improvements within two years from the approval of the final plat and subdivision. The escrow agreement aforesaid shall be approved by the County Commission and the County Attorney and shall be filed with the County Recorder.
(D) Irrevocable letter of credit. The subdivider shall file with the County Commission an irrevocable letter of credit from a duly chartered state or national bank or savings and loan institution, which letter shall contain provisions substantially similar to those required by the escrow agreement and shall be approved by the County Commission and County Attorney before being accepted.
(1) The amount of the above instruments shall be equal to 110% of the cost of the improvements as estimated by the County Public Works Director plus a percentage to cover inflation.
(2) The guarantee employed shall be approved as to method and form by the County Attorney.
(3) The County Commission is authorized to prescribe by administrative rule, or regulation, forms and procedures to insure the orderly, regular and efficient processing of applications for the approval of a proposed subdivision and the strict compliance with the requirements of this chapter.
(E) Default. In the event the subdivider defaults or fails or neglects to install satisfactorily the required improvements within two years from the date of approval of the final plat, the County Commission may declare the guarantee forfeited, and may install or cause the required improvements to be installed, using the proceeds from the collection of the posted security to defray the expenses thereof.
(F) Phased development. Whenever the subdivider shall develop a subdivision in phases, each phase shall be secured as provided herein, such development shall be in an orderly manner and in such a way that the required improvements will be continuous and all said improvements will be made available for full, effective and practical use thereof by lessee or grantee of any of the subdivided lands within herein before specified.
(G) Improvements guarantee.
(1) The subdivider shall warrant and guarantee that the improvements provided for herein and every part thereof, will remain in good condition for a period of year after the date of conditional acceptance by the County Commission and shall agree to make all repairs to and maintain the improvements and every part thereof in good condition during that one-year period at no cost to the county.
(2) It is further agreed and understood that the identification of the necessity for repairs and maintenance of the work rests with the County Public Works Director, whose decision upon the matter shall be final and binding upon the subdivider, and the guarantee hereby stipulated shall extend to and include, but not be limited to the entire street, sub-grade, base, and surface and all pipes, joints, valves, backfill and compacting as well as the working surface, curbs, gutters, sidewalks and other accessories that are, or may be, affected by the construction operations.
(3) If the subdivider does not complete needed repairs after written notice from the County Public Works Director within 30 days after the date of notice, the County Public Works Director, with the approval of the County Commission, shall have such repairs made, and the cost of such repairs shall be paid out of the performance security deposits held in the name of the county for that project.
(H) Covenant.
(1) The subdivider shall execute and acknowledge in a form approved by the County Attorney, and capable of recording in the office of the County Recorder, a written agreement with the County Commission by which the subdivider covenants that he or she will not sell, lease or convey any of the subdivided property to anyone whomsoever unless he or she shall first record the approved final plat and posted the necessary financial security as provided in this chapter.
(2) The agreement shall specifically provide that it shall be deemed to be a covenant running with the land to secure the installation of all the improvements required by this chapter together with a payment of all costs, including a reasonable attorney’s fee, which the County Commission may incur in enforcing any of the terms and provisions of the agreement.
(3) This condition shall be released when final release of security is approved by the County Commission.
(I) Acceptance and release of surety. Acceptance of public improvements and release of surety shall only be done following final inspection and recommendation by the County Public Works Director to the County Commission. No improvement security shall be released until all improvements are completed and approved and all defects corrected.
(J) Orderly development required. Whenever a subdivider shall develop a subdivision, such development shall be in an orderly manner and in such a way that the required improvements will be continuous and all of the improvements will be made available for the full, effective and practical use and enjoyment thereof by the purchaser, grantee, assignee, transferor or lessee of any of the lands subdivided within the time hereinbefore or in phases specified.
(K) Progress payments.
(1) Progress payments shall be made only after approval of the related improvements by the County Commission based upon written recommendation of the County Public Works Director. Payments shall only be made on a phase-by-phase basis as the work is completed to county standards.
(2) Progress payments may be made to the subdivider from any deposit of money or letter of credit which the subdivider may have made in lieu of providing a security bond, provided however, that no progress payment shall be made for more than 90% of the value of any installment or work completed.
(3) No progress payments from cash deposits shall be made except upon certification by the County Public Works Director and approved by the County Commission.
(L) Completion and release of surety.
(1) Ten percent of the surety posted with the county shall be held for the one year following completion of all phases of the subdivision.
(2) This amount plus any interest earned shall be released to the subdivider upon final inspection by the County Public Works Director and/or other authorized county representative and approved by the County Commission in public meeting.
(3) Upon completion of all requirements stated herein, a release of surety shall be prepared by the County Attorney for approval and signature of the County Commission and recorded with the County Recorder. A certified copy shall be provided to the subdivider.
(Ord. 2021-10, passed 9-27-2021)