(A) Contract for development. Prior to the acceptance of the final plat, the owner or subdivider shall enter into a contract for development of new subdivisions with the city. In conjunction with this contract, the owner or subdivider shall deposit with the City Clerk-Treasurer either a cash deposit or a corporate surety performance bond, approved as to form by the City Attorney, in an amount equal to one and one-half times the Operations Superintendent’s estimated cost of the improvements or one and one-fourth times the actual bid. This bond shall also have a clause which guarantees the improvements for a period of one year after acceptance by the city of the improvements. In lieu of this clause, a separate one year maintenance bond approved as to form by the City Attorney, shall be submitted to the Operations Superintendent upon acceptance of the improvements by the City Council. Upon receipt of this maintenance bond, the performance bond may be released.
(B) Improvements. All improvements shall be made in accordance with the plans and specifications prepared by a registered professional engineer and approved by the Operations Superintendent and in accordance with applicable city standards and requirements. Upon approval, the plans and specifications become a part of the contract for development. A reproducible set of plans and specifications plus two copies shall be furnished to the city to be filed as public record. A copy of all approved pertinent regulatory forms (MPCA sewer extension, State Department of Health water extension and MPCA storm water and the like) shall be provided to the city.
(C) Bond. The owner or subdivider shall deposit with the City Clerk-Treasurer cash or an approved indemnity bond to cover all expenses incurred by the city for engineering, legal fees and other incidental expenses in connection with the making of the improvements. In the event of a cash deposit, any balance remaining shall be refunded to the owner or subdivider after payment of all costs and expenses to the city have been paid.
(D) Street access to improved lots required. It is not the intent of this section to require the owner or subdivider to develop the entire plat at the same time making all the required improvements, but zoning permits will not be granted except as to lots having access to streets on which the required improvements have been made or arranged for by cash deposit or bond as herein provided.
(E) Compliance. Compliance with the terms of this chapter in subdividing land, and in completing the required improvements, shall be at the sole expense of the owner and/or subdivider, except as set forth in a development contract with the city which may provide for assistance from funding sources such as IRRRB, and for special assessment financing, and for additional assistance from the city if the City Council finds that the subdivision will not occur without the additional assistance from the city and that the proposed subdivision is in the best interests of the city.
(F) Waiver.
(1) The City Council may, at its discretion, waive the requirement that the owner/developer complete and dedicate all public improvements, or execute a development contract requiring completion within one year, prior to acceptance of the final plat. If the City Council so waives this requirement, the owner or developer shall submit to the City Clerk-Treasurer financial assurances in an amount designated by the City Council and in a form acceptable to the City Council. The financial assurances may include, but are not limited to: a bond executed by a surety company; an irrevocable letter of credit in favor of the city issued by a banking institution approved by the City Council; a cash deposit in an approved financial institution in an account established in the name of the city. If the improvements have not been installed within the terms of financial assurances, the City Council may bring actions for recovering or forfeiture of the financial assurances. Upon completion of all required improvements, the owner or developer shall notify the Administrative Superintendent in writing. The Administrative Superintendent shall, within a reasonable period of time, arrange for inspection of improvements. If all improvements are satisfactorily completed, the financial assurances shall be released by the City Council.
(2) The City Council may, at its discretion, waive the requirement that the owner or subdivider develop the entire plat at the same time making all of the required improvements. If the City Council so waives this requirement, the owner or subdivider shall execute a contract with terms acceptable to the City Council which provides satisfactory assurance for the construction of the required improvements in connection with the development of the entire plat. These terms may include a requirement that the owner or subdivider record a document in the office of the County Recorder or Registrar of Titles office which sets forth the future development and construction of improvements, and/or a requirement that the language be included in all purchase agreements and/or deeds conveying lots in which the required improvements have not been previously completed.
(Ord. 153, passed 11-8-1999)