(A) All subdivision development within the village, all development requiring zoning approval, and all development that contains any improvements intended to be dedicated to the public use, shall deposit with the village, adequate security to insure the complete performance of the developer. Acceptable forms of performance security shall be irrevocable letters of credit or cash bonds equal to 120% of the estimated cost of all improvements. Any such letter of credit issued by a bank or savings and loan association shall be first approved by the village.
(B) In certain instances, the Village Board may consider approving a performance bond in the amount of 120% of the estimated cost of improvements. In any instance where a developer requests the use of a performance bond, such developer shall appear before the Board of Trustees and ask for a waiver of the requirement to provide a letter of credit or cash bond. The Board of Trustees may deny any such request if the Board determines that the terms of the security being offered are inadequate or fail to insure performance upon developer default. Any such performance bond shall include assurances by the surety that declaration of bankruptcy by the principal triggers the assumption of the obligation by such surety, as well as such other guarantees that the Board of Trustees deems necessary for the protection of the public interests.
(Ord. 13-O-39, passed 12-19-2013)