When any extension or improvement to the water and/or sewer system is to be installed under contract between the town and a contractor, the cost of which is to be paid wholly or partially by a developer, the contractor shall not be authorized to commence work until after the town has received the full amount due from the developer, either in cash to be placed in escrow or by irrevocable commercial letter of credit from a bank or other financial institution acceptable to the town, the conditions of such letter to be included in the developer agreement and in a form approved by the City Attorney.
(Ord. 353, passed 7-10-2013)