(A) General. Before the plat is signed by the designated official, all applicants shall be required to present a bond, escrow account or letter of credit with the performance agreement to cover the cost of all the streets, sanitary, and other public improvements, including lot improvements on the individual lots of the subdivision as required in this chapter, specified in the approved construction plans and on the final subdivision plat, and as approved by the Commission. The bond, escrow account, letter of credit and performance agreement must be approved by the Commission’s Attorney.
(B) Financing of improvements.
(1) The applicant shall post bond securable to the City of Marion Advisory Plan and the participating jurisdiction in which the subdivision lies (hereinafter referred to as performance bond) in an amount equivalent to 100% of the estimated cost of completion of required public improvements.
(2) This amount of the bond shall be sufficient to secure to the participating jurisdiction the satisfactory construction and installation of the uncompleted portion of required public improvements as provided for in this chapter.
(3) In lieu of such a bond the subdivider may submit a certified check made payable to City of Marion or the appropriate jurisdiction in an amount equivalent to 100% of the estimated cost of completion of the uncompleted portion of required public improvements as provided for in this chapter. Any such check shall be held by the County Auditor.
(4) In lieu of such a bond the subdivider may submit an irrevocable letter of credit in behalf of the subdivider and securable by the county or the appropriate participating jurisdiction in an amount equivalent to 100% of the estimated cost of completion of the uncompleted portion of required public improvements as provided in this chapter. In the event an irrevocable letter of credit is used it shall be written for a maximum length of two years. If the improvements have not been accepted the Commission shall so notify the subdivider of the jurisdiction’s intent to secure the funds pledged by such letter of credit.
(5) In lieu of a bond the subdivider may submit a certificate of deposit made out to City of Marion.
(a) The bond is to be held by the County Auditor in an amount equivalent to 100% of the cost of completion of the uncompleted portion of required public improvements as provided for in this chapter.
(b) The subdivider must endorse the certificate of deposit before submitting it to the Commission so that the county may secure the funds.
(6) A performance bond furnished pursuant to this chapter shall comply with all statutory requirements and shall be satisfactory to the Commission Attorney as to form, sufficiency, and manner of execution as set forth in this chapter.
(a) The period within which required public improvements must be completed shall be specified by the Commission in the preliminary approval of the preliminary plat and shall be incorporated into the bond and shall not in any event exceed two years from the date of secondary approval.
(b) Such bonds shall be approved by the participating jurisdiction as to amount.
(c) The Commission may, upon proof of difficulty, grant an extension of the completion date set forth in such bond for a maximum period of one additional year, provided that the bond submitted for this extension period meets all other requirements herein.
(d) The Commission may, at any time during the term of such bond, accept a substitution of principal or sureties on the bond.
(Ord. passed - -)