(A) The Plan Commission shall not consider approval of the final plat unless and until the subdivider has guaranteed completion of all required improvements within a reasonable period to be determined by the subdivider with the approval of the Plan Commission, all in compliance with the plans and specifications accompanying the application for approval of the final plat and has guaranteed to maintain the said improvements until they are accepted by the village.
(B) The guarantee for completion and maintenance of the improvements required under this chapter shall be provided by the subdivider posting with the Village Clerk an irrevocable letter of credit naming the village as beneficiary thereto. Said letter of credit shall be from a sound and reputable banking and financial institution authorized to do business in the state and approve by the village. Said letter of credit must be in a form approved by the Village Attorney and meet with the approval of the Village President and Board of Trustees. Said letter of credit shall be in an amount sufficient to cover the full costs of all maintenance and improvements under this chapter plus 25% of the cost of said improvements as estimate by the engineer employed by the subdivider and approved by the Village Engineer, or in the amount of 110% of the actual construction costs if the subdivider provides to the Village Engineer actual bona fide construction contracts entered into for the installation of said improvements and provided that such contracts are satisfactory to the Village Engineer. Such letter of credit shall be to insure the satisfactory installation of improvements herein and shall be in effect through the length of time required to complete the public improvements, as estimated by the Village Engineer, but in no event shall said letter of credit be for a term of less than two years. Said letter of credit may be periodically reduced by the Village Board upon confirmation from the Village Engineer regarding work already completed and approved. The letter shall be released only when all of the provisions of this chapter have been complied with and the improvements have been totally completed in accordance with the approved final engineering plans.
(C) The subdivider shall be required to maintain and repair all improvements required for the subdivision for a period of one year after acceptance of such improvements by a written resolution of the corporate authorities of the village. Upon acceptance of the improvements by the village, the letter of credit may be reduced to an amount equal to 10% of the original letter of credit, with such reduced amount to be held to guarantee completion of any such maintenance and repairs.
(D) The Village President and Board of Trustees may in their discretion approve a portion of a plat and allow the development of that portion upon the providing of an irrevocable letter of credit for the construction of the improvements on the portion of the plat scheduled for current development, but in such event no additional portion of such tract shall be developed until an approved letter of credit has been furnished to cover the construction of the proposed improvement for such additional portion. The ration of principal amount of the letter of credit to the estimated construction cost shall be the same as that provided in the case of the development of the entire tract.
('70 Code, § 8.1.19) (Ord. 79-08, passed 11-26-79; Am. Ord. 95-13, passed 9-5-95; Am. Ord. 98-19, passed 9-8-98; Am. Ord. 98-20, passed 10-19-98)