12.20.100: WORKMANSHIP AND PERFORMANCE WARRANTY FEE:
   A.   For all work requiring a permit by the terms of this chapter, the person making application for permit shall provide, prior to the issuance of said permit, security as required by the director which shall include, at a minimum, a warranty bond. The warranty shall run ten (10) years from the completion and final acceptance of the construction and/or repair work by the director. The release of said security shall be governed by the California Civil Code. Utility excavators shall post the security required by the director or in conformance with a franchise agreement between the city and the utility.
   B.   All permits issued under the requirements of this chapter will include the payment of a nonrefundable workmanship and performance warranty fee to the city. This workmanship and performance warranty fee shall be imposed as follows:
      1.   Where the workmanship and performance of the permittee is limited to the statutory one year period; cuts are allowed by payment of a workmanship and performance warranty fee as established by resolution.
      2.   Where the permittee commits to a ten (10) year workmanship and performance warranty agreement with the city; cuts are allowed by payment of a limited workmanship and performance warranty fee as established by resolution.
      3.   Utilities that are a part of the city of Redlands and utilities operating under a franchise granted by the city that clearly indicates an explicit obligation to repair (warranty) any restoration defects are exempt from payment of the workmanship and performance warranty fee. Utilities operating under a franchise that does not have explicit obligation to warranty and repair may enter into an agreement with the city that provides a warranty and security satisfactory to the city and thereby, during the term of the agreement, be exempt from payment of the warranty fee. The agreement must comply with the warranty and security requirements of this chapter.
      4.   Where permission to excavate in newly renovated streets has been granted, excepting therefrom those items provided in section 12.20.030 of this chapter, payment of the workmanship and performance warranty fee shall be required under subsections B1 through B2 of this section regardless of franchise status.
   C.   In all cases where cuts are allowed, the permittee is required to restore the trench and street section to city standards and specifications. All warranties shall include adequate security for the warranty period. All pavement warranty fees received under the requirements of this section shall be expended solely for the purpose of maintaining the workmanship and performance of city streets. (Ord. 2397 § 3, 1999)