(A) The Planning Commission may require, as a condition of final approval for a site plan, a financial guarantee (surety) acceptable to guarantee the construction of required improvements. Improvement guarantees shall be provided to ensure the proper installation and maintenance of required street, utility, and other improvements. The nature and duration of the guarantees are structured to achieve this goal without adding unnecessary costs to the applicant.
(B) Construction or installation of improvements may not begin until the final site plan is approved. However, no further action may be taken by the property owner until all improvements are completed, inspected, and approved to ensure that streets are properly constructed, drainage facilities properly provided, and all other utilities and improvements properly installed. Only when all improvements are completed, inspected, and approved will zoning permits be issued or property sold. However, where the applicant has satisfied the surety requirements herein to ensure that the required improvements will be completed, the above restrictions may be modified.
(C) In large projects, the security may be released in stages. The applicant may be allowed to assign a portion of the total to each development stage as part of a complete phasing plan of the overall improvement. Surety for each subsequent phase depends on completion of the required improvements for the preceding phase. Where partial approval is granted, the surety may be released, except that portions of improvements not yet approved, and continued adequate financial security, is required before approval of the final phase.
(D) Similarly, the surety may be refunded based on completion of improvements. The governing body may reduce the amount of the performance guarantee when portions of the required improvements have been installed. The Village Engineer will inspect the project to determine the percent completion of improvements. The village will release up to 80% of a pro rata portion of the surety based on the percent complete as verified by the Village Engineer. Of the performance guarantee, 10% will be held as a construction warranty by the village for a period of up to one year after all improvements are completed, or until all vegetation is stabilized and systems functioning.
(E) Besides securing the completion of improvements, the financial security may also be exercised to correct defects in workmanship that appear after the improvements have been inspected, approved, and accepted. This construction warranty will be an amount equal to 15% of the entire surety covering all improvements.
(Prior Code, § 154.266) (Ord. 48, passed 6-21-2005)