(a) The requirements of this Section apply to all Improvement Agreements.
(b) No Final Map or Parcel Map shall be signed by the Director or recorded until all improvement securities required by this Article in the form prescribed by the City pursuant to Government Code Section 66499 et seq., have been received and approved.
(c) A performance bond or other acceptable security as provided in Section 66499 of the Government Code in the amount of 100 percent of the estimated cost of completion of the construction, as determined by the Director, or installation of all Public Improvements, as determined by the Director, shall be required of all subdivisions to secure satisfactory performance of those obligations. As a guarantee of payment for the labor, materials, equipment and services required, a payment bond or other acceptable security shall be required for 50 percent of the estimated cost of completion of unfinished Public Improvements as determined by the Director. For purposes of the preceding sentences, the "estimated cost of completion" shall include all costs of remediating any hazardous materials as necessary to permit completion of the required Public Improvements, unless those costs are otherwise secured as provided in the Plan and Plan Documents.
(d) The security shall be released or reduced upon completion of construction as follows:
(1) The security shall be reduced to 10 percent of the original amount for the purpose of guaranteeing repair of any defect in the improvements which occurs within one year of when:
(i) the Public Improvements have been completed to the satisfaction of the Director; and
(ii) the Clerk of the Board of Supervisors certifies that no claims by any contractor, subcontractor or person furnishing labor, materials or equipment for the required Public Improvements have been filed against the City prior to or within a 100-day period following completion of the Public Improvements.
(2) If any claims by any contractor, subcontractor or person furnishing labor, materials or equipment to the Subdivider have been filed against the City, then the performance security shall only be reduced to an amount equal to the amount of all such claims filed or to 10 percent of the original amount whichever is greater.
(3) The security may be reduced in conjunction with completion of a portion of the Public Improvements to the satisfaction of the Director, to an amount determined by the Director; however, in no event shall the amount of the security be reduced below the greater of
(i) the amount required to guarantee the completion of the remaining portion of Public Improvements and any other obligation imposed by the SMA, this Code or the Improvement Agreement; or
(ii) below 10 percent of the original amount of the security.
(4) The security shall be released when all of the following have occurred:
(i) One year has passed since the date of acceptance by the Board of Supervisors, or one year has passed since the date that all deficiencies that the Director identifies in the required Public Improvements have been corrected or waived in writing; and
(ii) If any claims identified in Subsection (d)(1)(ii) have been filed against the City, all such claims have been satisfied or withdrawn, or otherwise secured.
(Added by Ord. 304-04, File No. 041544, App. 12/24/2004; Ord. 209-10, File No. 100661, App. 8/3/2010)