(A) The land divider or other developer shall file with the agreement, to assure his or her full and faithful performance thereof, one of the following:
(1) A surety bond executed by a surety company authorized to transact business in the state;
(2) A person bond cosigned by at least one additional person who shall not be related to the developer by blood or affinity. The developer and cosigner shall submit evidence of financial responsibility, and the financial resources of those signing the bond shall provide reasonable assurances of the ability of the developer to proceed in accordance with the agreement; or
(3) Cash.
(B) The assurance of full and faithful performance shall be in a form approved by the City Attorney and for a sum approved by the City Manager as sufficient to cover the cost of the improvements, engineering, inspection and incidental expenses, and to cover replacement and repair of existing streets and other public improvements damaged in the development of the land. This shall not be construed to include normal wear and tear on existing public facilities which occurs from any lawful use of vehicles and equipment. Notification to the developer of the city of the damage shall be within 210 days from the completion of the project. Completion of improvement work will not be assumed until inspected and accepted by the city. A bond agreement for a development may terminate after one year from the inspection or acceptance of the project. Acceptance of a particular portion of the project for a declining bond agreement may be authorized by the city.
(C) If the developer fails to complete the improvement work in accordance with the provisions of this subchapter and other requirements of the city and the city has completed the work, or if the developer shall fail to reimburse the city for the cost of inspection, engineering and incidental expenses and to cover cost of replacement and repair of existing streets or other improvements damaged in the development of the land, the city shall call on the surety for reimbursement, or shall appropriate from any cash deposits funds for reimbursement. In any case, if the amount of surety bond or cash deposit exceeds the cost and expense incurred by the city, it shall release the remainder; and if the amount of the surety bond or cash deposit is less than the cost and expense incurred by the city, the developer shall be liable to the city for the difference.
(Prior Code, § 35.131) (Ord. 911, passed 12-5-1977)