§ 8.24.520 Improvement security.

   (A)   General.

      (1)   The city shall require a subdivider to furnish a security for the completion of subdivision improvements consistent with this section and Cal. Gov't Code §§ 66499 et seq.

      (2)   The security shall be furnished to ensure the faithful performance of the terms of an improvement agreement, secure of payment for materials and labor, and provide guarantee and warranty for up to one year after completion of improvements.

      (3)   All improvement securities shall be reviewed and approved by the City Engineer and the City Attorney.

   (B)   Form and amount of security.

      (1)   Security may be provided through bonds, cash deposits, instruments of credit, a lien upon the property, or other form of security acceptable to the city.

      (2)   The amount of security shall not exceed the amounts specified in Cal. Gov't Code §§ 66499.3 and 66499.4.

   (C)   Release of improvement security.

      (1)   Performance security.

         (a)   For public improvements to be dedicated to the city, the city shall release a performance security only after accepting all completed improvements.

         (b)   For improvements that will not be dedicated to the city, the city shall release a performance security only after:

            1.   The subdivider submits certification by a registered civil engineer that the improvements have been constructed in accordance with the approved plans and specifications; and

            2.   The improvements pass any final inspections required by the city.

         (c)   Performance and payment security shall be released only upon receipt of any required maintenance or warranty agreements and security.

         (d)   The city may permit a partial release of performance security as work progresses consistent with Cal. Gov't Code § 66499.7.

      (2)   Payment bond. Release and reduction of a material and labor security shall be consistent with Cal. Gov't Code § 66499.7.

      (3)   Warranty security. The city shall release a warranty security upon:

         (a)   Satisfactory completion of the warranty period; and

         (b)   Correction of all deficiencies appearing on the warranty deficiency list for the subdivision.

(Ord. 15-12, passed 12-15-2015)