§ 27-153.2.15 — Performance security

Sec. 27-153.2.15. - Performance security.

(a) Performance security required. (1) Full performance security. In order to receive final plat approval before the installation of all improvements, the developer shall provide and maintain sufficient full performance security guaranteeing the installation and approval of all private on-site or off-site improvements and the installation and acceptance of all public on-site or off-site improvements, except sidewalks. When providing full performance security, the developer shall submit the performance security on forms provided by the city two (2) weeks before to city council action; such security shall be effective as of the date city council approves the subdivision. Such performance security shall comply with all statutory requirements, the requirements of section 27-153.2.22(7) of this Code, and be satisfactory in form to the city attorney and appropriate city staff and be in an amount equal to one hundred twenty-five (125) percent of the developer's contract for the work or a certified engineers estimate, subject to approval of the appropriate city staff. When providing a bond for performance security, the bonding company shall have a B+ or better rating in accordance with "Best Bond Book." (2) Partial performance security. In order to receive final plat approval after installation and approval of a specific private improvement or the installation and approval of a specific public improvement but prior to installation and approvals of all private improvements and the installation and approval of all public improvements, the developer shall provide sufficient partial performance security guaranteeing the installation of any remaining improvements not yet installed in the amount of twenty (20) percent of the developer's contract for the installation of the entire of the improvements being partially secured. Partial performance may be provided at the point the city and the developer deem the improvement substantially complete as certified by the developer's engineer of record. Partial performance security may be posted for the completion of a particular improvement, although other improvements are yet to be completed. Partial performance security may not be posted if only a percentage of a particular improvement is completed. Approval for posting a partial performance security must be given by the appropriate infrastructure department as it relates to the improvement. When providing partial performance security, the developer shall submit the partial performance security on forms provided by the city two (2) weeks prior to city council action; such security shall be effective as of the date of city council approval of the subdivision. Such performance security shall comply with all statutory requirements, be satisfactory in form to the city attorney subject to approval by appropriate city staff and be in an amount acceptable to the city so as to equal the full estimated cost adjusted to cover inflation and administration for installation of any remaining improvements not yet installed, approved and/or accepted; in no case will the amount be less than one hundred twenty-five (125) percent of the developer's contract for the installation of the remaining improvements. (b) Performance security not required. If all private improvements have been approved and inspected by the city and all public improvements have been approved and accepted by the city, the developer shall not be required to provide performance security upon final plat approval by staff prior to city council action. (c) Effective period; extensions. The effective period of the performance security shall not be less than one (1) year from the date city council approves the subdivision; provided, however, that the city may permit or require extensions by renegotiation of the security amount and execution of a new security and subdivision agreement. Performance security for streetlights will not be extended more than the allotted twelve-month time frame if one-third (⅓) or more of the total number of units in the subdivision have received their certificates of occupancy. Under no circumstances will performance security for streetlights be extended beyond one (1) year from the expiration date of the original security provided. (d) Default of performance security. Where approved performance security has been provided and the improvements have not been installed according to the approved construction drawings, the City Code or the terms of the performance security instrument, the city may, upon ten (10) days' written notice to the parties to the instrument, declare the performance security to be in default and exercise the city's rights thereunder. Upon default, no further permits or approval shall be granted for the project until adequate progress toward completion of the remaining improvements is shown as determined by the city. (e) Release of performance security. Subject to the terms of such security and subdivision agreement, the performance security shall be released by the city when all private improvements are installed, inspected and approved and when all public improvements are installed, inspected and accepted pursuant to section 27-153.3.4 of these procedures.

(Ord. No. 89-261, § 2(35-46), 10-12-89; Ord. No. 91-89, § 13, 5-30-91; Ord. No. 96-241, § 21, 10-31-96; Ord. No. 2013-67, §§ 1(Exh. A), 4, 5-16-2013)