15.08.780 - Contract provisions designated.
The main extension contract referred to in this part shall provide for the following:
A. Payment by applicant to city of all applicable fees and charges and deposits specified in this part. If the fees and charges required to be paid by an applicant are on an actual cost basis, he shall deposit the amount of such cost as estimated by the department, plus applicable engineering fees, with provision made for adjustment upon completion of the installation and determination of actual cost.
B. Conveyance to city by the owner of the premises to be served of all rights vested in such owner to take water from any source, including but not limited to the underground basin and authorization to city to take such water from said source.
C. The purchase by city at any time at city's option of all rights of an applicant, its successors or assigns, in and to any reimbursement provided for in any main extension contract, by paying to applicant, its successors or assigns, any amount remaining to be reimbursed to said applicant.
D. Where an applicant is required to install the main extension, filing by applicant with the city of a good and sufficient bond, securing the faithful performance by the applicant of all work and improvements shown on the plans and specifications, and also a good and sufficient bond securing the payment by the applicant of all bills for labor and materials incurred in the construction of any and all of said improvements, the amount of said bonds to equal the estimated cost of said work and improvements. In the event the applicant is, concurrently with the agreement for water main extensions, required to contract with the city to make other public improvements, city may permit applicant to file with city a single faithful performance bond and a single labor and material bond covering the improvements required by the contract required by this section and such other improvements. Said bonds shall be filed with city prior to the release of a subdivision map which includes the premises for which service is requested.
E. Furnishing by applicant of a policy or policies of liability insurance, paid for by applicant, which policy or policies shall meet the requirements for insuring the City of San José, its officers and employees, which are established by resolution of the city council. In the event the applicant is concurrently with the agreement for water main extensions required to contract with the city to make other public improvements, city may permit a single policy of insurance covering all of said work to be filed. Said policy shall be filed prior to the release of any subdivision map which includes the premises for which service is requested.
F. That all water mains and service connections installed pursuant to any main extension agreement shall be the property of the city.
G. That it shall be applicant's responsibility to provide city, in such form as approved by city, with easements, rights-of-way, encroachment permits or other rights in real property necessary, as determined by city, for the construction of main extensions, service connections and their appurtenances.
(Prior code § 7606.3; Ord. 19637.)