Fair Haven City Zoning Code
§ 30-10.2
Performance Guarantees.
[2002 Code § 16.40.020; Ord. No. 2018-08]
a.
Before filing of final subdivision plats or recording of minor subdivision deeds or as a condition of final site plan approval or as a condition to the issuance of a zoning permit, the applicant shall furnish to the Borough a performance guarantee and maintenance guarantee to assure the installation and maintenance of certain on-tract improvements. The amount of the guarantee shall be determined by the Borough Engineer, not to exceed 120% of the estimated cost of installation of only those improvements required by an approval or developers agreement, ordinance or regulation to be dedicated to a public entity including: streets, curbs, grading, pavement, gutters, sidewalks, street lighting, street trees, surveyors monuments, water mains, sanitary sewers, community septic system, drainage structures, public improvements of open space and any grading necessitated by the preceding improvements and privately-owned perimeter buffer landscaping. At the developer's option, a separate performance guarantee may be posted for the privately-owned perimeter buffer landscaping.
b.
Performance guarantees shall be submitted in the following form:
1.
A minimum of 10% of the performance guarantee must be posted in cash.
2.
The remaining 90% of the performance guarantee amount may be posted in cash, certified check, irrevocable standby letter of credit or surety bond issued by an insurance company licensed to do business in the State of New Jersey and acceptable to the Borough Attorney in the favor of the Borough.
3.
If the applicant elects to post an irrevocable standby letter of credit, it must be written in accordance with the standardized form adopted by regulation by the Department of Community Affairs pursuant to Section 1 of P.L. 1999, c.68 (C.40:55D-53a) as complying with the provisions of Section 41 of P.L. 1975, c. 291 (C.40:55D-53).
4.
All guarantees shall provide for construction of the required improvements within two years of the date of their posting or such other time as determined by the Municipal Agency. This time period may be extended by the Governing Body, in the form of a resolution granting such extension provided the Municipal Agency has, if necessary, extended the period of protection pursuant to N.J.S.A. 40:55D-52a. As a condition of this extension the guarantee amount may be adjusted to 120% of the estimated cost to construct the improvements at that time and additional inspection fees deemed necessary by the Municipal Agency shall be paid.
5.
All performance guarantees shall remain in effect until formally released by the Governing Body by a resolution and receipt of an approved maintenance guarantee as required.
6.
All guarantees, sureties, and landing institutions are subject to the approval of the Municipal Attorney and the Governing Body.