Performance Bonds for Public Improvements. Prior to obtaining City approval to construct any public improvements, the developer shall, by agreement with the City, carry out the minimum improvements required by the City's implementing ordinances and subject conditions of approval by installing the required improvements, subject to inspection and final review of the City, prior to the approval of any structural building permits and shall furnish the City with a performance bond or other financial guarantee, such as an irrevocable letter of credit or set aside account, in a form and amount satisfactory to the City. The performance bond or other financial guarantee is required to be at least 125 percent of the construction value for improvements within the City's right-of-way as determined by the City or agreed upon by the City and developer.
If the developer fails to construct the required minimum public improvement requirements or otherwise fails to perform any conditions of approval, and the City has unreimbursed expenses resulting from such failure, the City shall place a claim against the bond or other security for reimbursement, including, but not limited to, staff time, mileage and legal expenses. If the amount of the bond or other security exceeds the expenses incurred by the City, it shall release the remainder. If the amount of the bond or other security is less than the expenses incurred by the City, the developer shall be liable to the City for the difference and a lien may be filed by the City in the City lien docket against the property to insure payment.
Any improvement that is not under City jurisdiction shall be improved pursuant to the procedures established by the responsible jurisdiction or service provider.