The obligation and rights of the developer to construct, complete, install and maintain the required improvements indicated on the approved site plan and provide for their maintenance shall not cease until the developer shall be finally released by the City Engineer, nor shall any deposit agreements or obligations hereunder be assignable or transferable by developer. Furthermore, in the event of a default, abandonment, or failure of the developer to complete the improvements, no other person, firm, entity shall acquire (whether by contract, judicial foreclosure or other means) any rights to the remaining deposited funds as a developer without entering into a separate deposit agreement with the City. If, after the initial improvement completion period or after a later period as extended pursuant to this section, the improvements indicated on the approved site plan are not constructed, completed, installed, accepted and maintained as required, or if the developer shall violate any provision of the deposit agreement, the City Engineer may notify the developer to show cause within not less than 10 days why the developer should not be declared in default. Unless good cause is shown, no building or other permit shall be issued to the developer in the subdivision or for the site during any period in which the developer is in violation of the deposit agreement or other provisions of this chapter relating to the subdivision or site. If the developer fails to cure any default or present compelling reason why no default should be declared, the City Engineer shall declare the developer in default and may take any one or more of the following acts:
a. Deem the balance under the deposit agreement not theretofore released as forfeited to the City, to be then placed in an appropriate trust and agency account subject to the order of the City Engineer for such purposes as letting contracts to bring about the completion or maintenance of the improvements required on the approved site plan or other appropriate purposes in the interest of the public safety, health and welfare; or
b. Require the developer, letter of credit provider or surety to pay to the City the balance of the sum not theretofore released; or
c. Require the developer to submit an additional sum sufficient to guarantee the completion or maintenance of the improvements indicated on the approved site plan after recalculation in order to allow for any inflated or increased costs of constructing or maintaining the improvements.