The performance guaranty shall be in the form of a written instrument which shall provide for the deposit with the Township of financial security in an amount sufficient to cover the costs of any improvements or common amenities, including but not limited to roads, parking facilities, stormwater detention and/or retention basins and other related drainage facilities, recreational facilities, open space improvements or buffer or screen plantings which may be proposed or required.

The financial security provided by the developer shall be in the form of an escrow or trust agreement or other similar collateral or surety agreement, executed by the developer, in form acceptable to the Township, supported by collateral or security in the form of cash or certified check payable to the Township, an unconditional guaranty by a corporate surety company authorized and qualified for the issuance of surety bonds in the Commonwealth of Pennsylvania, an irrevocable unconditional letter of credit from a federal or commonwealth chartered lending institution or a restrictive or escrow account in a federal or commonwealth chartered lending institution.

The performance guaranties shall provide for and secure to the public the completion of all proposed or required improvements within one year of the date fixed on the site plan for the completion of such improvement. Any such improvement completion date fixed on the plan shall not extend beyond three years from the date of final plan approval.

The amount of financial security provided by a performance guaranty shall be equal to 110% of the cost of the proposed or required improvements for which financial security is being posted. The cost of the improvements shall be established by the submission to the Township of a bona fide bid or bids from the contractor or contractors chosen by the developer to complete the improvements. In the absence of such bona fide bids, the costs shall be established by an estimate prepared by the Township Engineer.

If the developer requires more than one year from the date of posting of financial security to complete the required improvements, the amount of financial security may be fixed by either of the following methods:

Where the development is projected over a period of years, the Board of Supervisors may authorize submission of final plans by sections or stages of development, subject to such requirements or guaranties as to improvements in future sections or stages as it finds essential for the protection of any finally approved section of the development.

The developer may request, from time to time, as work progresses, the release of such portions of the financial security necessary for payment to the contractor performing the work.

All such requests shall be in writing, by certified mail, addressed to the Board of Supervisors with a copy thereof sent to the Township Engineer. The Board of Supervisors shall have 45 days from receipt of such request within which to allow the Township Engineer to certify, in writing, to the Board of Supervisors that such portion of the work upon the improvements has been completed in accordance with the approved plan and to act upon such request.

Accompanying all requests for the release of financial security, there must be a certification to the Board of Supervisors from the developer's engineer that the subject portion of work has been completed in accordance with the approved plans and to Township standards. The certification must be specific in regards to type, amount and actual location of the work completed. The period of time allocated to the Township for such inspections and action will not begin until such certification has been received by the Township.

Upon the Township Engineer's certification, the Board of Supervisors shall authorize the release of an amount of financial security as estimated by the Township Engineer to fairly represent the value of the improvements completed. The Board of Supervisors may, prior to final release at the time of completion and certification by the Township Engineer, require retention of 10% of the estimated cost of the aforesaid improvements.

Should the Board of Supervisors fail to act within said forty-five-day period, the Board of Supervisors shall be deemed to have approved the release of funds as requested.

When the developer has completed all of the proposed or required improvements, the developer shall notify the Board of Supervisors, in writing, by certified mail, of the completion of the aforesaid improvements and shall send a copy thereof to the Township Engineer. The Board of Supervisors shall, within 10 days after receipt of such notice, direct and authorize the Township Engineer to inspect all of the aforesaid improvements. The Township Engineer shall, thereupon, file a report, in writing, with the Board of Supervisors and shall promptly mail a copy of the same to the developer by certified mail. The report shall be made and mailed within 30 days after receipt by the Township Engineer of the aforesaid authorization from the Board of Supervisors, and said report shall be detailed and shall indicate approval or rejection of said improvements, either in whole or in part, and if said improvements or any portion thereof shall not be approved or shall be rejected by the Township Engineer, said report shall contain, by reference to sections of this article, a statement of reasons for such nonapproval or rejection.

A certification, as specified in Subsection D(7)(i), must be submitted with all requests for the release of financial security.

The Board of Supervisors shall notify the developer, in writing, by certified mail, of the action of said Board of Supervisors with relation thereto.

If the Board of Supervisors or the Township Engineer fails to comply with the time limitation provisions contained herein, all improvements will be deemed to have been approved and the developer shall be released from all liability, pursuant to its performance guaranty.

If any portion of the improvements are not approved or are rejected by the Board of Supervisors, the developer shall proceed to complete the same and, upon completion, the same procedure of notification, as outlined herein, shall be followed.

In the event that any improvements which may be required have not been installed as provided in this article or in accord with the approved plan, the Board of Supervisors may enforce any corporate bond or other security by appropriate and equitable remedies. If proceeds of such bond or other security are insufficient to pay the cost of installing or making repairs or corrections to all the improvement covered by said security, the Board of Supervisors may, at its option, install part of such improvements in all or part of the project and may institute appropriate legal or equitable action to recover the moneys necessary to complete the remainder of the improvements. All of the proceeds, whether resulting from the security or from any legal or equitable action brought against the developer, or both, shall be used solely for the installation of the improvements covered by such security and not for any other municipal purposes.