§ 5-9. Improvements and performance bond.

(a)

Completion of improvements. Before the final plat is signed by the chairman of the planning commission, all applicants shall be required to complete, or post proper bond, all the street, sanitary, and other improvements including lot improvements on the individual lots of the subdivision as required in these regulations, specified in the final subdivision plat, and as approved by the planning commission, and to dedicate same to the local government, free and clear of all liens and encumbrances on the property and public improvements thus dedicated.

(b)

Bond and agreement. In lieu of actual completion of the improvements required by this ordinance, the subdivider, after submitting an estimate of the cost of construction, shall enter into an agreement with the City of Norton and shall furnish to the city a certified check or bond with surety satisfactory to the city in an amount equal to the cost of the incompleted required improvements. The form of the agreement and type of bond shall be approved by the city attorney. The amount of bond or certified check, and the designated length of time of completion of the required improvements shall be fixed by the city. An irrevocable letter of credit issued by a bank, in a form approved by the city attorney, may be accepted by the city in lieu of the surety bond or certified check; provided however, that the letter of credit is under the same terms and conditions applicable to the surety bond or certified check. The authority of such surety bonds or letters of credit shall only expire when the terms and conditions of the agreement required by this section of the subdivision ordinance have been satisfied; until such time, the surety bond or letter of credit shall remain in full force and virtue (effect).

(c)

Release of performance bond. The planning commission will not accept dedication of required improvements nor release nor reduce a performance bond, until the city manager has submitted a certificate stating that all required improvements have been satisfactorily completed and that the layout of the line and grade of all public improvements is in accordance with construction plans for the subdivision and that a title insurance policy has been furnished to and approved by the city attorney indicating that the improvements shall have been completed, are ready for dedication to the local government and are free and clear of any and all liens and encumbrances. Upon such approval and recommendation, the planning commission shall thereafter accept the improvements for dedication in accordance with the established procedure.

(d)

Reduction of performance bond. A performance bond shall be reduced upon actual dedication of public improvements and then only to the ratio that the public improvement dedicated bears to the total public improvements for the plat. In no event shall a performance bond be reduced below twenty-five (25) percent of the principal amount.