[Amended by Ord. No. 2000-18]
A.
Completion prior to final approval. Prior to the granting
of final approval, the subdivider shall have installed or shall have
furnished performance guaranties for the ultimate installation of
the following:
B.
Certification of completion by Board Engineer. No
final plat shall be approved by the Board until the completion of
all such required improvements has been certified to the Board by
the Board Engineer, unless the subdivision owner shall have filed
with the Township a performance guaranty sufficient in amount to cover
the cost of all such improvements or uncompleted portions thereof
as estimated by the Board Engineer, and assuring the installation
of such uncompleted improvements on or before an agreed date.
C.
Connection of utilities. All such installations shall
be properly connected with an existing system, or as approved by the
Board, and shall be adequate to handle all present and probable future
development.
D.
Compliance with design standards. All of the above listed improvements shall be in accordance with the design standards of Article VIII and subject to inspection and approval by the Board Engineer. The Board Engineer shall be notified 24 hours prior to the start of the various phases of the work, and, if discontinued, shall again be notified when the work will be continued.
E.
Performance guaranties.
(1)
As a condition of final subdivision or site plan approval,
the reviewing board shall require, for the purpose of assuring the
installation of all improvements required under such approval, that
the applicant furnish a performance guaranty in accordance with the
following requirements and the provisions of N.J.S.A. 40:55D-53, 40:55D-53b,
40:55D-53.3, 40:55D-53.4 and 40:55D-53.5:
(a)
The performance guaranty must run in favor of
the Township and be in an amount not to exceed 120%, rounded to the
nearest dollar, of the cost of installation of improvements the Township
may deem necessary or appropriate, including, but not limited to,
streets, grading, pavement, gutters, curbs, sidewalks, streetlighting,
shade trees, surveyor's monuments (as shown on the final map and required
by the Map Filing Law, N.J.S.A. 46:23-9.9 et seq.), water main, culverts,
storm sewers, sanitary sewers or other means of sewage disposal, drainage
structures, erosion control and sedimentation control devices, public
improvements and landscaping, provided that no more than 10% of the
total performance guaranty shall be in cash and the balance shall
be in the form of a surety bond issued by a bonding company licensed
to do business in the State of New Jersey or a letter of credit issued
by a banking institution licensed to do business in the State of New
Jersey. Such bond or letter of credit must conform to statutory requirements
and be approved and accepted by the Township governing body. The Township
Engineer shall review the improvements required by the reviewing board
which are to be bonded and itemize their cost. This itemization shall
be the basis for determining the amount of the performance guaranty
required by the Township and the inspection fees based thereon, and
the estimate shall be appended to the performance guaranty. The Township
Engineer shall forward his or her estimate of the cost of improvements
to the applicant within 30 days after the date of receipt of a request
sent by certified mail for this estimate. In the event that any of
the improvements to be installed are covered by a performance guaranty
to another governmental agency, no performance guaranty shall be required
from the Township for such improvements.
(b)
If at any time during the period of time between
acceptance of the initial performance guaranty and the date the Township
Council formally releases such performance guaranty the Township Council
should have reasonable cause to doubt the value, legality, enforceability
or effectiveness of such guaranty, all development activity for which
such guaranty was established shall be discontinued until such time
as a substitute guaranty, in form and substance equivalent to the
guaranty which was required to be in place at the time the status
of the original guaranty was questioned, shall be delivered to and
accepted by the Township Council. By way of illustration and not limitation,
the following shall be instances of reasonable cause to doubt the
value, legality, enforceability or effectiveness of such guaranties:
[1]
The company issuing the bond shall cease to
do business, declare insolvency or bankruptcy or be forced into involuntary
bankruptcy.
[2]
The bank, savings and loan, credit union, mortgage
banking company or other banking or banking-like entity issuing a
letter of credit shall become insolvent, be taken over by any governmental
or quasi-governmental agency or company or otherwise cease to do business.
[3]
The issuer of any performance guaranty shall
serve on the Township notice of termination or cancellation of such
guaranty.
(2)
The amount of any performance guaranty may be reduced
by the Township Council, by resolution, when portions of the improvements
have been certified by the Township Engineer to have been completed.
The time allowed for installation of the improvements for which the
performance guaranty has been provided may be extended by the Township
Council by resolution.
(3)
If the required improvements are not completed or
corrected in accordance with the finally approved development plans
and approvals, the obligor and surety shall be liable thereon to the
Township for the reasonable cost of the improvements not completed
or corrected, and the Township, either prior to or after the receipt
of the proceeds of the performance guaranty, may complete such improvements.
(4)
Upon substantial completion of all required street
improvements (except for the top course) and appurtenant utility improvements
and the connection of the same to the public system, the obligor may
request of the governing body as provided in N.J.S.A. 40:55D-53(2)d(1)
and (2) a list of all uncompleted or unsatisfactory completed improvements,
and the Township Engineer shall respond as required. The Township
Council thereafter shall, as provided in N.J.S.A. 40:55D-53(2)e(1),
by resolution either approve or reject the improvements based on the
Engineer's report and authorize the amount of reduction to be made
in the performance guaranty within 45 days of receipt of the list
and report prepared by the Engineer. All procedures to be taken in
conjunction with a reduction or release of the performance guaranty
shall be in accordance with the provisions of N.J.S.A. 40:55D-53 et
seq.
(a)
If any portion of the required improvements
is rejected, the obligor shall complete such improvements, and, upon
completion, the same procedure of notification as set forth in this
section shall be followed.
(5)
The obligor shall reimburse the Township for all reasonable
inspection fees paid to the Township Engineer for the foregoing inspection
of improvements, pursuant to N.J.S.A. 40:55D-53h.
The subdivider shall observe the requirements and principles established in Article VIII, Design Standards, in the construction and installation of all required improvements.
[Amended by Ord. No. 2000-18]
A.
As a condition of the final release of all performance
guaranties posted by an applicant with respect to any development
approval within the Township, the applicant shall deliver to the Township
Clerk, for the purpose of assuring that all improvements installed
in accordance with such development approval have been installed in
a good and workmanlike manner and that all materials are fit for their
intended purpose, a maintenance guaranty in accordance with the following
standards:
(1)
The maintenance guaranty shall be for a period of
two years commencing on the date that the Township Council finally
accepts the improvements as being complete, in an amount not to exceed
15% of the total cost of the improvements as set forth on the Township
Engineer's estimate for such improvements. In the event that other
governmental agencies or public utilities automatically will own the
utilities or improvements which are installed or the improvements
are covered by a maintenance guaranty provided by the applicant to
another governmental agency, no maintenance guaranty in favor of the
Township shall be required for such utilities or improvements. Such
maintenance guaranty shall be in the form of a surety bond issued
by a surety licensed to do business in the State of New Jersey or
a letter of credit issued by a banking institution licensed to do
business in the State of New Jersey. Such maintenance guaranty shall
be approved and accepted by the Township Council.
(2)
If any time during the period of time prior to expiration
of the maintenance guaranty the Township Council has reasonable cause
to doubt the value, legality, enforceability or effectiveness of such
guaranty, the obligor must deliver to the Township Clerk a substitute
guaranty, in form and substance equivalent to the guaranty which was
required to be in place at the time the status of the original guaranty
was questioned. By way of illustration and not limitation, the following
shall be instances of reasonable cause to doubt the value, legality,
enforceability or effectiveness of such guaranties:
(a)
The company issuing the bond shall cease to
do business, declare insolvency or bankruptcy or be forced into involuntary
bankruptcy.
(b)
The bank, savings and loan, credit union, mortgage
banking company or other banking or banking-like entity issuing a
letter of credit shall become insolvent, be taken over by any governmental
or quasi-governmental agency or company or otherwise cease to do business.
B.
If the Township determines that any improvements which
are covered by such maintenance guaranty have not been completed in
a good and workmanlike manner, or that any materials which were incorporated
into such improvements are not fit for their intended purpose and
the obligor, under such maintenance guaranty, has not corrected the
improvements to the satisfaction of the Township Engineer within 30
days after written notice of such defect, the obligor and the surety
shall be liable on such guaranty to the Township for the reasonable
cost of correcting and/or replacing such improvements, and the Township,
either prior to or after the receipt of the proceeds of such guaranty,
shall have the right, but not the obligation, to complete corrective
work or replacements of such improvements which may be required.
