Pursuant to the powers established by N.J.S.A. 40:55D-42, the follow standards are hereby promulgated with respect to determining the proportionate or pro rata share of an applicant for required off-tract improvements.
A. 
Improvements to be constructed at the sole expense of the applicant. In cases where reasonable and necessary need for an off-tract improvement or improvements is necessitated or required by the proposed development application and where no other property owners receive a special benefit thereby, the Board may require the applicant, as a condition of approval, at the applicant's expense, to provide for and construct such improvement(s) as if such were on-tract improvements in the manner provided hereafter and as otherwise provided by law.
B. 
Other improvements.
(1) 
In cases where the need for any off-tract improvement is necessitated by the proposed development application and where the Board determines that properties outside the development will also be benefited by the improvement, the Board shall forthwith forward to the governing body a list and description of all such improvements together with its request that the governing body determine and advise the Board of the procedure to be followed in the construction or installation thereof. The Board shall act upon the development application within the prescribed time period subject to receipt of the governing body's determination or the expiration of 30 days after forwarding of such list and description to the governing body without such determination having been made.
(2) 
The governing body, within 30 days after receipt of said list and description, shall determine and advise the Board whether:
(a) 
The improvement or improvements are to be constructed or installed by the municipality:
[1] 
As a general improvement, the cost of which is to be borne at general expense (except as hereinafter otherwise provided as to a contribution thereto by the applicant); or
[2] 
As a local improvement, all or part of the cost of which is to be specially assessed against properties benefited thereby in proportion to benefits conferred by the improvements in accordance with law (except as hereinafter otherwise provided as to a contribution thereto by the applicant; or
(b) 
The improvement or improvements are to be constructed or installed by the applicant under a formula for partial reimbursement as hereinafter set forth.
(3) 
If the governing body shall determine that the improvement or improvements shall be constructed or installed under Subsection B(2)(a)[1] hereinabove, the Board shall estimate, with the aid of the Municipal Professional Engineer or such other persons as have pertinent information or expertise, the amount, if any, by which the total cost thereof will exceed the total amount by which all properties, including the proposed development, will be specially benefited thereby, and the applicant shall be liable to the municipality for such excess. Further, the governing body shall adopt an ordinance authorizing and providing for the financing of the improvement or improvements in a manner consistent with the obligation of the applicant for any excess of total cost over total benefits conferred, as set forth above.
(4) 
If the governing body shall determine that the improvement or improvements shall be constructed or installed under Subsection B(2)(a)[2] hereinabove, the Board shall, as provided in Subsection B(3) hereinabove, estimate the difference between the total costs to be incurred and the total amount by which all properties to be benefited thereby, including the development property, will be specially benefited by the improvement, and the applicant shall be liable to the municipality therefor, as well as for the amount of any special assessments against the development property for benefits conferred by the improvement or improvements. Further, the governing body shall adopt an ordinance authorizing and providing for the financing of the improvement or improvements and the assessment of benefits arising therefor in a manner consistent with the obligation of the applicant with respect thereto, and proceedings under said ordinance shall be in accordance with law, except to the extent modified by the obligation of the applicant for any excess of total cost over total benefits conferred, as set forth above.
(5) 
If the governing body shall determine that the improvement or improvements are to be constructed or installed by the applicant under Subsection B(2)(b) hereinabove, the Board shall, in like manner, estimate the amount of such excess, and the applicant shall be liable to the municipality therefor as well as for the amount of any special assessments against the development property for benefits conferred by the improvement or improvements. However, the applicant shall be entitled to be reimbursed by the municipality for the amount of any special assessments against property other than the development property for benefits conferred by the improvement or improvements, such reimbursement to be made if, as and when the special assessments against such other property are received by the municipality. Further, the governing body shall adopt an ordinance authorizing and providing for the assessment against all properties, including the development property, of benefits conferred by the improvement or improvements, and proceedings under said ordinance shall be in accordance with law. However, any such assessment against the development property shall be marked paid and satisfied in consideration of the construction or installation of the improvement or improvements by the applicant.
C. 
Performance guaranties. The applicant shall be required to provide, as a condition for final approval of his development application, a performance guaranty running to the municipality as follows:
(1) 
If the improvement is to be constructed by the applicant under Subsection A hereinabove or under Subsection B(2)(b) hereinabove: a performance bond with surety in an amount equal to the estimated cost of the improvement; or, as to any part of said improvement that is to be acquired or installed by the municipality under said Subsection A, a performance bond equal to the estimated cost of such acquisition or installation by the municipality.
(2) 
If the improvement is to be constructed by the municipality as a general improvement under Subsection B(2)(a)[1] hereinabove: a performance bond equal to the amount of the excess of the estimated cost of the improvement over the estimated total amount by which all properties, including the development property, will be specially benefited thereby.
(3) 
If the improvement is to be constructed by the municipality as a local improvement under Subsection B(2)(a)[2] hereinabove: a performance bond equal to the amount referred to in the preceding Subsection C(2) immediately above, plus the estimated amount by which the development property will be specially benefited by the improvement.
D. 
Refund of deposit where improvements are not authorized within 10 years. In any case in which an applicant shall deposit money with the municipality for the completion of an improvement that is to be constructed pursuant to this chapter by the municipality, the applicant shall be entitled to a full refund of such deposit if the governing body of the municipality shall not have enacted an ordinance authorizing the improvement within 10 years after the date that all other development improvements are completed.
E. 
Deposit of funds. All moneys paid by an applicant pursuant to this chapter shall be paid over to the Municipal Treasurer who shall provide a suitable depository therefor. Such funds shall be used only for the improvements for which they are deposited or improvements serving the same purpose.
F. 
Redetermination of assessment upon completion of improvement. Upon completion of off-tract improvements required pursuant to this chapter, the applicant's liability hereunder shall be recalculated in accordance with the actual, as compared with the estimated, cost of the improvements. To the extent that such recalculation shall increase the amount of any cash deposit made by the applicant hereunder, the applicant shall forthwith pay the amount of such increase to the municipality. To the extent that it shall decrease the amount thereof, the municipality shall forthwith refund the amount of such decrease to the applicant. In cases where improvements are specially assessed against all benefited properties, recalculation shall be made by the municipal assessing authority in the course of the special assessment proceedings. In other cases, it shall be made by the Municipal Professional Engineer.