The performance guarantee shall be approved by the Municipal
Attorney as to form, sufficiency and execution. Such performance guarantee
shall run for a period to be fixed by the Planning Board but, in no case,
for a term of more than three years. However, with the consent of the owner
and the surety, if there be one, the governing body may by resolution extend
the term of such performance guarantee for an additional period not to exceed
three years. The amount of the performance guarantee may be reduced by the
governing body by resolution when portions of the required improvements have
been installed.