Whenever it is required as a condition to subdivision or site
plan approval that a performance guarantee be furnished in favor of
the Town in an amount not to exceed 120% of the estimated cost of
any required improvements within a stated time, the time allowed for
installation of the improvements for which the performance guarantee
has been provided may be extended by the Town Council by resolution.
As a condition of or as part of any such extension, the amount of
any performance guarantee shall be increased or reduced, as the case
may be, to an amount not to exceed 120% of the cost of the installation
as determined at the time of passage of the resolution.
Upon substantial completion of all required appurtenant utility
improvements and the connection of such utilities to the public system,
the obligor may notify the Town Council in writing of such completion
or substantial completion as provided for in N.J.S.A. 40:55D-53d,
and after inspection and report of the Town Engineer, the Town Council
may approve, partially approve, or reject the improvements. Where
partial approval is granted, the bond of the obligor may be reduced,
provided that 30% of the amount of the performance guarantee posted
may be retained to ensure completion of all improvements. Notice shall
be given to the obligor as required by N.J.S.A. 40:55D-53e.
The obligor on any such bond shall reimburse the Town for all
reasonable inspection fees paid to the Town Engineer for any such
inspection of improvements, and the developer shall post a deposit
to cover such fees in the amount required by the municipal agency
having jurisdiction.
