A. 
No subdivision and/or land development plan application shall be finally approved unless the streets shown on such plan have been improved to a mud free or otherwise permanently passable condition or improved as required by this chapter and any walkways, curbs, gutters, streetlights, fire hydrants, shade trees, water mains, sanitary sewers, storm sewers, and other improvements as required by this chapter have been installed in accordance with this chapter. In lieu of the completion of any improvements required as a condition for final subdivision and/or land development plan approval, including improvements or fees, the applicant shall deposit financial security with the municipality in an amount sufficient to cover the costs of such improvements or common amenities including, but not limited to, roads, stormwater detention and/or retention basins and other related drainage facilities, recreational facilities, open space improvements, or buffer or screen plantings which are or may be required. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(a)).
B. 
When requested by the applicant in order to facilitate financing, the municipality shall furnish the applicant with a signed copy of a resolution indicating approval of the final subdivision and/or land development plan, contingent upon the applicant obtaining satisfactory financial security. The final subdivision and/or land development plan or record plan shall not be signed nor recorded until the financial improvements agreement is executed. The resolution or letter of contingent approval shall expire and be deemed to be revoked if the financial security agreement is not executed within 90 calendar days, unless the municipality grants a written extension. Such extension shall not be unreasonably withheld and shall be placed, in writing, at the request of the applicant. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(b)).
A. 
In lieu of the completion of the streets and other improvements required as a condition for the final approval of the subdivision and/or land development plan, as set forth in §§ 195-304 and 195-1000 this chapter, the applicant may deposit financial security acceptable to the municipality in an amount sufficient to cover the costs of such improvements, estimated, calculated, and determined as set forth below.
B. 
Without limitation as to other types of financial security which the municipality may approve, which approval shall not be unreasonably withheld, federal- or commonwealth-chartered lending institution irrevocable letters of credit and restrictive or escrow accounts in such lending institutions shall be deemed acceptable financial security. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(c)).
C. 
Such financial security shall be posted with a bonding company or federal- or commonwealth-chartered lending institution chosen by the party posting the financial security, provided that said bonding company or lending institution is authorized to conduct such business within the commonwealth. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(d)).
D. 
Such bond or other security shall provide for and secure to the public the completion of any improvements which may be required on or before the date fixed in the formal action of approval or accompanying agreement for completion of the improvements. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(e)).
E. 
The amount of financial security to be posted for the completion of the required improvements shall be equal to 110% of the cost of completion estimated as of 90 calendar days following the date scheduled for completion by the applicant. The municipality may adjust the amount of the financial security annually by comparing the actual cost of the improvements that have been completed and the estimated cost for the completion of the remaining improvements as of the expiration of the 90th day after either the original date scheduled for completion or a rescheduled date of completion. Subsequent to said adjustment, the municipality may require the applicant to post additional security in order to assure that the financial security equals said 110%. Any additional security shall be posted by the applicant in accordance with this section. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(f)).
F. 
The amount of financial security required shall be based upon an estimate of the cost of completion of the required improvements submitted by the applicant and prepared by a professional engineer licensed as such in this commonwealth and certified by such engineer to be a fair and reasonable estimate of such cost. The municipality may refuse to accept such estimate for good cause shown. If the applicant and the municipality are unable to agree upon an estimate, then the estimate shall be recalculated and recertified by another professional engineer licensed as such in this commonwealth and chosen mutually by the municipality and the applicant. The estimate certified by the mutually chosen engineer shall be presumed fair and reasonable and shall be the final estimate. In the event that a third engineer is so chosen, fees for the services of said engineer shall be paid equally by the municipality and the applicant. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(g)).
G. 
If the party posting the financial security requires more than one year from the date of posting of the financial security to complete the required improvements, the amount of financial security may be increased by an additional 10% for each one-year period beyond the first anniversary date from posting of financial security or to an amount not exceeding 110% of the cost of completing the required improvements as reestablished on or about the expiration of the preceding one-year period by using the above bidding procedure. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(h)).
H. 
In the case where development is projected over a period of years, the municipality may authorize submission of final subdivision and/or land development plans by section or stages of development, subject to such requirements or guaranties as to improvements in future sections or stages of development as it finds essential for the protection of any finally approved section of the development. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(i)).
I. 
As the work of installing the required improvements proceeds, the party posting the financial security may request the municipality to release or authorize the release, from time to time, of such portions of the financial security necessary for payment to the contractor or contractors performing the work. Any such requests shall be in writing addressed to the municipality, who shall have 45 calendar days from receipt of such request within which to certify that such portion of the work upon the improvements has been completed in accordance with the approved plan. Upon such certification, the municipality shall authorize release by the bonding company or lending institution of an amount fairly representing the value of the improvements completed, or if the municipality fails to act within said forty-five-calendar day period, the municipality shall be deemed to have approved the release of funds as requested. The municipality may, prior to final release at the time of completion, require retention of the estimated cost of the aforesaid improvements. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(j)).
J. 
Where the municipality accepts dedication of all or some of the required improvements following completion, the municipality may require the posting of financial security to secure structural integrity of said improvements as well as the functioning of said improvements, in accordance with the design and specifications as depicted on the final subdivision and/or land development plan for a term not to exceed 18 months from the date of acceptance of dedication. Said financial security shall be of the same type as otherwise required in this section with regard to installation of such improvements, and the amount of the financial security shall not exceed 15% of the actual cost of installation of said improvements. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(k)).
K. 
If water mains or sanitary sewer lines or both, along with apparatus or facilities related thereto, are to be installed under the jurisdiction and pursuant to the rules and regulations of a public utility or municipal authority separate and distinct from the municipality, financial security to assure proper completion and maintenance thereof shall be posted in accordance with the regulations of the controlling public utility or municipal authority and shall not be included within the financial security as otherwise required by this section. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(l)).
L. 
If financial security has been provided in lieu of the completion of improvements required as a condition for the final subdivision and/or land development plan approval, the municipality shall not condition the issuance of building, grading, or other permits relating to the erection or placement of improvements, including buildings, upon the lots or land upon actual completion of the improvements depicted upon the approved final subdivision and/or land development plan. Moreover, if said financial security has been provided, occupancy permits for any building or buildings to be erected shall not be withheld following the improvement of the streets to a mud-free or otherwise permanently passable condition, as well as the completion of all other improvements as depicted upon the approved final subdivision and/or land development plan, either upon the lot or lots or beyond the lot or lots in question, if such improvements are necessary for the reasonable use of or occupancy of the building or buildings. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(m)).
M. 
The applicant shall not be required to provide financial security for the costs of any improvements for which financial security is required by and provided to PennDOT in connection with the issuance of a highway occupancy permit, pursuant to Section 420 of the Act of June 1, 1945 (P.L. 1242, No. 428) known as the "State Highway Law."[1] (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 509(a)).
[1]
Editor's Note: See 36 P.S. § 670-101 et seq.
A. 
When the applicant has completed all of the necessary and appropriate improvements, the applicant shall notify the municipality in writing by certified or registered mail of the completion of the aforesaid improvements. The municipality shall, within twenty-five calendar days after receipt of such notice, inspect all of the aforesaid improvements and inform the applicant in writing by certified or registered mail of its action with relation thereto. The municipality shall prepare a written report and promptly mail a copy of the same to the applicant by certified or registered mail. The report shall be detailed and shall indicate approval or rejection of said improvements, either in whole or in part, and if said improvements or any portion thereof shall not be approved, said report shall contain a statement of reasons for such nonapproval or rejection. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 510(a)).
B. 
The municipality shall notify the applicant, within 15 calendar days of receipt of the engineer's report in writing by certified or registered mail of the action of said municipality with relation thereto. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 510(b)).
C. 
If the municipality fails to comply with the time limitation provisions contained herein, all improvements will be deemed to have been approved, and the applicant shall be released from all liability, pursuant to its performance guaranty bond or other security agreement. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 510(c)).
D. 
If any portion of the said improvements shall not be approved or shall be rejected by the municipality, then applicant shall proceed to complete the same and, upon completion, the same procedure of notification as outlined herein shall be followed. (NOTE: See Pennsylvania Municipalities Planning Code, Act 247, Section 510(d)).
A. 
Within 30 calendar days after completion of improvements and approval of the same by the municipality and before acceptance of such improvements, the applicant shall submit to the municipality a corrected set of as-built plans and profiles in accordance with § 195-308 of this chapter. In the event that the as-built plan is not submitted in complete and accurate form, all funds being withheld by means of a completion guaranty shall not be released until such as-built plan has been satisfactorily completed.
B. 
The as-built plan shall be reproducible and drawn to the same scale as the final subdivision and/or land development plan, conservation plan, and improvements construction plan and shall be certified by an engineer or surveyor and approved by the municipality.
A. 
In the event that any improvements that may be required have not been installed as provided in this chapter or in accord with the approved final subdivision or land development plan, the municipality is hereby granted the power to enforce any corporate bond or other security by appropriate legal and equitable remedies. If proceeds of such bond or other security are insufficient to pay the cost of installing or making repairs or corrections to all of the improvements covered by said security, the municipality may, at its option, install part of such improvements in all or part of the subdivision and/or land development and may institute appropriate legal or equitable action to recover the monies necessary to complete the remainder of the improvements. All of the proceeds, whether resulting from the security or from any legal or equitable action brought against the applicant, or both, shall be used solely for the installation of the improvements covered by such security and not for any other municipal purpose.
A. 
Upon completion of the construction of improvements in accordance with the approved subdivision and/or land development plan, the following conditions shall apply to the offer of dedication of the same and the acceptance thereof:
(1) 
The municipality shall have no obligation to take over and make public any street or other improvement in or abutting a subdivision and/or land development. If the municipality elects to accept an offer of dedication, such acceptance shall not occur unless and until:
(a) 
The required improvements and monuments, as shown on the approved subdivision and/or land development plan, conservation plan, and improvements construction plan, shall have been certified by the municipality as having been constructed and installed in accordance with the provisions of this chapter and other municipal ordinances, codes, regulations, plans, and maps and accurately delineated on an as-built plan.
(b) 
A maintenance guaranty is provided through the posting of financial security, such as that deemed to be acceptable to the municipality as set forth in § 195-1001 of this chapter. Such guaranty shall assure the structural integrity of required improvements as well as the functioning of said improvements in accordance with the design and specifications as depicted on the approved final subdivision and/or land development plans for a term not to exceed 18 months from the date of acceptance of dedication. Said financial security shall be in an amount equivalent to 15% of the actual cost of installation of the required improvements.
(c) 
A deed or deeds of dedication for all such improvements, prepared and executed by the applicant in accordance with forms prescribed by the municipality, shall have been presented to the municipality, together with a certificate from the contractor or contractors evidencing the payment of all labor and material costs and a policy of title insurance ensuring the fee title to said improvements as free and clear of all liens and encumbrances and other objections to the title.
(d) 
At least 50% of all lots having access to the street have been encompassed by completed dwellings, and the municipality shall determine that the public interest requires that such improvements be accepted.
(e) 
Any offer of a deed of dedication must be accompanied by a maintenance bond and the as-built plan(s) at least 90 calendar days prior to the anticipated date for the acceptance of the deed of dedication.
(f) 
The municipality shall have no responsibility with respect to any improvements, notwithstanding any public use thereof, unless and until such improvements are accepted for dedication by duly enacting or adopting an ordinance or resolution therefore.