[R.O. 2016 § 500.100; R.O. 2011 § 500.120; Ord. No. 116 § 7, 7-2-2003; Ord. No. 142 § 1, 4-7-2004; Ord. No. 180 § 1, 4-6-2005; Ord. No. 374 § 5, 10-3-2012]
A. Performance Security Required. Each applicant:
1.
For a demolition permit; or
2.
For a building permit involving any site improvement to which
a Development Plan or Limited Development Plan process applies under
the Zoning Code of the City of Twin Oaks, Missouri; and each person
or entity:
a.
Undertaking any grading or excavation which is subject to grading
permit, building permit or subdivision approval requirements; or
b.
Using public or private streets within the City in connection
with the improvement of real property, including the construction
of buildings or structures, which has an estimated value of over twenty-five
thousand dollars ($25,000.00) shall, before undertaking any work under
such permit or activity and in addition to any fees for such permits
or other required deposits, establish a deposit or performance security
with the City:
(1) To assure timely and satisfactory undertaking and
completion of such demolition, grading or improvement such that the
public safety, convenience and welfare is secured,
(2) To secure against damage to such streets, and
(3) To assure the removal in a manner satisfactory
to the City of any earth, mud, ice, snow, rock, gravel, sand, cement,
asphalt, trash, debris or other materials that block or otherwise
limit the use and enjoyment of said streets or endanger those using
said streets, in the manner and in the amounts provided in this Section;
provided that requirements of this Section shall not apply to a public
utility right-of-way user which has at least twenty-five million dollars
($25,000,000.00) in net assets and does not have history of permitting
non-compliance within the City.
B. Deposit/Security Options. Deposits or performance guarantees required
by this Section shall be in one of the forms, as applicable, provided
below:
1.
Cash deposited with the City Clerk to be held in an interest-bearing
account dedicated for that purpose. All interest accruing on the account
shall be retained by the City to offset administrative and other costs
of maintaining the cash deposits; or
2.
An irrevocable letter of credit drawn on a local financial institution for a period of at least one (1) year and in a form approved by the City Attorney. The letter of credit may not be drawn on any financial institution with whom the applicant or a related entity has any ownership interest or with whom there is any joint financial connection that creates any actual or potential lack of independence between the institution and the applicant. The letter of credit and any associated deposit agreement shall provide that the issuing institution will pay on demand to the City such amounts as the City may require to fulfill the obligations set forth in Subsections
(A) and
(D) of this Section. The letter of credit shall state that any balance remaining at the expiration shall automatically be deposited in cash with the City Clerk, unless a new letter of credit is issued and agreed to by the City or the City issues to the institution a written release of the obligations for which the letter of credit was deposited; or
3.
In an "A" Single-Family Dwelling District and/or a "B" Single-Family Attached Dwelling District and where the estimated cost or value of the activity subject to the foregoing permit or approval requirements is fifty thousand dollars ($50,000.00) or less, as determined by the Code Official, a performance bond or security with a good and sufficient surety in favor of the City and in a form approved by the City Attorney guaranteeing the obligations set forth in Subsections
(A) and
(D) of this Section.
C. Amount Of Deposit/Security Required. The amount of deposit or performance
security required pursuant to this Section shall as follows:
1.
For activity within an "A" Single-Family Dwelling District and/or
a "B" Single-Family Attached Dwelling District, either:
a.
In the case of a cash deposit or irrevocable letter of credit,
the amount of twenty-five percent (25%); or
b.
In the case of a performance bond or security, the amount of
one hundred percent (100%) of the estimate of the cost, as determined
by the Code Official, of the proposed demolition, the completion of
the proposed grading or excavation and/or installation of the proposed
improvement.
2.
For activity within a "C" Commercial District and/or a "D" Park
District, a cash deposit or irrevocable letter of credit in the amount
of one hundred percent (100%) of the estimate of the cost, as determined
by the Code Official, of the proposed demolition, the completion of
the proposed grading or excavation and/or installation of the proposed
improvement.
D. Use Of Deposits/Security. The City may use deposits or may apply
the performance security to defray or reimburse any cost to the City
to secure the public safety, convenience and welfare in the event
of a failure:
1.
To timely and satisfactorily undertake and/or complete the demolition,
grading or improvement which is the subject of the permit issued;
2.
To repair damage to public or private streets within five (5)
business days of written notification of such condition by the Code
Official or the City Clerk; or
3.
To satisfactorily remove materials resulting from the construction
activity that block or otherwise limit the use and enjoyment of streets
within three (3) calendar days of written notification of such condition
by the Code Official or the City Clerk.
E. Releases. Unless otherwise required by law, the City shall release
the deposit or performance security required under this Section:
1.
Upon written request of the applicant to the City Clerk; and
2.
Within thirty (30) days of inspection and written certification
by the Code Official of the satisfactory completion of all work undertaken
under the permits issued.
F. Appeals. If an applicant believes that a release of deposit or performance security has been improperly denied, a written appeal may be made pursuant to Chapter
150.
G. Additional Remedies. If any party fails to comply with any obligations
of this Section, the Code Official or the City Clerk may recommend
that the City Attorney take appropriate legal action and may also
withhold any grading, building or occupancy permits to this applicant
or related entities until such compliance is cured.
H. Replacement Letter Of Credit. In the event a developer who has posted a cash escrow or letter of credit with the City in accordance with Subsection
(B) of this Section transfers title of the subdivision property prior to full release of the escrow or letter of credit, the municipality shall accept a replacement escrow or letter of credit from the successor developer in the form allowed in Subsection
(B) of this Section and in the amount of the escrow or letter of credit held by the City at the time of the property transfer, and upon receipt of the replacement escrow or letter of credit, the City shall release the original escrow or letter of credit in full and release the prior developer from all further obligations with respect to the performance guarantee if the successor developer assumes all of the outstanding obligations of the previous developer.
I. Provisions Subject To Certain Requirements Of State Law. All provisions
contained in this Section shall be read in consonance with the provisions
contained in Section 89.410, RSMo., as amended from time to time and
in the event of a conflict between the provisions of this Section
and those contained in Section 89.410, RSMo., the later shall prevail
and control.