If under Subsection 6.2.F. of this Ordinance the developer chooses
to construct the required improvements prior to recordation of the
final plat, all such construction shall be inspected while in progress
by the appropriate City Staff, and must be approved upon completion
by the Director of Public Services. Prior to recording the final plat,
the developer shall file with the City a maintenance bond, executed
by a surety company holding a license to do business in the State
of Texas, in an amount equal to one hundred (100) percent of the cost
of the improvements required, as estimated by the City Engineer, conditioned
that the developer will maintain such improvements in good condition
for a period of two (2) years after approval of the final plat.
Such bond shall be approved as to form and legality by the City
Attorney.
(Ordinance 2013-23 adopted 11/19/13)
A. If under
Subsection 6.2.F. of this Ordinance the developer chooses to file
security or bonds in lieu of completing construction prior to final
plat approval, he may utilize either of the following methods of posting
security:
1. The developer
shall file with the City a performance bond executed by a surety company
holding a license to do business in the State of Texas, and acceptable
to the City Attorney, in an amount equal to the cost of the improvements
required by this Ordinance as estimated by the City Engineer, conditioned
that the developer will complete such improvements within one year
after approval of the plat, or
2. Alternatively
the developer shall place on deposit in a trust account in a bank
or trust company selected by the developer and approved by the City,
a sum of money equal to the estimated cost of all improvements required
by this Ordinance as estimated by the City Engineer.
B. If either
type of security is filed by the developer under subsection A above
the filing of such security shall be accompanied by a maintenance
bond executed by a surety company holding a license to do business
in the State of Texas, and acceptable to the City Attorney, in an
amount equal to one hundred (100) percent of the cost of the improvements
required as estimated by the City Engineer, conditioned that the developer
will maintain such improvements in good condition for a period of
two (2) years after final acceptance of the completed construction
by the City, as provided in subsection C. below.
C. If either
type of security is filed by the developer under subsection A above
the City shall inspect the construction of the improvements while
in progress, and upon completion of construction. After final inspection,
the Director of Public Services shall notify the developer in writing
as to his acceptance or rejection of the construction. Upon satisfactory
completion of construction, the Director of Public Services shall
issue a statement of acceptance of the ownership and maintenance of
the facilities by the City. He shall reject such construction only
if it fails to comply with the standards and specifications contained
or referred to in this Ordinance. If he rejects such construction,
the City Attorney shall, on direction of the City Council, proceed
to enforce the guarantees provided in this Section.
D. Where good
cause exists, the Director of Public Services may extend the period
of time for completion under subsection A above for an additional
period of time not to exceed six (6) months if the developer has not
completed the required improvements in compliance with this Ordinance.
No such extension shall be granted unless security as provided in
subsection A above has been provided by the developer covering the
extended period of time.
(Ordinance 2013-23 adopted 11/19/13)
A. Payments
in lieu of construction.
Payment in lieu of constructing
improvements or providing the required security as outlined in Subsection
6.2.F for required perimeter streets, sidewalks, or stormwater systems,
is permitted only under the following circumstances:
1. Due to
safety, connectivity, size of the project, the improvements being
a part of an upcoming public improvement project, the improvements
being a part of a multi-phased project, or other reasonable factors,
the city determines it would be more feasible to defer the actual
construction of the required public improvements to a later date;
or
2. The planning
and zoning commission finds that the existing conditions are such
that it will not be hazardous to defer the construction of such public
improvements to a later date.
B. Deposit
and determination of payment amount.
When payments in
lieu of construction are permitted by these regulations, payments
shall be deposited by the owner with the city at the time of final
plat approval. Such amount shall be roughly proportional to the impact
of the development and shall equal to the cost of the design and construction
of the required improvements. The city engineer shall determine the
amount of the payment by using the average of comparable bids awarded
by the city in the preceding six (6) months, or if none exists, then
in the preceding year, or if none exists, the current market value
of construction as determined by an estimate of the city engineer.
The design fee estimate shall be calculated at a minimum of six (6)
percent of the construction costs.
C. Disbursement
of deposited funds.
The deposited funds, together with
accrued interest, may be disbursed by the City for the payment of
the design and construction of any public improvements for which the
funds were deposited.
D. Refunds.
In the event the city has not authorized the preparation of
plans and specifications for the construction of public improvements
for which funds have been deposited within (10) years after such funds
have been deposited with the city, upon written request from the owner,
or its successors or assigns, the city shall refund the funds, with
accrued interest. If public improvements for which funds are deposited
are constructed by another governmental entity at no cost to the city,
the funds and accrued interest shall be refunded to the owner after
completion and acceptance of the public improvements. In the event
a portion of the cost is borne by the city and the other portion is
borne by another governmental entity, the city will refund any unused
portion after completion and acceptance of the public improvements.
E. Interest
limitation.
If deposit funds are refunded within six
(6) months of deposit, only the principal will be refunded. Funds
returned after that date will be refunded with accrued interest, calculated
at one (1) percent less than the rate of actual earnings. Actual earnings
is the rate of return on the actual investment of the deposited funds
by the city.
F. Owner’s
option.
Payments in lieu of construction are not impact
fees. The owner shall have the option to construct the required street,
sidewalks or stormwater systems improvements.
(Ordinance 2019-01, sec. 2, adopted 2/5/19)