a.
City
Policy.
The City hereby defines its policy to be that
the City will withhold all City services and improvements of any type
until all required improvements are properly constructed according
to the approved engineering plans and to City standards, and until
such public improvements are dedicated to and accepted by the City.
This policy of withholding includes subdivision improvements as well
as lot improvements.
1.
Subdivision
Improvements.
Subdivision improvements include street
maintenance, extension of City services from any subdivision or property,
and all street, utility, storm drainage and other public improvements.
2.
Lot
Improvements.
Lot improvements include retaining walls,
grading, and improvements required for proper lot drainage and prevention
of soil erosion.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
Developer’s
Guarantee.
Before final acceptance of a subdivision located
all or partially within the City or its extraterritorial jurisdiction,
the City must be satisfied that all required public improvements have
been constructed in accordance with the approved engineering plans
and with the requirements of this Ordinance.
b.
Improvement
Agreement & Guarantee.
The City Council may waive
the requirement that the applicant complete and dedicate all public
improvements prior to final acceptance of the subdivision, and may
permit the developer to enter into a Subdivision Improvement Agreement
by which the developer covenants to complete all required public improvements
no later than two (2) years following the date upon which the remainder
of the subdivision is accepted. The City Council may also require
the developer to complete or dedicate some of the required public
improvements prior to final acceptance of the subdivision, and to
enter into a Subdivision Improvement Agreement for completion of the
remainder of the required improvements during such two-year period.
The Subdivision Improvement Agreement shall contain such other terms
and conditions as are agreed to by the developer and the City.
c.
Improvement
Agreement Required for Oversize Reimbursement.
The City
shall require a Subdivision Improvement Agreement pertaining to any
public improvement for which the developer shall request reimbursement
from the City for oversize costs. The City Council has the authority
to authorize the approval of such agreement as meeting the requirements
of the City, and the City shall not withhold approval as a means of
avoiding compensation due under the terms of this Ordinance. The City
Engineer is authorized to sign a Subdivision Improvement Agreement
on behalf of the City.
d.
Security.
Whenever the City permits an applicant to enter into a Subdivision
Improvement Agreement, it shall require the applicant to provide sufficient
security, covering the completion of the public improvements. The
security shall be in the form of cash escrow or, where authorized
by the City, a performance bond or letter of credit or other security
acceptable to the City Council and the City Attorney, as security
for the promises contained in the Subdivision Improvement Agreement.
Security shall be in an amount equal to one hundred and ten percent
(110%) of the estimated cost of completion of the required public
improvements and lot improvements. The City must concur with the estimated
cost, and the issuer of any surety bond and letter of credit shall
be subject to the review and approval of the City Engineer and the
City Attorney.
e.
Performance
Bond.
1.
Requirements.
If the City Council authorizes the applicant to post a performance
bond as security for its promises contained in the Subdivision Improvement
Agreement, the performance bond shall comply with the following requirements:
(a)
All performance bonds must be in the forms acceptable to the City
Engineer and the City Attorney;
(b)
All performance bonds must be executed by such sureties as are named
in the current list of “Companies Holding Certificates of Authority
as Acceptable Sureties on Federal Bonds and as Acceptable Reinsuring
Companies”, as published in Circular 570, as may be amended,
by the Financial Management Service, Surety Bond Branch, U.S. Department
of the Treasury;
(c)
All performance bonds must be signed by an agent, and must be accompanied
by a certified copy of the authority for him or her to act;
(d)
All performance bonds shall be obtained from surety or insurance
companies that are duly licensed or authorized in the State of Texas
to issue performance bonds for the limits and coverage required.
2.
Additional
Surety.
If the surety on any performance bond furnished
by the applicant is declared bankrupt, or becomes insolvent, or its
right to do business is terminated in the State of Texas, or the surety
ceases to meet the requirements listed in Circular 570, the developer
shall, within twenty (20) calendar days thereafter, substitute another
performance bond and surety, both of which must be acceptable to the
City.
3.
Withholding
Until Improvements or Other Surety.
The City may withhold
building permits, certificate or occupancy permits or utility connections
until such improvements are completed or other surety is provided
to the City.
f.
Letter
of Credit.
If the City Council authorizes the applicant
to post a letter of credit as security for its promises contained
in the improvement agreement, the letter of credit shall:
1.
Be
irrevocable;
2.
Be
for a term sufficient to cover the completion, maintenance and warranty
periods, but in no event less than two (2) years; and
3.
Require
only that the City present the issuer with a sight draft and a certificate
signed by an authorized representative of the City certifying to the
City’s right to draw funds under the letter of credit.
g.
Reducing
Amount of Surety.
As portions of the public improvements
are completed in accordance with the Standard Design Manual and the
approved engineering plans, the applicant may make written application
to the Community Development Department to reduce the amount of the
original security. If the City is satisfied that such portion of the
improvements has been completed in accordance with City standards,
the City Manager (or designee) may cause the amount of the security
to be reduced by such amount that he or she deems appropriate, so
that the remaining amount of the security adequately insures the completion
of the remaining public improvements.
h.
Escrow
Policies and Procedures for Streets.
1.
Request
for Escrow.
Whenever this Ordinance requires a property
owner to construct a street or thoroughfare, the property owner may
petition the City to construct the street or thoroughfare, usually
at a later date, in exchange for deposit of escrow as established
in this Section.
(a)
The basis of such petition shall be the existence of unusual circumstance(s),
such as a timing issue due to pending street improvements by another
agency such as TxDOT or Hunt County, that would present undue hardships
or that would impede public infrastructure coordination or timing.
(b)
If more than one (1) street or thoroughfare must be constructed in
order to meet adequacy requirements for streets, the City Manager
(or designee) may prioritize streets for which escrow is to be accepted
and require the deposit of all funds attributable to the development
in escrow accounts for one or more of such affected streets.
(c)
The City Council shall review the particular circumstances involved,
and shall determine, at its sole discretion, whether or not provision
of escrow deposits will be acceptable in lieu of the property owner’s
obligation to construct the street or thoroughfare with his or her
development.
2.
Escrow
Deposit With the City.
Whenever the City Council agrees,
under this Ordinance, to accept escrow deposits in lieu of construction
by the property owner or developer of the street or thoroughfare,
the property owner or developer shall deposit in escrow with the City
an amount equal to costs of the following:
(a)
Administration
(b)
Advertisements
(c)
Bidding
(d)
Contingency
(e)
Testing
(f)
Design,
(g)
Construction,
(h)
Permits,
(i)
Reviews and approvals,
(j)
Inspections,
(k)
Any additional land acquisition, and
(l)
An appropriate (and realistic) inflation factor to ensure that the
actual “future dollar” costs will be covered when actual
construction occurs in the future.
3.
Determination
of Escrow Amount.
The amount of the escrow shall be determined
by using the maximum comparable “turnkey” bid price of
construction of the street or thoroughfare improvements (including
the items listed above). Such determination of the escrow amount shall
be made as of the time the escrow is due hereunder, and shall be subject
to the review and approval of the City Manager (or designee) and the
City Engineer. The escrow amount shall be paid prior to release (approval)
of engineering plans by the City Engineer. The obligations, responsibilities,
and related liability of the property owner shall become those of
the property owner’s transferees, successors and assigns.
4.
Use
of Escrow.
Escrowed amounts, along with any interest accrued on such amount, may be used for the purposes outlined in Subsection 2 above in order to undertake construction of the facilities that are required as part of the development for which the escrow was submitted.
5.
Termination
of Escrow.
Escrows, or portions of escrowed amounts,
which have been placed with the City under this Section and which
have been held for a period of ten (10) years from the date of such
payment or agreement, in the event that the City has not authorized
the preparation of plans and specifications for construction of such
street facilities for which the escrow was made, shall, upon written
request, be returned to the property owner, along with one-half (1/2)
of its accrued interest. Such return does not remove any obligations
of the property owner for construction of the required facilities
if a building permit has not been issued on the subject lot or if
a new building permit is applied for.
6.
Refund.
If any street or highway for which escrow is deposited is constructed
by a party other than the City, or is reconstructed by another governmental
authority at no cost to the City, the escrowed funds and accrued interest
shall be refunded to the property owner or applicant who originally
paid the escrow amount after completion and acceptance of the public
improvements. In the event that a portion of the cost is borne by
the City and the other portion of the cost by another party or governmental
authority, the difference between the property owner’s actual
proportionate cost and the escrowed funds, including accrued interest,
if any, shall be refunded after completion and acceptance of the improvements.
7.
Interest
Limitation.
If money is refunded within six (6) months
of deposit, only the principal shall be refunded. Monies returned
after this date will be refunded with one-half (1/2) of its accrued
interest.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
Responsibility.
The applicant shall build and pay for all costs of temporary
improvements required by the City, and shall maintain those temporary
improvements for the period specified by the City. Prior to construction
of any temporary facility or improvement, the applicant shall file
with the City a separate improvement agreement and escrow or, where
authorized, a letter of credit, in an appropriate amount for temporary
facilities, which agreement and escrow or letter of credit shall ensure
that the temporary facilities will be properly constructed, maintained
and removed.
b.
Temporary
Easement.
Any temporary public improvement (e.g., a temporary
cul-de-sac, alley turnout, drainage swale, erosion control device,
etc.) shall be placed within an easement established specifically
for that purpose. The recording information of the instrument establishing
the temporary easement shall not be shown on the Final Plat unless
the easement is a permanent easement for the subdivision prior to
approval of the Final Plat. A temporary easement for a required public
improvement shall not be abandoned without the City Engineer’s
approval and without written consent by the City.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
Improvement
Agreement Executed & Security Posted.
In those cases
where an improvement agreement has been executed and security has
been posted, and the required public improvements have not been installed
within the terms of the agreement, the City may:
1.
Declare
the agreement to be in default and require that all the public improvements
be installed regardless of the extent of completion of the development
at the time the agreement is declared to be in default;
2.
Suspend
any previously authorized building construction activity within the
subdivision until the public improvements are completed, and record
a document to that effect for the purpose of public notice;
3.
Obtain
funds under the security and complete the public improvements itself
or through a third party;
4.
Assign
its right to receive funds under the security to any third party,
including a subsequent owner of the subdivision for which public improvements
were not constructed, in whole or in part, in exchange for that subsequent
owner’s promise to complete the public improvements on the property;
or
5.
Exercise
any other rights or remedies available under the law.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
Acceptance.
Acceptance of formal offers for the dedication of streets, public
areas, easements or parks shall be by authorization of the City Manager
(or designee). The approval by the Planning & Zoning Commission
of a Preliminary or Final Plat shall not, in and of itself, be deemed
to constitute or imply the acceptance by the City of any public improvements
required by the plat. The City may require the plat to be endorsed
with appropriate notes to this effect.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
Maintenance.
The developer shall maintain all required public improvements
for a period of one (1) year following acceptance of the subdivision
by the City, and shall also provide a one-year maintenance bond (warranty)
for ten (10%) percent of the cost of improvements that all public
improvements will be free from defects for a period of one (1) year
following such acceptance by the City.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
Site
Development Permit.
A Site Development Permit is required
from the City prior to beginning any site development-related work
in the City or its extraterritorial jurisdiction which affects erosion
control, storm drainage, vegetation or tree removal, or a floodplain.
b.
Preconstruction
Conference Prior to Affecting Grading, Vegetation and/or Trees.
The City shall require that all contractors participating in
the construction meet for a preconstruction conference to discuss
the project prior to release of a Site Development Permit and before
any filling, excavation, clearing or removal of vegetation and any
trees that are larger than six inch (6") caliper. All contractors
shall be familiar with, and shall conform with, applicable provisions
of the City’s landscape ordinance and requirements as may be
applicable in the Zoning Ordinance.
c.
Conditions
Prior to Authorization.
Prior to issuing a Site Development
Permit, the City Engineer shall be satisfied that the following conditions
have been met:
1.
The
Final Plat has been approved by the Planning & Zoning Commission
(and any conditions of such approval have been satisfied);
2.
All
required engineering plans and documents are completed and approved
by the City’s Engineer;
3.
All
necessary off-site easements and dedications required for City-maintained
facilities and not shown on the plat have been conveyed solely to
the City, such as by filing of a separate instrument, with the proper
signatures affixed.
4.
All
contractors participating in the construction shall be presented with
a set of approved plans bearing the stamp of approval of the City’s
Engineer, and at least one set of these plans shall remain on the
job;
5.
A complete
list of the contractors, their representatives on the site, and telephone
numbers where a responsible party may be reached at all times must
be submitted to the City; and
6.
All
applicable fees must be paid to the City.
d.
Nonpoint
Source Pollution Controls and Tree Protection.
All nonpoint
source pollution controls, erosion controls, and tree protection measures
and devices shall be in place, to the City Engineer’s satisfaction,
prior to commencement of construction on any property.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
General
Procedure.
1.
The
subdivider shall provide inspection service through his/her engineer
to ensure that construction is being accomplished in accordance with
the plans and specifications approved by the City Engineer.
(a)
The subdivider shall notify the City Engineer forty-eight (48) hours
prior to commencement of construction. This notice shall give the
location and date of the start of construction.
(b)
The City shall have the right to inspect any construction work being
performed to ensure that it is proceeding in accordance with the intent
of the provisions of this ordinance.
(c)
Any change in design that is required during construction should
be made by the licensed professional engineer whose seal and signature
are shown on the plans. Another engineer may make revisions to the
original engineering plans if so authorized by the owner of the plans,
and if those revisions are noted on the plans or documents. All revisions
shall be approved by the City Engineer.
(d)
If the City Engineer finds, upon inspection, that any of the required
public improvements have not been constructed in accordance with the
approved construction plans, the City’s standards and/or the
Standard Design Manual, then the developer shall be responsible for
completing and correcting the deficiencies (at his/her expense) such
that they are brought into conformance with the applicable standards.
2.
Testing
laboratory services will be arranged by the City and paid for by the
developer. It shall be the responsibility of City Engineer (or designee)
to coordinate the scheduling of all required tests with the testing
laboratory. Testing shall be conducted in accordance with the procedures
set forth in Standard Design Manual for like work at the frequency
specified thereon as directed by the City Engineer.
b.
Letter
of Satisfactory Completion.
1.
The
City will only deem required public improvements satisfactorily completed
when the applicant’s engineer or RPLS has certified to the City
Engineer (through submission of detailed sealed “as-built”,
or record, drawings of the property) drawings that indicate all public
improvements and their locations, dimensions, materials and other
information required by the City Engineer, and when all required public
improvements have been completed.
(a)
The mylar “as-builts” shall also include a complete set
of sealed record drawings of the paving, drainage, water, sanitary
sewer and other public improvements, showing that the layout of the
lines and grades of all public improvements are in accordance with
engineering plans for the plat, and showing all changes made in the
plans during construction, and containing on each sheet an “as-built”
stamp bearing the signature and seal of the licensed professional
engineer and the date.
(b)
One reproducible drawing of the utility plan sheets containing the
as-built information shall also be submitted.
(c)
The engineer or RPLS shall also furnish the City with a copy of the
approved Final Plat and the engineering plans, if prepared on a computer-aided
design and drafting (CADD) system, in such a digital format (on disk)
that is compatible with the City Engineer’s CADD system.
c.
Effect
of Acceptance.
Acceptance of the development shall mean
that the developer has transferred all rights to all the public improvements
to the City for use and maintenance, subject to the one (1) year maintenance
bond (see Section 6.6).
(Ordinance 06-117, sec. 2, adopted 9/26/06)
a.
Building
Permit.
A building permit shall only be issued for a
lot, building site, building or use after the lot or building site
has been officially recorded by a Final Plat approved by the Planning &
Zoning Commission and filed for record at Hunt County, and after all
public improvements, as required by this Ordinance, have been completed:
Notwithstanding the above, a permit may be issued as outlined below,
provided that an agreement providing cash escrow, a letter of credit,
or other sufficient surety (see Section 6.2) is approved by the Community
Development Director for the completion of all remaining public improvements.
1.
Building “Foundation-Only”
Permit.
A building “foundation only” permit
may be issued for a nonresidential or multifamily development. However,
the building permit shall not be issued and building construction
shall not be allowed to surpass the construction of fire protection
improvements. In other words, the building shall not proceed above
the slab level until all required fire lanes have been completed,
and until all water lines serving fire hydrants have been completed,
inspected and tested.
2.
Possible
Release of Lots.
The City Building Official may release
some residential building permits for not more than ten percent (10%)
of the lots within a new residential subdivision, provided that all
public improvements have been completed for that portion of the development
including those required for fire and emergency protection[.] No lot
may be sold nor title conveyed until the Final Plat has been approved
by the Planning & Zoning Commission and recorded at Hunt County.
b.
Certificate
of Occupancy.
A certificate of occupancy shall only be
issued for a building or the use of property after a Final Plat has
been approved by the Planning and Zoning Commission and recorded at
the County, and after all subdivision improvements have been completed.
Notwithstanding the above, a Certificate of Occupancy may be issued
provided that an agreement providing cash escrow, a letter of credit,
or other sufficient surety (see Section 6.2) is approved by the Community
Development Director for the completion of all remaining public improvements,
and provided that the structure is safely habitable in accordance
with the City’s Building Codes.
(Ordinance 06-117, sec. 2, adopted 9/26/06)
