All conditions imposed by the City Council at the time of approval
of the preliminary plat shall be completed prior to the approval of
the final plat. However, the City Council, at its discretion, may
allow a subdivider to defer completion of certain required improvements,
in which case the following procedures and requirements shall apply:
A. The
subdivider shall enter into a subdivision improvements agreement with
the City, found in Exhibit F of these regulations, which guarantees
the outstanding conditions will be completed.
B. The
subdivider shall certify that at least two-thirds (based on value
of completed work) of all required improvements are designed and completed.
C. The
subdivider shall not be allowed to bond for:
1. Public
water or sewer infrastructure improvements including fire hydrants
or lift stations which are necessary to serve any lot being final
platted.
2. Roadway
improvements including sub base and base work which are necessary
to provide an all weather access road to any lot being final platted.
D. All
conditions of approval shall be completed within the time schedule
provided in the subdivision improvements agreement. The initial term
of an agreement shall not exceed 12 months from date of City Council
approval however, the City Manager, upon request by the subdivider
may extend the agreement in increments not to exceed 12 months if:
1. The
subdivider demonstrates a reasonable hardship exists which is not
solely financial; and
2. The
conditions do not place a health or safety burden on existing lots;
3. The
improvements are not necessary for the convenient enjoyment or use
of lots which are in the process of developing or being utilized.
E. The
subdivider shall submit plans, specifications and cost estimates,
prepared by a registered professional engineer, for the completion
of all remaining improvements.
F. The
projected improvements cost shall be 125% of the current costs for
completing the improvements.
G. Upon
completion of required improvements, the subdivider shall file with
the City a statement certifying that:
1. All
required improvements are complete;
2. The
improvements are in compliance with the minimum standards specified
by the City Council;
3. The
subdivider knows of no defects in these improvements;
4. The
improvements are free and clear of any encumbrance or liens;
5. All
applicable fees and surcharges have been paid.
H. The
subdivider shall also file with the City:
1. Copies
of final construction plans, road profiles, proposed grades, and specifications
for improvements; and
2. Copies
of final asbuilt plans, profiles, grades and specifications for improvements;
3. A
two year warranty bond guaranteeing all new City infrastructure.
I. The
subdivider will provide for inspection of all required public improvements
by a registered professional engineer before the City releases the
subdivider from the subdivision improvements agreement.
J. Upon
completion of the inspection, the inspecting engineer shall file with
the City a statement certifying that the improvements have been completed
in the required manner.
K. Only
after the inspecting engineer certifies that improvements are complete
and free from defect, and after receipt of other statements detailed
above, the City shall release the subdivider from the subdivision
improvements agreement.
(Ord. 1707, 12-19-2011)
The subdivider shall provide one or more of the following financial security guarantees as approved and accepted by the City Council. The financial guarantee shall equal the amount of the projected cost of installing all required improvements as described in Section
28.08.01. The City shall reduce the bond requirements commensurate with the completion of improvements.
A. Escrow
Account: The subdivider shall deposit cash, or collateral readily
convertible to cash at face value, either with the City Council or
in escrow with a bank. The use of collateral other than cash, and
the selection of the bank where the funds are to be deposited must
be approved by the City Council.
Where an escrow account is to be used, the subdivider shall
give the City Council an agreement with the bank guaranteeing the
following:
1. That
the funds in the escrow account are to be held in trust until released
by the City Council and may not be used or pledged by the subdivider
as security for any other obligation during that period.
2. That
should the subdivider fail to complete the required improvements,
the bank shall immediately make the funds in escrow available to the
City Council for completing these improvements.
B. Letter
of Credit: Subject to City Council approval, the subdivider shall
provide the City Council with a letter of credit from a bank or other
reputable institution or individual certifying the following:
1. That
the creditor guarantees funds in an amount equal to the projected
cost, as approved by the City Council, of completing all required
improvements;
2. That
if the subdivider fails to complete the specified improvements within
the required period, the creditor will immediately pay to the City
of Kalispell upon presentation of a sight draft without further action,
an amount of cash necessary to finance the completion of those improvements,
up to the limit of credit stated in the letter;
3. That
the letter of credit may not be withdrawn or reduced in amount until
released by the City Council.
C. Sequential
Development: The City may approve an incremental payment or guarantee
plan. The improvements in a prior increment must be completed or the
payment or guarantee of payment for the costs of the improvements
incurred in a prior increment must be satisfied before development
of future increments.
D. Special Improvement District: The City Council may enter into an agreement with the subdivider, and the owners of the property proposed for subdivision if other than the subdivider, that the installation of required improvements will be financed through a special improvement district created pursuant to Title
7, Chapter
12, M.C.A. The agreement must provide that no lots within the subdivision will be sold, rented or leased, and no contract for the sale of lots executed before the improvement district has been created.
The subdivider, or other owners of the property involved, must
also petition the City Council to create a special improvement district,
which constitutes a waiver by the subdivider or the other owners of
the property of the right to protest or petition against the creation
of the district under Section 7-12-4110, M.C.A. This waiver must be
filed with the County Clerk and Recorder and will be deemed to run
with the land.
E. Surety
Performance Bond: The bond shall be executed by a surety company authorized
to do business in the State of Montana and acceptable as a surety
to the City Council and countersigned by a Montana agent. The bond
shall be payable to the City of Kalispell. The bond shall be in effect
until the completed improvements are accepted by the City Council.
F. Other
Acceptable Guarantee(s): The City Council, at its discretion, may
accept any other reasonable guarantee not stated herein, to ensure
satisfactory completion of the improvements.
(Ord. 1707, 12-19-2011)