Any improvement agreement, contract or act required or authorized
by the Subdivision Map Act or this title for which security is required
by the city shall be secured in the manner provided for in the Subdivision
Map Act.
(Ord. 1125 § 2, 1981)
(a)
Faithful
Performance.
A separate instrument in the amount of one hundred percent of
the estimated cost of construction and incidental costs shall be furnished
to guarantee the faithful performance of the agreement.
(b)
Labor
and Material.
A separate instrument in the amount of fifty percent of the
estimated cost of construction and incidental costs shall be furnished
to guarantee the payment of laborers and materialmen.
(c)
Monumenting.
A separate instrument in the amount of one hundred percent of
the total estimated cost of setting survey monuments shall be furnished
securing payment to the engineer or surveyor for the performance of
the required act.
(d)
Maintenance.
A separate instrument in the amount of fifteen percent of the
estimated cost of construction and incidental costs shall be furnished
for the guarantee and warranty of the work for a period of one year
following the completion and acceptance thereof against any defective
work or labor done, or defective materials furnished.
(Ord. 1125 § 2, 1981)
If the improvement security is other than a bond, or bonds furnished
by duly authorized corporate surety, an additional amount may be included
that is not less than fifty percent of the total estimated cost of
the improvement or of the act to be performed. This additional amount
is to cover the cost and reasonable expenses and fees, including reasonable
attorney's fees, which may be incurred by the city in successfully
enforcing the obligation secured.
(Ord. 1125 § 2, 1981)
The improvement security required hereunder shall be released
in the following manner:
(1)
Security
given for faithful performance of an act or agreement shall be released
upon final completion and acceptance of the act or work.
(2)
Security
given to secure payment to the contractor, his subcontractors and
to persons furnishing labor, materials or equipment, may, six months
after the completion and acceptance of the act or work, be reduced
to an amount equal to one hundred twenty-five percent of the aggregate
amount of all claims therefor filed and of which notice has been given
to the city, plus an amount reasonably determined by the director
of community development to be required to assure the performance
of any other obligations secured thereby. The balance of the security
shall be released upon the settlement of all such claims and obligations
for which the security was given.
(3)
Security
given to secure the payment of an engineer or surveyor for setting
survey monuments shall be released upon receipt by the director of
community development, on written proof from the engineer or surveyor
that he has set the monuments and that he has been paid for this work.
(4)
No
security given for the guaranty or warranty of work shall be released
until the expiration of the period thereof and the completion and
acceptance of any repair, replacement or other work found to be needed
during such warranty period.
(Ord. 1125 § 2, 1981)
