A. 
No grading permit shall be issued for grading unless the applicant shall first post a security with the city comprised of a cash deposit or a combination of cash deposit and corporate surety bond of a surety authorized to do business in the state. An instrument of credit or other security pledging the performance of the work, may be submitted in lieu of the surety bond to insure installation of required structures, drains, landscaping, irrigation and other improvements shown on the grading plans. Such funds are trust funds for the purposes of satisfying the cost of correcting any deficiency, hazard or injury created by the work or lack of maintenance thereof. An irrevocable standby letter of credit issued by a financial institution subject to regulation by the state or federal government may be posted in lieu of the surety bond, instrument of credit or other security.
B. 
The estimated cost of the work shall be determined by the city engineer after reviewing the civil engineer's estimates. If the city engineer determines that the size, complexity and scope of the work does not justify the full amount of the security, he or she may waive all or part of the amount to the extent that there is no hazard or danger. If the scope of work increases, or new conditions are discovered after grading commences, the city engineer may increase the amount of the security.
C. 
The security shall be in the form approved by the city attorney. The total amount of the security shall be equal to one hundred fifty percent of the estimated cost of the grading work authorized by the permit plus an additional sum equal to one hundred percent of the estimated cost for the construction of drainage structures or facilities, including standard terrace drains, slope planting, irrigation system, erosion control devices, retaining walls and similar facilities authorized by the permit.
(Ord. 371 § 1, 2008; Ord. 428 § 1, 2015)
A. 
The cash deposit shall be equal to twenty percent of the calculated security, as approved by the city engineer. Interest shall not be paid on cash deposits.
B. 
In no instance shall the cash deposit be less than one thousand dollars or more than twenty thousand dollars. In instances where twenty percent of the appraised calculated security exceeds twenty thousand dollars, that remaining portion of the security in excess of twenty thousand dollars shall be combined with the remaining eighty percent of the approved security in the form of a corporate surety bond, or other security authorized by Section 18.08.490.
C. 
The cash deposit shall be used to satisfy the cost of correcting any deficiency, hazard or injury created by the work in violation of the terms and conditions of the grading permit and in violation of the provisions of this chapter or any other applicable law or ordinance; or for maintenance, cleanup or repair of any public or private street or easement, or for the maintenance, upkeep or installation of debris basins, erosion control devices, etc. Use of the cash deposit or a portion thereof shall in no way limit or release the obligation of the permittee or surety to satisfy the cost of correcting any deficiency, hazard or injury created by the work or to maintain the same in safe condition. If the amount of the cash deposit is insufficient to satisfy the cost in full, the surety shall be liable to satisfy the remainder of the cost in excess of the cash deposit to the extent that the remainder does not exceed the full penalty amount of the bond. In addition, if suit is brought upon the surety by the city and judgment is recovered, the surety shall pay all costs incurred by the city in such suit, including a reasonable attorney's fee to be fixed by the court.
(Ord. 371 § 1, 2008; Ord. 428 § 1, 2015)
When the city engineer determines, pursuant to Section 18.08.150 of this chapter, that plans for erosion control system be prepared as part of the grading permit, the applicant shall furnish the city a cash deposit in connection with an agreement to perform erosion control work. The amount of deposit shall be one hundred percent of the cost estimate for the work shown on the erosion control plan, subject to the approval of the city engineer. Section 18.08.490 shall be applicable regarding types of securities acceptable by the city. In addition to the required security for erosion control work, a cash deposit in the amount of five thousand dollars shall be required for emergency erosion control work and/or for emergency cleanup.
(Ord. 371 § 1, 2008; Ord. 428 § 1, 2015)
A. 
Every surety bond and instrument of credit shall include and every cash deposit and letter of credit shall be made on the conditions that the permittee shall:
1. 
Comply with all provisions of this chapter, applicable laws and ordinances;
2. 
Comply with all the terms and conditions of the grading permit to the satisfaction of the city engineer;
3. 
Complete all of the work contemplated under the grading permit within the time limit specified in the grading permit, or if no time limit is so specified, the time limit specified in this chapter. The city engineer may, for sufficient cause, extend the time specified in the permit, but no such extension shall release the owner or the surety on the bond or person issuing the instrument of credit;
4. 
Each security shall remain in effect until the completion of the work to the satisfaction of the city engineer.
(Ord. 371 § 1, 2008; Ord. 428 § 1, 2015)
In the event of failure to complete the work or failure to comply with all conditions and terms of the grading permit, the city engineer may order such work that in his or her opinion is necessary to correct any deficiencies or eliminate any dangerous condition and leave the site in safe, stable and nuisance-free condition to his or her satisfaction. The permittee and the surety executing such bond or person issuing the instrument of credit, letter of credit or making the cash deposit shall continue to be firmly bound under a continuing obligation for the payment of all necessary costs and expenses that may be incurred or expended by the city in causing any and all such work to be done.
(Ord. 371 § 1, 2008; Ord. 428 § 1, 2015)
A. 
Cash deposits, bonds, or other security shall be released upon request in writing by the developer when work is complete and approved by the city engineer.
B. 
No security under the provisions of this chapter shall be required from the state, or any of its political subdivisions or any governmental agency. However, a contractor working for the state or any of its political subdivisions or any governmental agency shall present a security for performance unless proof is submitted that the work is covered by a separate and similar security inuring to the benefit of the state or agency.
(Ord. 371 § 1, 2008; Ord. 428 § 1, 2015)