A. 
Before approving any subdivision or land development plan for recording, the City shall require that the City be assured by means of a proper Improvement Agreement and Performance Guarantee that the improvements required by this chapter and the improvements appearing on the plan will be installed in strict accordance with the standards and specifications of this chapter.
B. 
Purpose of security. The security required by this article shall stand as security for compliance with all City ordinances, other laws, covenants, stipulations, conditions and rules applicable to the subdivision or land development for which it is filed.
C. 
No construction of permanent buildings or sales of any individual lot or condominium unit shall occur within a subdivision or land development unless:
(1) 
There is on file, with the City, a current duly executed and approved security; or
(2) 
All rough grading is complete and all required public improvements, utilities, streets, drainage facilities, sewers and streetlights have been completed and accepted by the City.
A. 
In all cases, the subdivider or land developer shall be responsible for the installation of all improvements required by this chapter.
B. 
The City Engineer or other City designee shall make such inspections of the required improvements at such intervals as may be reasonably necessary to assure compliance with this chapter. The reasonable costs of such inspection shall be borne by the subdivider or land developer.
A. 
Improvement agreement required.
(1) 
All applicants proposing any subdivision or land development which provides for the installation of improvements required by this chapter or any improvements or amenities which appear on the Final Plan shall be required to enter into a legally binding Improvement Agreement with the City prior to recording of the Final Plan, unless the applicant agrees to meet § 490-42 concerning the construction of all improvements prior to the construction of any buildings or the sale of any lots or home sites.
(2) 
The Improvement Agreement shall guarantee the installation of said improvements in strict accordance with all City requirements.
B. 
Terms of improvement agreement. The Improvement Agreement shall be acceptable in legal form to the City Solicitor and shall be acceptable in content to the City. The City may require that a Improvement Agreement include any of the following items, where applicable, and such additional items as are necessary to carry out this chapter:
(1) 
The construction depicted on the approved plans, listed in itemized format, including all approved streets, drainage facilities, utility lines and other improvements.
(2) 
A work schedule setting forth the beginning and ending dates of such work tied to the construction of the development, and provisions to allow proper inspection by the City Engineer.
(3) 
The provision of a Performance Guarantee for completion of required improvements in compliance with § 490-45, including a detailed breakdown of the estimated costs of the improvements, including the total amount of the Performance Guarantee.
(4) 
Provisions concerning the developer's responsibilities for damage to other property, including maintenance by the developer of public liability insurance for the duration of improvements construction, with a hold harmless clause to protect the City from liability related to such work. A copy or other evidence of such liability coverage shall be provided to the City prior to such work.
(5) 
Provisions requiring that the applicant and/or other responsible entities ensure that erosion, sedimentation and stormwater management plans are complied with.
(6) 
Provisions for the dedication of streets, water and sewer lines and any other easements or improvements proposed to be dedicated.
(7) 
See § 490-50 concerning the requirement for a "record" plan.
(8) 
Provisions for the developer to reimburse the City for all reasonable engineering costs directly related to the review, construction and inspection of the proposed development and to the review and preparation of the Improvement Agreements.
(9) 
Provisions concerning any violations of the Improvement Agreement.
(10) 
Any other lawful terms which the City Council may require to carry out the provisions of this chapter.
(11) 
Signatures. The improvement agreement shall be signed by all responsible landowners and/or developers.
C. 
Ownership of land and guarantee.
(1) 
A certificate of ownership in the form of Appendix B shall be executed in the exact name in which title is held. If the developer(s) is someone other than the landowner(s), the developer shall also execute this affidavit, along with a security agreement.
(2) 
Change in ownership or developer. Any conveyance of all or a substantial portion of the unimproved lots or public improvements or streets of any subdivision or land development or change in developers, whether voluntary or by action of law or otherwise, shall require the prior approval of the City Council to guarantee validity of the approved plan and conditions. The City Council shall require that such new landowner and/or developer, in writing, fully assume all applicable responsibilities under the improvement agreement, including providing required financial security.
D. 
Utility agreements. If a development will connect into a public water or public sanitary sewage system, the applicable authority, agency or company may also require separate improvement agreements.
The Performance Guarantee for completion of required improvements shall meet the following requirements:
A. 
Security.
(1) 
The Guarantee shall be secured by the credit of any of the following:
(a) 
An irrevocable and unconditional letter of credit of a Federal or State-chartered lending institution;
(b) 
A restrictive or escrow account in a Federal or State-chartered lending institution; or
(c) 
Such other financial security approved by the City (which approval shall not be unreasonably withheld), but not including a second or third mortgage on the unimproved lands.
(2) 
Such approved security shall provide for, and secure to the public, the completion of any improvements which may be required within one year of the date fixed in the Improvement Agreement for the completion of such improvements.
(3) 
Such financial security shall be posted with a Federally issued or State-chartered lending institution chosen by the party posting the financial security, or such other approved entity, provided such institution or entity is authorized to conduct such business within the State.
(a) 
The City may require that evidence be provided that such institution or entity has sufficiently adequate and secure assets to cover the security.
(b) 
The City shall be the authorized signatory on any account in which the escrow funds are held.
B. 
Amount of security.
(1) 
The amount of financial security to be posted for the completion of the required improvements shall be equal to 110% of the cost of completion estimated as of 90 days following the date scheduled for completion by the developer in the official development schedule, and within the process for increases to cover inflation as permitted by the MPC.[1]
[1]
Editor's Note: See 53 P.S. § 10101 et seq.
(2) 
The cost of the improvements shall be established by an estimate prepared by a PA registered professional engineer, which shall be reviewed by the City Engineer, within the arbitration process permitted by the MPC.
(3) 
If the party posting the financial security requires more than one year from the date of posting of the financial security to complete the required improvements, the amount of financial security may be increased by a maximum of an additional 10% for each one-year period beyond the first anniversary date from posting of financial security or to an amount not exceeding 110% of the cost of completing the required improvements as reestablished on or about the expiration of the preceding one-year period by using the above procedure.
(4) 
Inspection fees. The amount of financial security shall also include an additional 5% of the estimated cost of completion of the work to guarantee payment of inspection fees and related engineering costs.
C. 
Multi-year or multi-stage development. In the case where development is projected over a period of years, the City may authorize submission of final plans by phases/stages of development subject to such requirements or improvement guarantees concerning future improvements as it finds necessary for the proper functioning of each phase and for the eventual development as a whole.
A. 
Advance notice by developer of construction of improvements.
(1) 
Meetings. Prior to construction or installation of improvements in any new phase or any major facet of construction, the developer or his/her representative shall contact the City Engineer to determine whether a pre-construction meeting is needed. The City Engineer may require that such meeting be attended by the responsible contractor(s) and responsible representatives of the developer. In addition, meetings may be required with the utility companies as needed. The applicant should assume that a pre-construction meeting will be required.
(2) 
The developer or his/her representative shall provide a minimum of three business days' prior notice to the City Staff prior to beginning each major facet of construction, in order to allow the scheduling of inspections. See also § 490-55K(10), which requires advance notice for street construction.
(3) 
The developer should notify the City in writing when 1/3 and 2/3 of the total dollar value of the improvements are completed, and a list of those items completed.
(4) 
See § 490-47A(1)(a) concerning improvements completed without proper City inspection.
B. 
Request for release of security. When the developer has completed all of the necessary and appropriate improvements, the party posting the financial security shall notify the City Engineer in writing by certified or registered mail, who will then submit the request to City Council.
C. 
Engineer's report.
(1) 
Within 30 days of a receipt under § 490-46B, the City Engineer shall submit a written report certifying which improvements have been completed in accordance with the approved plan to the City Council and mail a copy of such report by certified or registered mail to the developer or his/her representative at his/her last-known address.
(2) 
This report shall be based on the inspections made according to the approved inspection schedule included in the Improvement Agreement and shall recommend approval or rejection of the improvements, either in whole or in part.
(3) 
If the City Engineer finds any or all of the improvements to be not as required, he/she shall include a statement of the reasons for recommending their rejection in the report.
D. 
Release of security.
(1) 
After receiving the City Engineer's Report (but not later than 45 days of the receipt of the request) the City staff shall review the City Engineer's report and shall authorize release of an amount as estimated by the City Engineer fairly representing the value of the improvements completed.
(2) 
Until final release (completion of all improvements), the City may require retention of a maximum of 10% of the cost of each completed improvement.
(3) 
The City shall notify the developer in writing by certified or registered mail of the decision.
E. 
Completion of unaccepted improvements. The developer shall complete any required improvements that the City Council and City Engineer determines are not satisfactory or complete. Upon completion, the applicant may request approval in conformance with the procedures specified in § 490-46.
F. 
Final release.
(1) 
When the developer has completed all of the required and necessary improvements, the developer shall request Final Release in conformance with the procedures specified in § 490-46. See time limitations and procedures in Section 510 of the PA Municipalities Planning Code.[1]
[1]
Editor's Note: See 53 P.S. § 10510.
(2) 
Such Final Release shall include all moneys retained under § 490-46D(3).
G. 
Appeal. Nothing herein shall be construed to limit the developer's right to contest or question by legal proceedings or otherwise any determination of the City Council or the City Engineer.
H. 
Certificates of use and occupancy and completion of improvements.
(1) 
A temporary or final certificate of use and occupancy shall not be issued and a structure shall not be occupied unless all principal buildings have access to a clearly permanently passable street with at least a complete paving base course and any required curbing installed.
(2) 
In addition to Subsection H(1) hereof, no final certificate of use and occupancy shall be issued until the structure is completed as approved with service by all required utilities and with all access onto a street completed to required standards, if applicable.
A. 
Enforcement of security.
(1) 
The City shall have the authority to use remedies to effect completion of required improvements as provided in Section 511 of the PA Municipalities Planning Code.[1] In addition, the City may pursue civil prosecution of a violation of this chapter.
(a) 
Construction without inspection. If required improvements have been completed without providing the City Engineer or his/her representatives with proper opportunity for inspection, and as a result the City Engineer cannot determine whether the improvements were properly constructed, then the City Council may require that the Developer, at the Developer's expense, remove, replace, sample, test or reconstruct such improvements as necessary to determine compliance with this chapter and other applicable City standards.
[1]
Editor's Note: See 53 P.S. § 10511.
(2) 
Rate of construction. Failure of a developer to construct streets and other public improvements reasonably at the same time or prior to the construction of the buildings served by those streets or public improvements, and at the same rate in time at which buildings are completed, shall be a violation of this chapter and a cause for default of the security.
B. 
Completion by City. If the proceeds of such security are insufficient to pay the cost of installing or making repairs or corrections to all the improvements covered by said security, the City Council may, at its option, install or replace part of such improvements in all or part of the subdivision or land development and may institute appropriate legal or equitable action to recover the moneys necessary to complete the remainder of the improvements.
C. 
Proceeds for installation of improvements. The proceeds from use of the security and/or from any legal or equitable action brought against the developer shall be used solely for the installation of the improvements covered by such security and directly related administrative costs.
A. 
Maintenance guarantee required. All applicants proposing any subdivision or land development which provides for the dedication of improvements required by this chapter shall be required to provide a legally binding Maintenance Guarantee to the City prior to acceptance of dedication of the improvements by the City. In most cases, this Guarantee will be part of the Security Agreement.
B. 
Terms of maintenance guarantee. The Maintenance Guarantee shall be acceptable in legal form to the City Solicitor and in content to the City Council, and shall include all of the following:
(1) 
That the applicant make any repair or reconstruction of any improvement stipulated in the Maintenance Agreement which is specified by the City Council if needed because of faulty construction, workmanship, or materials, prior to acceptance of such improvement by the City;
(2) 
That the applicant maintain at his/her own cost all improvements stipulated in the Maintenance Agreement, up to a maximum period of 18 months from the date of completion, except for any special purpose escrow or maintenance agreements required by the City; and
(3) 
That the applicant post financial security to secure structural integrity of said improvements as well as the functioning of said improvements in accordance with the design and specifications as depicted on the final plan, for a maximum term of 18 months from the date of completion.
C. 
Public utilities and authorities. If water mains or sanitary sewer lines, or both and related apparatus or facilities are to be installed under the jurisdiction and under the rules and regulations of a public utility or municipal authority, financial security to assure proper completion and maintenance thereof shall be posted in accordance with the regulations of the controlling public utility or municipal authority. This amount of financial security shall not also be required by the City if it is required by such utility or authority.
D. 
Type of security. The Maintenance Guarantee shall be secured by the same form of security as is permitted for the improvements guarantees.
E. 
Terms. Such Maintenance Guarantee shall be in the form approved by the City Solicitor and City Council, payable to the City, to guarantee the maintenance and repair of the streets and other public improvements in the subdivision or land development for 18 months from the date of completion. The applicant shall prove to the satisfaction of the City Council that there will be an acceptable system for the long-term maintenance of any stormwater detention basins.
F. 
Amount. The amount of the Maintenance Guarantee shall be determined by the applicant's engineer, conditioned upon acceptance by City Council, but shall not exceed 15% of the actual cost of installation of such improvement.
G. 
Release. After a maximum of 18 months from the date of acceptance of dedication of said improvements, the City shall release the Maintenance Guarantee to the developer (or party that posted the guarantee) if all improvements are in satisfactory condition, as determined by the City.