A performance guaranty estimate shall be prepared
by the Borough Engineer setting forth an itemized list of all required
improvements as fixed by the Planning Board and the estimated cost
of providing same. The required improvements may include streets,
grading, pavement, gutters, curbs, sidewalks, streetlighting, shade
trees, surveyors monuments, water mains, culverts, storm drains, sanitary
sewers, drainage structures, soil erosion and sediment control devices,
public improvements, and in the case of site plans other on-site improvements
and landscaping. The amount of the performance guaranty shall not
exceed 120% of the estimated cost of installation of all required
improvements.
The developer shall present two copies of the
performance guaranty in an amount equal to the amount of the approved
performance guaranty estimate for approval as to form and execution
by the Planning Board Attorney.
The performance guaranty shall be the approved
performance guaranty estimate and a performance bond in which the
developer shall be principal and an acceptable surety company licensed
to do business in the State of New Jersey and cash which shall be
deposited with the Borough of Bradley Beach by payment to the Borough
Chief Financial Officer, shall be surety. The cash deposit shall not
exceed 10% of the performance guaranty estimate. The Borough Chief
Financial Officer shall issue a receipt for such cash deposits and
shall cause the same to be deposited in a bank named by and at the
risk of the developer in the name of the Borough of Bradley Beach,
to be retained as security for completion of all requirements and
to be returned to the developer on completion of all required work
and expiration of the period of maintenance guaranty or in the event
of default on the part of the developer to be used by the Borough
to pay the cost and expense of obtaining completion of all requirements.
Every bond, whether cash or surety, shall contain a clause to the
effect that a determination by the Borough Engineer that the principal
has defaulted in the performance of his obligation and shall be binding
and conclusive upon the surety and the principal.
Prior to the release of the performance guaranty,
a maintenance guaranty not exceeding 15% of the cost of the improvement
shall be posted with the Borough. The maintenance guaranty shall be
in cash or equivalent security. The term of the maintenance guaranty
shall not exceed two years after final acceptance of improvements.
The approved performance guaranty estimate shall
fix the requirements of maintenance of the utilities and improvements
to be installed and completed by the developer.
All improvements and utility installations shall
be inspected during the time of their installations under the supervision
of the Borough Engineer to insure satisfactory completion. The cost
of the inspections shall be the responsibility of the developer, and
he shall deposit with the Borough Chief Financial Officer additional
sums upon notice from the Borough Engineer. The Borough Chief Financial
Officer shall return any balance of the inspection deposit to the
developer upon expiration of the maintenance period.
A final inspection of all improvements and utilities
will be made to determine whether the work is satisfactory and in
agreement with the approved final plat drawings and the Borough specifications.
The general conditions of the site shall also be considered. Upon
a satisfactory final inspection report, action will be taken to release
the performance guaranty covering such improvements and utilities.
Inspection by the Borough of the installation
of improvements and utilities by the developer shall not operate to
subject the Borough to liability for claims, suits or liability of
any kind that may at any time arise because of defects or negligence
during construction, or at any time thereafter; it being recognized
that the responsibility to maintain safe conditions at all times during
construction and to provide proper utilities and improvements is upon
the subdivider and his contractors, if any.
After completing the construction of the public
improvements covered by the performance guaranty, the developer shall
prepare a set of the approved public improvement and utility plans
and the profiles amended to read "as constructed" and apply to the
Borough Engineer for final inspection of the work. The Borough Engineer
shall report to the Mayor and Council on the condition of the work
and recommend that the performance guaranty be released, extended
or declared in default, in whole or in part.
The Mayor and Council shall by resolution release
or declare in default each performance guaranty. Such performance
guaranty shall run for a period to be fixed by the Mayor and Council,
but in no case for a term of more than three years. However, on the
request of the owner and accompanying consent of the surety, if there
be one, the Mayor and Council may by resolution extend the term of
such performance guaranty for an additional period not to exceed three
years. The amount of the performance guaranty may be reduced by the
Mayor and Council by resolution when portions of the required improvements
have been installed and have been inspected and approved by the Borough
Engineer. If any improvements have not been installed in accordance
with the performance guaranty, the obligor and surety shall be liable
thereon to the Borough for removing any work improperly completed;
and upon receipt of the proceeds thereof, the Borough shall remove
and/or install such improvements. The Borough shall also have all
other remedies as may be lawfully available.