A. 
Before recording final subdivision plats or approving site plan plats, the approving authority shall require that the applicant shall have installed or shall have furnished performance guaranties for the installation of on-tract improvements in accordance with borough specifications as follows: streets, street signs, grading, pavements, curbs, gutters, sidewalks, walkways, streetlighting, shade trees, water mains, fire hydrants, culverts, storm sewers, sanitary sewers and other means of sewage disposal, drainage structures, erosion control and sedimentation control devices, public improvements of open space and surveyor's monuments as required by the Map Filing Law, P.L. 1960, c. 141 (N.J.S.A. 46:23-9.9 et seq.).
B. 
All such required improvements shall be certified by the Borough Engineer unless the applicant shall have filed a performance guaranty sufficient in amount to cover the cost of all such improvements or uncompleted portions thereof as estimated by the Borough Engineer.
A. 
Before recording of final subdivision plats or as a condition of final site plan approval or as a condition to the issuance of a zoning variance, the approving authority may require and shall accept for the purpose of assuring the installation and maintenance of on-tract improvements:
(1) 
The furnishing of performance guaranty in favor of the municipality in an amount not to exceed 120% of the cost of installation for improvements, including streets, grading, pavement, gutters, curbs, sidewalks, streetlighting, shade trees, surveyor's monuments as shown on the final map and required by the Map Filing Law, P.L. 1960, c. 141 (N.J.S.A. 46:23-9.9 et seq.), water mains, culverts, storm sewers, sanitary sewers or other means of sewage disposal, drainage structures, erosion control and sedimentation control devices, public improvements of open space and, in the case of site plans only, other on-site improvements and landscaping.
(2) 
Provisions for a maintenance guaranty to be posted with the governing body for a period not to exceed two years after final acceptance of the improvements, in an amount not to exceed 15% of the cost of improvement. In the event that other governmental agencies or public utilities automatically will own the utilities to be installed or the improvements are covered by a performance or maintenance guaranty to another governmental agency, as the case may be, no such guaranty shall be required by the municipality for such utilities or improvements.
B. 
The time allowed for installation of the improvements for which the performance guaranty has been provided may be extended by the governing body by resolution. As a condition or as part of any such extension, the amount of any performance guaranty shall be increased or reduced, as the case may be, to an amount not to exceed 120% of the cost of the installation as determined as of the time of the passage of the resolution.
C. 
If the required improvements are not completed or corrected in accordance with the performance guaranty, the obligor and surety, if any, shall be liable thereon to the municipality for the reasonable costs of the improvements not completed or corrected, and the municipality may, either prior to or after the receipt of the proceeds thereof, complete such improvements.
D. 
Upon substantial completion of all required appurtenant utility improvements and the connection of the same to the public system, the obligor may notify the governing body, in writing, by certified mail addressed in care of the Municipal Clerk, of the completion or substantial completion of the improvements and shall send a copy thereof to the Municipal Engineer. Thereupon the Municipal Engineer shall inspect all improvements of which such notice has been given and shall file a detailed report, in writing, with the governing body, indicating either approval, partial approval or rejection of such improvements with a statement of reasons for any rejection. The cost of the improvements as approved or rejected shall be set forth.
E. 
The governing body shall either approve, partially approve or reject the improvements on the basis of the report of the Municipal Engineer and shall notify the obligor, in writing, by certified mail, of the contents of said report and the action of said approving authority with relation thereto not later than 65 days after receipt of the notice from the obligor of the completion of the improvements. Where partial approval is granted, the obligor shall be released from all liability pursuant to its performance guaranty except for that portion adequately sufficient to secure completion of the improvements not yet approved, provided that 30% of the amount of the performance guaranty posted may be retained to ensure completion of all improvements. Failure of the governing body to send or provide such notification to the obligor within 65 days shall be deemed to constitute approval of the improvements, and the obligor and surety, if any, shall be released from all liability pursuant to such performance guaranty for such improvements.
F. 
If any portion of the required improvements is rejected, the approving authority may require the obligor to complete such improvements, and, upon completion, the same procedure of notification as set forth in this section shall be followed.
G. 
Nothing herein, however, shall be construed to limit the right of the obligor to contest by legal proceedings any determination of the governing body or the Municipal Engineer.
H. 
The obligor shall reimburse the municipality for all reasonable inspection fees paid the Municipal Engineer for the foregoing inspection of improvements, provided that the municipality may require of the developer a deposit for all or a portion of the reasonable anticipated fees to be paid to the Municipal Engineer for such inspection.
I. 
In the event that final approval is by stages or sections of development pursuant to N.J.S.A. 40:55D-8, the provisions of this section shall be applied by stage or section.
J. 
Simultaneous with the submission of a maintenance guaranty, the applicant shall file with the borough as-built drawings accurately showing the location, profile and size of all storm drains, catch basins, sanitary sewers, water mains and all utility and service connections constructed in the subdivision or site plan.
In the event that other governmental agencies or public utilities automatically will own the utilities to be installed or the improvements are covered by a performance or a maintenance guaranty to another governmental agency, no performance or maintenance guaranty, as the case may be, shall be required by the borough for such utilities or improvements.
All improvements listed in Article VII and this article shall be subject to inspection and approval by the Borough Engineer, who shall be notified by the applicant at least 24 hours prior to the start of construction. No underground installation shall be covered until inspected and approved.