[Amended 9-25-1981 by Ord. No. 422]
Before approving any subdivision or land development
plan for recording, the Board of Supervisors shall either require
that the necessary grading, paving and other improvements as herein
specified shall have been installed in strict accordance with the
standards and specifications of the Township, or that the Township
be assured by means of a proper contract, containing, among other
items, performance and maintenance guaranties, that the improvements
will subsequently be installed by the owner and/or applicant, hereinafter
referred to as the "developer."
In all cases where the necessary grading, paving
and other subdivision improvements (including both public and private
improvements) required herein shall not have been installed in strict
accordance with the standards and specifications of the Township prior
to the Township approving any subdivision or land development plan
for recording, the developer shall enter into a written agreement
with the Township in the manner and form approved by the Solicitor
wherein the developer shall agree, to the extent applicable:
A.
To construct or cause to be constructed at his own
expense all streets, roadways, cartways, driveways, monuments, street
signs and street names, off-street parking/parking lots, curbs, sidewalks,
parking lot and buffer plantings, lighting, fire hydrants, water mains,
sanitary sewers (including capped sewers), storm sewers, drainage
and erosion-control improvements, including but not limited to stormwater
detention and/or retention basins and other related facilities, recreation
facilities, open space improvements and other improvements shown on
the approved subdivision or land development plan, all in strict accordance
with the standards and specifications of the Township and within the
time specified in said agreement.
[Amended 11-16-1989 by Ord. No. 584]
B.
To deposit with the Township financial security in
an amount sufficient to cover the cost of all subdivision or land
development improvements, including both public and private improvements.
[Amended 11-16-1989 by Ord. No. 584]
(1)
Unless otherwise permitted by the Municipalities Planning
Code, as amended,[1] the financial security shall be posted contemporaneously
with the execution of the agreement, in the form of either an irrevocable
letter of credit with a federal or commonwealth lending institution,
in form and substance acceptable to the Township Solicitor, a restrictive
escrow account in the name of the Township with a federal or commonwealth
lending institution or such other type of financial security which
the Board of Supervisors may approve in an amount to be approved by
the Township Engineer. The lending institution may be chosen by the
developer, provided that the lending institution shall stipulate that
it submits to Pennsylvania jurisdiction and Montgomery County venue
in the event of legal action.
[Amended 1-8-2015 by Ord.
No. 949]
[1]
Editor's Note: See 53 P.S. § 10101
et seq.
(2)
The financial security shall provide for and secure
to the public the completion of all subdivision or land development
improvements for which the security is being posted on or before the
date fixed in the formal action of approval or accompanying agreement
for completion of the improvements.
(3)
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. Annually, the Township
may adjust the amount of the financial security by comparing the actual
cost of the improvements which have been completed and the estimated
cost for the completion of the remaining improvements as of the expiration
of the 90th day after either the original date scheduled for completion
or a rescheduled date of completion. Subsequent to said adjustment,
the Township may require the developer to post additional security
in order to assure that the financial security equals said 110%. Any
additional security shall be posted by the developer in accordance
with this section.
(4)
The amount of financial security required shall be
based upon an estimate of the cost of completion of the required improvements,
submitted by an applicant or developer and prepared and certified
by an engineer to be a fair and reasonable estimate of such cost.
The Board of Supervisors, upon the recommendation of the Township
Engineer, may refuse to accept such estimate for good cause shown.
If the applicant or developer and the Board of Supervisors are unable
to agree upon an estimate, then the estimate shall be recalculated
and recertified pursuant to the provisions of the Pennsylvania Municipalities
Planning Code.[2]
[2]
Editor's Note: See 53 P.S. § 10101
et seq.
(5)
If the developer requires more than one year from
the date of the posting of the financial security to complete the
required improvements, the amount of financial security shall be increased
by 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 bidding procedure.
C.
In the case where a development is projected over
a period of years, the Board of Supervisors may authorize submission
of final plans by sections or stages of development, subject to such
requirements or guaranties as to improvements in future sections or
stages of development as it finds essential for the protection of
any finally approved section of the development.
D.
If water mains or sanitary sewer lines, or both, along
with apparatus or facilities related thereto, are to be installed
under the jurisdiction and pursuant to the rules and regulations of
a public utility or municipal authority separate and distinct from
the municipality, 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 and shall
not be included within the financial security as otherwise required
by this section.
E.
As the work of installing the required improvements
proceeds, the developer may request the Board of Supervisors to release
or authorize the release, from time to time, of such portions of the
financial security necessary for payment to the contractor or contractors
performing the work. Any such request shall be in writing addressed
to the Board of Supervisors, and the Board of Supervisors shall have
45 days from receipt of such request within which to allow the Municipal
Engineer to certify, in writing, that such portion of the work upon
the improvements has been completed in accordance with the approved
plans. Upon such certification, the Board of Supervisors shall authorize
release by the bonding company or lending institution of an amount
as estimated by the Municipal Engineer fairly representing the value
of the improvements completed. The Board of Supervisors may, prior
to final release at the time of completion and certification by the
Township Engineer, require retention of 10% of the estimated cost
of the aforesaid improvements. The Township Engineer, in certifying
the completion of work for a partial release, shall not be bound to
the amount requested by the applicant, but shall certify to the Board
of Supervisors his independent evaluation of the proper amount of
partial releases.
F.
To make adequate provisions with the Township Engineer
for the inspection of the construction of the aforesaid improvements
to assure strict compliance with Township standards and specifications.
G.
To pay all costs, charges or rates of the utility
furnishing fire hydrant and electric service for the fire hydrants
and streetlighting facilities installed by the developer until such
time as the streets shown on the subdivision and/or land development
plans shall have been accepted or condemned by the Township for public
use, and to indemnify and save harmless the Township from and against
all suits, actions, claims and demands for electric service and fire
hydrant service as aforesaid, or any part thereof, to the time that
said streets shall be accepted or condemned as public streets in the
manner hereinabove set forth.
H.
To reimburse the Township promptly for reasonable
attorneys' and engineers' inspection fees and fees for other professionals
employed by the Township to review, inspect or process subdivision
and land development plans.
I.
The developer shall, when the improvements are completed
to the satisfaction of the Board of Supervisors, dedicate said streets
and/or other parcels, together with any improvements thereunder or
thereupon to the Township by a deed in a form approved by the Township
Solicitor, which deed shall include a reference to a plan of the streets
and/or other parcels dedicated; title thereto shall be clear title
and be such as will be insurable by a reputable title insurance company
of Pennsylvania at regular rates; all costs in connection therewith
to be borne by the developer.
J.
Where the Board of Supervisors accepts dedication of all or some of the required improvements following completion (whether such dedication is of the fee or of an easement), the developer is to post financial security to secure the structural integrity of the improvements and the functioning of the improvements in accordance with the design and specifications as depicted on the final plan. The security shall be in the form as authorized in Subsection B above and shall be for a term of 18 months from the date of the acceptance of dedication and shall be in an amount equal to 15% of the actual cost of installation of the improvements so dedicated. The percentage used to determine the amount of this maintenance guaranty may be increased if all lots in the subdivision or land development do not have dwellings or other principal buildings erected thereon prior to acceptance of dedication.[3]
[3]
Editor's Note: Former § 29-902,
On-site disposal systems, which immediately followed this subsection,
was repealed 12-9-1982 by Ord. No. 447.
