A.
As a condition of final site plan or subdivision approval,
the Land Use Board shall require and the Borough Council shall accept
in accordance with the standards of this chapter for the purpose of
assuring the installation and maintenance of on-tract improvements:
(1)
A performance guaranty in favor of the municipality
in an amount not to exceed 120%, 10% of which shall be in cash, of
the cost of installation for improvements if deemed necessary or appropriate,
including streets, grading, pavement, gutters, curbs, sidewalks, streetlighting,
shade trees, surveyor's monuments, 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 other on-site improvements and landscaping.
(2)
A maintenance guaranty to be posted with the governing
body for a period not to exceed two years after final acceptance of
the improvement, in an amount not to exceed 15% of the total cost
of the 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, no performance or maintenance guaranty,
as the case may be, shall be required by the municipality for such
utilities or improvements.
B.
Performance guaranties for all improvements shall
be provided and accepted prior to the signing of the final subdivision
plat or the final site plan.
C.
The form of the guaranty shall be as approved by the
Borough Attorney, and the amount of guaranty shall be as determined
by the Borough Engineer.
D.
The applicant shall assume liability during construction
of such improvements and until such time as the improvements are accepted
by the Borough of Alpha.
E.
Upon substantial completion of all required appurtenant
utility improvements, and the connection to the same to the public
system, the obligor may notify the governing body, in writing, by
certified mail addressed in care of the Borough Clerk, of the completion
or substantial completion of said improvements and shall send a copy
thereof to the Board Engineer. Thereupon, the Board Engineer shall
inspect all the improvements 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 costs of the improvements as approved or rejected
shall be set forth.
F.
The governing body shall either approve, partially
approve or reject the improvements on the basis of the report of the
Board Engineer and shall notify the obligor, in writing, by certified
mail, of the contents of said report and the action of said authority
with relation thereto not later than 45 days after receipt of 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 provision 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 45 days shall be deemed to constitute approval of the
improvements, and the obligor and surety, if any, shall be released
from liability pursuant to such performance guaranty for such improvements.[1]
