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A. Prior to the signing of a final plat, issuance of a Development Permit, and/or the commencing of any clearing, grading or installation of improvements, the developer shall have filed with the Borough a performance guarantee sufficient in amount to equal the total cost to the Borough, as estimated by the Borough Engineer, of constructing those on-site, ofd site and of tract improvements necessary to protect adjacent property and the public interest in the event development of the subdivision or site were not completed. Such improvements shall include, but are not limited to streets, grading, pavement, gutters, curbs, sidewalks, street lighting, shade trees, surveyor's monuments, water mains, culverts, storm sewer, drainage structures, erosion control and sediment control devices, public improvements of open space and in the case of site plans, other onsite improvements and landscaping. Such guarantee shall assure the installation of such improvements on or before an agreed date, guarantee the completion of all improvements without damage to or interference with adjacent properties or public facilities, and hold the Borough Council and the Planning Board and their employees and agents harmless with respect to any acts of the developer, if agents, successors or assigns. The total estimated cost to the Borough of constructing all improvements shall be based upon the estimated contract construction costs, which would prevail upon expiration of the guarantee period, and shall also include appropriate allowances for contract related costs such as engineering, legal, financial and other usual costs, which shall be estimated to be on hundred twenty (120%) percent of the estimated contract construction costs. Such performance guarantee may be in the form of cash, certified check, negotiable securities, a performance bond issued by a bonding company or surety company approved by the
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Borough Council, or any other type of surety acceptable to and approved by the Borough Attorney and Borough Council, provided that at least ten | |||||||
(10%) percent of the performance guarantee shall be in the form of cash, certified check, or savings passbook or certificate of deposit drawn on an insured banking institution in the State of New Jersey; provided, however, that all rights, including the right to interest with dividends, be assigned to the Borough in a form of assignment acceptable to the Borough Attorney for the period of the bond and that the principal amount of the passbook or certificate of deposit, together with interest, be returned to the developer upon completion of the bonded improvements, or in the event of default, both interest and principal shall be used by and for the benefit of the | |||||||
Borough in the completion of said improvements. | |||||||
B. If at the time the performance guarantee is filed with the Borough, the developer has not also filed with the Borough proof that any other necessary performance guarantees have been filed and accepted by governmental bodies, authorities, public utility companies, and private utility companies other than the Borough, which have jurisdiction over improvements in the site or subdivision, the amount of the performance guarantee shall be increased to reflect the cost of such improvements.
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C. All performance guarantees shall run to and be in favor of the Borough of
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Little Silver in the County of Monmouth. | |||||||
D. "The performance guarantee shall be approved by the Borough-Attorney as to form, sufficiency and execution. Such performance guarantee shall run for a period to be fixed by the Borough Council, but in no case for a term of more than two. (2) years. However, with the consent of the owner and the surety, if there be one, the Borough Council may, by resolution, extend the term of such performance guarantee for an additional period not to exceed one (1) year. The amount of the performance guarantee may be revised by the Borough Council from time to time to reflect work progress, increasing costs and changing conditions in regard to the uncompleted or unacceptable portions of the required improvements, if the required improvements have not been installed in accordance with the performance guarantee, the obligor and surety shall be liable thereon, at the option of the municipality for:
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1. The reasonable cost of the improvements not installed, and upon receipt of the proceeds thereof, the municipality shall install such improvements; or
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2. The completion of all required improvements.
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E. If during the period of the performance guarantee the developer fails to prosecute the work of completing the improvements so as not to create hazards to life, health, property or public safety, the Borough may, after five (5) days notice perform, or cause to be performed, any necessary corrective work and deduct the cost thereof from the 10% cash or certified cheek portion of the guarantee. Upon notice of any such deduction, the developer shall, within ten (10) days, restore the full 10% cash balance or hit performance guarantee will be held to be void and the Borough may take action as if final plat approval had not bean obtained.
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When all of the required improvements have been completed, the obligor shall notify the Borough Council in writing, by certified mail addressed in care of the Borough Clerk of the completion of said improvements and shall send a copy thereof to the Borough Engineer, which shall be accompanied by supporting documentation set forth in Section 7.6, G of this Chapter. Thereupon the Borough Engineer shall inspect all of the improvements and shall file a detailed report, in writing, with the Borough Council, indicating either approval, partial approval or rejection of the improvements with a statement of reasons for any rejection. If partial approval is indicated, the cost of the improvements rejected shall be set forth. | |||||||
G. The Borough Council shall either approve, partially approve or reject the improvements, on the basis of the report of the Borough 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 sixty-five (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 guarantee, except for that portion adequately sufficient to secure provision of the improvements not yet approved. Failure of the Borough Council to send or provide such notification to the obligor within sixty-five (65) days shall be deemed to constitute approval of the improvements and the obligor and surety, if and, shall be released from all liability, pursuant to such performance guarantee.
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H. If any portion of the required improvements are rejected, the Borough
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Council 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. | |||||||
I. Nothing herein, however, shall be construed to limit the right of the obligor to contest by legal proceedings any determination of the Borough
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Council or the Borough Engineer. | |||||||
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A. Duties of Borough Engineer, Borough Attorney and Borough Clerk.
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No performance guarantees shall be presented for approval of the Borough | |||||||
Council until the municipal officials listed below have performed the following and make certification of their performance, in writing to the | |||||||
Borough Council. | |||||||
a. Where applicable, examine the plat map of a subdivision to make certain that it complies with all state laws and this Chapter relative to the preparation and filing of maps or plans for the subdivision of land.
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b. Ascertain that the plat of a site plan or subdivision has been approved by the Monmouth County and Little Silver
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Planning Board. | |||||||
c. Determine those acts or things the Applicant is to do to protect the Borough, such as to provide proper drainage, streets, curbs, signs, monuments or any other item or thing and the cost of each, as well as the maximum time he recommends granting the applicant to provide each item or all items.
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d. Determine if the landowner is an individual, corporation or partnership; if an individual, his full name and address; if a corporation, its correct name, date and state of corporation, the name of its President and Secretary and location of its principal office in this state; if a partnership, the names and addresses of all partners.
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e. Give the applicant a form of the surety company bond required by the Borough, and all figures dates and details required by Section-7.2, A,1, c above so that same may be included in the bond to be furnished to the Borough; also, advise the applicant of the amount required to pay the
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Borough as a proper inspection, testing and administration fee. | |||||||
f. Deliver to the Borough Attorney:
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1. The original copy of the surety company bond of the applicant; and
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2. The Borough Engineer's written certificate addressed to the Borough Council which certificate and bond shall be delivered at one and the same time.
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g. The Borough Engineer's certificate shall also state and give the nature of cash, or its equivalent, deposited as a portion or all of the performance guarantee (i.e., cash, certified check, cash escrow deposit, or other security).
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h. If there is nothing the applicant needs to do under
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Section-7.2, A, 1, c above the certificate shall so state and give the reason therefor. | |||||||
2. Borough Attorney: Upon receipt from the Borough Engineer of the surety bond and Engineer's certificate, the Borough Attorney shall promptly examine said bond and determine whether or not it is correct in form, content and execution. If the bond is not correct, the Borough Attorney shall notify the applicant of its shortcomings. When the bond is or has been made correct, the
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Borough Attorney shall make a written certificate to that effect to the Borough Council. Thereupon said Attorney shall deliver the bond and Engineer's and Attorney's certificates to the Borough | |||||||