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KETCHIKAN GATEWAY BOROUGH PLANNING COMMISSION ...

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17.55.060 REQUIRED IMPROVEMENTS – INSTALLATION17.55.060 Improvement security.The agreement to improve shall include and be secured by one (1) or more of the following methods to guaranteethe construction and installation of required public improvements:(a)(b)(c)Performance and Payment Bonds. The subdivider may elect to provide a performance and payment bond, orbonds, from a surety company authorized to do such business in the state of Alaska guaranteeing the construction,installation and payment for all required improvements, including monuments, and for all labor and materialsfor the construction and installation thereof. The bond or bonds shall be in an amount equal to theestimated cost of all required public improvements plus an overrun allowance as provided in KGBC 17.55.020.The performance bond shall be payable to the municipality in the event that any required public improvementsare not finally approved in accordance with the provisions of this title. The payment bond shall inure to thebenefit of all persons who provide labor or materials for the construction or installation of the public improvements.Cash or Cashier’s Check. The subdivider may elect to deposit with the borough clerk money, or cashier’scheck payable to the borough equal to the amounts referred to in subsection (a) of this section.Certificate of Deposit. The subdivider may elect to provide a certificate of deposit from a bank or other responsiblefinancial institution authorized to do such business in Alaska, and acceptable to the borough financedirector, in the amount referred to in subsection (a) of this section. Such certificate of deposit shall be filedwith the borough with the following provision:(1) That in the case of failure on the part of the subdivider to complete or pay for any specified improvementswithin the required time period, the certificate of deposit will be cashed on the bank or financialinstitution from which it was issued to pay to the borough immediately and without furtheraction such funds as are necessary to finance the completion of those improvements.(2) The agreement to construct and install improvements, and the improvement security referred to inthis chapter, shall comply with all statutory requirements and shall be satisfactory to the municipalattorney as to form, sufficiency, and manner of execution.(3) The borough shall be under no obligation to deposit any improvement security into an interest bearingaccount; however, in the event of such deposit, any interest accrued thereon shall be added tosuch security and may be used as additional security, and shall be returned to the subdivider in thesame manner as the security. [Ord. No. 1228, §1, 9-3-02; Ord. No. 1085, §9, 1-18-99; Ord. No. 350,§1, 4-7-80. Code 1974 §55.52.060.]17.55.070 Release of guarantee.The borough shall release the obligation for performance guarantees upon the final approval of all the improvementscovered by the agreement to improve and improvement security together with the posting of adequate securityfor warranty. [Ord. No. 350, §1, 4-7-80. Code 1974 §55.52.070.]17.55.080 Effect of final approval by the borough.Final approval by the borough of the construction and installation of required public improvements shall not obligatethe borough thereafter to inspect, maintain or repair, or constitute an agreement or assumption by the boroughof any duty or responsibility to thereafter inspect, maintain or repair any such improvements. [Ord. No. 350, §1, 4-7-80. Code 1974 §55.52.080.]17.55.090 Warranty.(a) Required. The subdivider shall warrant and guarantee for a period of one (1) year after final approval that therequired improvements constructed under the agreement will remain in good condition and will meet operatingspecifications for the warranty period. Such warranty includes defects in design, workmanship, materials andany damage to improvements caused by the subdivider, his agents or others engaged in work to be performedunder the agreement to improve.17-44

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