Monterey County Municipal Code Ch. 19.13 Improvement Agreements

A. If the improvement works required pursuant to Chapter 19.10 of this Title are not satisfactorily completed before the filing of either the final map or the parcel map for which the required finding has been made pursuant to hereof, the owner(s) of the subdivision shall, prior to or concurrently with the approval of such map, enter into an agreement with County, agreeing to have the work completed within the time required, and specifying that should such work not be satisfactorily completed within the time limit, the County may complete all specified improvements and be completely reimbursed for such improvements by the owner of the subdivision. Any such improvement agreement shall approved as to form by County Counsel and shall at a minimum provide:

1. Construction of all improvements per the approved plans.

2. Completion of improvements within one year from approval of the final or parcel map. completion date may be extended by the decision making body as provided in this Chapter.

3. Evidence of Insurance to protect owners of adjacent properties from adverse affects of construction of the improvements.

4. Payment of inspection fees in accordance with the County's established fees and charges.

5. Improvement security.

6. Maintenance and repair of any defects of the construction or failures and causes thereof.

7. Release of the County from all liability incurred by the development and payment of all reasonable attorney's fees that the County may incur because of any legal action arising from the development.

8. Registered civil engineer's statement of approved construction.

B. Any such agreement may recognize and allow for the subdivider to seek to initiate consummate proceedings under an appropriate assessment act for the financing and completion of the improvements so long as the subdivider remains responsible to construct the improvements at the subdivider's expense. Any agreement to construct or install off-site improvements on land in which County does not have sufficient title or interest, shall be conditioned to require action at such time the County obtains an interest in the land which will permit the improvements to be made.

A. The completion date for any improvements to be constructed under an improvement agreement may be extended by the County upon written request by the subdivider and the submittal of evidence to justify such extension. The request shall be made not less than thirty (30) days prior to the expiration of the improvement agreement. In consideration of the extension, the following will be required:

1. Revision of the improvement plan to provide the current design and construction standards required by the responsible department;

2. Revised improvement construction estimate to reflect current improvement costs as approved by the responsible department;

3. Increase of improvement securities in accordance with revised construction estimates;

4. Increase in any inspection fees to reflect current fees.

A. The furnishing of security shall be required in connection with any security agreement. No final or parcel map may be approved until all required security has been received and approved. Unless a different form of security allowed in Government Code Section 66499 is specifically authorized by the Board of Supervisors, the security to ensure performance, payment of labor and materials, maintenance and warranty, the form of security shall be one or a combination of the following:

1. A bond or bonds by one or more duly authorized corporate sureties in the form set for Government Code Sections 66499.1 and 66499.2.

2. A deposit, either with the County or a responsible escrow agent or trust company of money or negotiable bonds of kind approved for securing deposits of public monies.

3. An instrument of credit or a set aside letter from one or more financial institutions subject to regulation by the State or Federal government and pledging that the funds necessary to carry out the act or agreement are on deposit and guaranteed for payment.

a. Performance Security. A performance bond or security in the amount of one hundred (100) percent of the estimated construction cost to guarantee the construction or installation of all improvements shall be required of all subdivisions. An additional amount of forty (40) percent of the estimated construction cost shall be required to guarantee the payment to the subdivider's contractor, subcontractors, and to persons furnishing labor, materials or equipment for the construction or installation of improvements.

b. Material and Labor Security. The estimate of construction or installation shall be as approved by the County and shall provide for:

1. Not less than five percent nor more than ten (10) percent of the total construction for contingencies.

2. Increase for projected inflation computed to the estimated midpoint of construction.

c. The estimate of maintenance costs for private landscaping and irrigation shall be included for the estimated maintenance for up to two years.

d. Warranty Security. Upon acceptance of dedicated subdivision improvements by the County, the subdivider shall provide security in the amount as required by the County to guarantee the improvements throughout the warranty period. The amount of the warranty security shall be not than twenty (20) percent of the cost of the construction. The security shall be retained for the one warranty period.

e. Monument Security. To the extent permitted by Chapter 9 of the Subdivision Map Act and this Chapter, monuments may be set after the recording of the final map if the subdivider's engineer or surveyor certifies on the map that the monuments will be set on or before a specified later date, and provided that the subdivider furnishes security pursuant to an agreement with the County guaranteeing the payment of the cost of setting the monuments.

A. Performance Security. The performance security for dedicated improvements shall released only upon acceptance of the improvements by the County and when the approved warranty security has been filed with the County. The performance security for other improvements shall released only upon satisfactory passage of final inspection and/or receipt of the engineer's certification of satisfactory completion as required for the improvement and when any required maintenance and/or warranty agreements and security have been delivered to the County.

B. Material and Labor Security. Security given to secure payment to the contra subcontractors, and to persons passage of the time within which claims of lien are required recorded pursuant to Civil Code Section 3114 et seq. and after acceptance of the work, be reduced to an amount equal to the amount of all claims therefor filed and of which notice has been given to the County. The balance of the security shall be released upon the settlement of all such claims and obligations for which the security was given.

C. Warranty Security. The warranty security shall be released upon satisfactory completion of the warranty period provided:

1. All deficiencies appearing on the warranty deficiency list for the subdivision have been corrected.

2. Not less than twelve (12) months have elapsed since the acceptance of the improvements by the County or the filing of the notice of completion by the subdivider, whichever is later.

D. Monument Security. The monument security shall be released upon satisfactory completion of the monumenting work and that the engineer or surveyor doing such work has received payment for such work.