G28-94 (2) Ordinance No. G28-94
AN ORDINANCE
AMENDING CHAPTER 18 .20 OF THE ELGIN MUNICIPAL CODE, 1976,
AS AMENDED, ENTITLED "FINAL PLAT"
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ELGIN,
ILLINOIS:
Section 1 . That Section 18 . 20 . 050 entitled "Qualifications
of Approval" of Chapter 18 .20 of the Elgin Municipal Code,
1976 , as amended, be and is hereby further amended by amending
Subsection C to read as follows :
"C . Posting of a performance bond, cash or letter-of-credit
in an amount equal to one hundred and ten percent ( 110%)
of the approved Engineer' s Estimate of cost for all site
improvements required by these regulations to be
installed by the developer, as determined by the City
Engineer.
1 . Submission of a performance bond, cash or
letter-of-credit shall be subject to the following
conditions :
a. It shall be in favor of and retained by the
City of Elgin.
b. It shall guarantee, or in the case of cash be
deemed to guarantee, the completion of all site
improvements as outlined in the approved
Engineer' s Estimate of cost;
c . It shall continue in full force and effect
until the completion of all site improvements
as outlined in the approved Engineer' s
Estimate. The expiration date of the
performance bond or letter-of-credit shall be
established from the developer's engineer' s
Estimated Date of Completion of all site
improvements as approved, in writing, by the
City Engineer.
The Estimated Date of Completion shall include
six months for the inspection, repair and City
Council acceptance of all site improvements and
an additional year for the guarantee period
defined in 18 . 20 . 050C(2) (a) ( iv) . Completion of
all site improvements shall be defined as that
time when all site improvements have been
accepted by the City Council and the one year
guarantee period as defined in 18 .20 . 050C(2 ) (a)
( iv) , has expired.
d. It shall be in a form approved by the
corporation counsel .
e. It shall, with respect to letters of credit,
be provided by a financial institution approved
by the City Finance Director upon receipt of
reasonable evidence that such institution has a
shareholders ' equity to weighted risk assets
ratio of 4% or greater as determined by the
latest quarterly financial report submitted to
the Federal Reserve District Bank or the
Federal Deposit Insurance Corporation.
f . It shall include or be accompanied by a
reference to all of the site improvements for
which it is posted.
g. It shall be irrevocable.
h. It shall, with respect to a performance bond,
be guaranteed by a surety company approved by
the City Finance Director upon receipt of
reasonable evidence that such company is
authorized to do business in the State of
Illinois and is rated at the time of purchase
by at least one standard rating service in the
following two categories :
i) Management rating within the four highest
classifications then established; and
ii ) Financial Size/Adjusted policyholders '
surplus rated Class V by A.M. Best or have a
minumum $10 million in Adjusted Policyholders '
Surplus .
2 . Performance bond, cash or letter-of-credit
reductions shall be subject to the following
conditions :
a. The following incremental reductions shall be
permitted:
i . After the completion of watermain,
sanitary sewer and storm water control
improvements . This reduction shall equal
90% of the estimated cost of all site
improvements complete at this juncture.
Plans which illustrate the as constructed
elements of the approved watermain,
sanitary sewer and storm water control
design shall be required and must be
approved, in writing, by the City Engineer
prior to the reduction.
ii . After the completion of the asphalt binder
course. This reduction shall equal 90% of
the estimated cost of all site improvement
items complete at this point.
iii . After all site improvements have been
completed. This reduction shall equal 90%
of the estimated cost of all site
improvements as outlined in the approved
Engineer' s Estimate of Cost.
iv. After the City Council has accepted all
public improvements . This reduction shall
reduce the performance bond, cash deposit
or letter-of-credit to 10% of the approved
Engineer' s Estimate of cost for all site
improvements . This 10% shall be held for
a period of one year from the date of the
City Council ' s acceptance as guarantee of
the improvements against defects caused by
faulty workmanship or inferior materials .
This reduction shall again require the
submission and written approval of plans
which illustrate all of the as constructed
elements of the approved design, inclusive
of all site improvements .
v. After the one year guarantee period has
expired, the performance bond, cash or
letter-of-credit shall be released by the
City.
b. All bond, cash or letter-of-credit reduction
requests shall be accompanied by:
i . A breakdown, by quantity and cost, of all
completed items . (Quantities and cost
should not exceed those found in the
approved Engineer' s Estimate of Cost) .
ii . Waivers and/or affidavits from all
contractors and/or subcontractors involved.
iii . A signed statement from the developer's
engineer that the completed items were
constructed in accordance with the
approved plans and specifications .
c . If at any time during the course of
development, a lien is filed against the
development, the city shall reject any
performance bond, cash or letter-of-credit
reductions until such time as the lien is
resolved. "
Section 2 . That all ordinances or parts thereof in
conflict with this ordinance are repealed.
Section 3 . That this ordinance shall be in full force
and effect ten days after its passage and publication in the
manner provided by law.
s/ George VanDeVoorde
George VanDeVoorde, Mayor
Presented: June 8, 1994
Passed: June 8, 1994
Omnibus Vote: Yeas 7 Nays 0
Recorded: June 9 , 1994
Published: June 10, 1994
Attest:
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
•
Agenda Item No.
Spa 1!
Q+neo ri
March 17, 1994
TO: Mayor and Members of the City Council
FROM: Robert 0. Malm, Interim City Manager
SUBJECT: The proposed amendment to Section 18.20.050C of
the Elgin Municipal Code (EMC) , titled "Final Plat,
Qualifications of Approval" .
PURPOSE
This memorandum shall provide the Mayor and members of the
City Council with information to consider an amendment to the
subject ordinance.
BACKGROUND
Section 18.20.050C of the Elgin Municipal Code contains
requirements regarding the submittal of performance bonds or
letters of credits. The performance bonds or letters of
credit are intended to guarantee the completion of all public
improvements required by the Subdivision Ordinance (Chapter
18) . A copy of 18.20.050C is attached for your consideration.
Currently, 18.20.050C outlines the performance bond or letter
of credit submittal and subsequent reductions when required
improvements are completed. The current language is not
specific in setting bond expiration dates, or when staff can
authorize reductions in the amounts of the performance bond
or letter of credit.
The Engineering Division and the Legal Department have
drafted an amendment to the subject ordinance which we
believe will be easier for both staff and developers to work
with. The proposed 18.20.050C provides more detailed
guidelines for performance bond or letter of credit
submittals. It also provides a systematic approach for
subsequent performance bond or letter of credit reductions.
FINANCIAL IMPACT
None at thin time.
Elgin Municipal Code Amendment
March 17, 1994
Page 2
er‘'
LEGAL IMPACT
None.
RECOMMENDATION
It is recommended that the City Council approve the amendment
to 18.20.050C of the Elgin Municipal Code and direct staff to
prepare the necessary ordinance.
141171441.6.
Rob rt 0. Maim, Interim City Manager
ROM/DL/do
Attachment
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18.20.050 Final Plat 18.20.050
Dated at ,Illinois,this...day of ,19..."
H. "CITY COUNCIL CERTIFICATE
STATE OF ILLINOIS )
COUNTY OF ) as
CITY OF ELGIN )
"Approved and accepted this day of 19...
CITY COUNCIL OF ELGIN,ILLINOIS
BY
__ Mayor
Attest: ., by -
Clerk Mayor."
(Ord. G44.83 § 1, 1983; Ord. G19-76 § 2 (part), 1976: prior code §
22.6(D).)
18.20.050 Qualifications of approval. •
The final plat to be placed on record shall be approved subject to the
following conditions:
A. Recorded as prescribed in this title;
B. Submission of engineering plans and specifications when required;the
estimate of cost for the required improvements; and the approval of
said documenlsby the department of public works and engineering.
Such plans and specifications shall be required with any plat which
involves the construction of any water main,sanitary sewer, storm
sewer,street improvements, and as otherwise may be directed by the
city engineer, •
C. Posting of a completion bond,an irrevocable letter of credit in favor
of the city,or cash,in an amount equal to one hundred ten percent of
the estimate of costs necessary to complete all public improvements
required by these regulations to be installed by the developer, as
determined by the city engineer. Any completion bond shall be
guaranteed by a surety company authorized to do business in the state
of Illinois. Any letter of credit posted pursuant to the provisions of
this paragraph shall be irrevocable,issued in favor of the city,shall be
issued by a bank or savings and loan association and shall continue in
full force and effect until it is released by the city. Letters of credit
shall be in such form as may be approved by the corporation counsel.
659 (mss$49)
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18.24.010 Subdivisions 18.24.010
•
Upon completion of all required improvements and acceptance
thereof by the city council, any bond or letter of credit shall be
reduced to an amount equal to ten percent of the estimated
construction costs which shall be retained for a period of one year
following acceptance and may be used by the city to make any
necessary repairs arising out of defects in work or materials.
D. Compliance with all applicable ordinances and regulations of the city.
(Ord. G48-79 § 1, 1979;Ord.G19-76§2(part), 1976:prior code §22.7.)
Chapter 18.24
DESIGN STANDARDS
Sections:
18.24.010 Street plan.
18.24.020 Street specifications.
18.24.030 Pathways.
18.24.040 Easements. •
18.24.050 Block standards.
18.24.060 Lot standards.
•
18.24.010 Street plan.
The arrangement,character,extent,width,grade,and location of all
streets shall conform to the official plan and shall be considered in their
relation to existing and planned streets,to reasonable circulation of traffic
within the subdivision and adjoining lands,to topographical conditions,to
runoff of stormwater, to public convenience and safety, and in their
appropriate relation to the proposed uses of the area to be served.(Ord.
- G68-84 § 2 (put), 1984: Ord. G19-76 § 2 (part), 1976: prior code §
22.8(A).)
(EJsin 8-89) 660 •
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March 15, 1994 DRAFT ORDINANCE
Page 1
18.20.050 Qualifications of Approval
C. Posting of a performance bond, cash or letter-of-credit in
an amount equal to one hundred and ten percent ( 110%) of the
approved Engineer's Estimate of cost for all site improvements
required by these regulations to be installed by the developer,
as determined by the City Engineer.
1. Submission of a performance bond, cash or letter-of-credit
shall be subject to the following conditions :
a. it shall be in favor of and retained by the City of
Elgin;
b. it shall guarantee, or in the case of cash be deemed to
guarantee, the completion of all site improvements as
outlined in the approved Engineer's Estimate of cost;
c. it shall continue in full force and effect until the
completion of all site improvements as outlined in the
approved Engineer's Estimate. The expiration
date of the performance bond or letter-of-credit shall
be established from the developer's engineer's
Estimated Date of Completion of all site
improvements as approved, in writing, by the
City Engineer.
The Estimated Date of Completion shall include six
months for the inspection, repair and City Council
acceptance of all site improvements and an additional
year for the guarantee period defined in
18.20.050C(2) (a) (iv) . Completion of all site
improvements shall be defined as that time when all
site improvements have been accepted by the City
Council and the one year guarantee period as defined
in 18.20 . 050C(2) (a) (iv) , has expired;
d. it shall be in a form approved by the Corporation
Counsel;
e. it shall include or be accompanied by a reference to
all of the site improvements for which it is posted;
f. it shall be irrevocable; and
- g. it shall with respect to a performance bond, be
guaranteed by a surety company authorized to
do business in the State of Illinois.
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March 15, 1994 DRAFT ORDINANCE
Page 2
2 . Performance bond, cash or letter-of-credit reductions
shall be subject to the following conditions:
a. The following incremental reductions shall be
permitted:
i . After the completion of watermain, sanitary sewer
and storm sewer improvements. This reduction
shall equal 90% of the estimated cost of all
site improvements complete at this juncture.
Plans which illustrate the as constructed elements
of the approved watermain, sanitary sewer and
storm sewer design shall be required and must be
approved, in writing,_ by the City Engineer prior
to the reduction;
ii. After the completion of the asphalt binder
course. This reduction shall equal 90% of the
estimated cost of all site improvement items
complete at this point;
iii. After all site improvements have been
completed. This reduction shall equal 90% of the
estimated cost of all site improvements as
outlined in the approved Engineer's Estimate of
Cost;
iv. After the City Council has accepted all public
improvements. This reduction shall reduce the
performance bond,cash deposit or letter-of-credit
to 10% of the approved Engineer's Estimate of Cost
for all site improvements. This 10% shall be held
for a period of one year from the date of the City
Council's acceptance as a guarantee of the
improvements against defects caused by faulty
workmanship or inferior materials. This
reduction shall again require the submission and
written approval of plans which illustrate all of
the as constructed elements of the approved
design, inclusive of all site improvements; and
v. After the one year guarantee period has expired,
the performance bond, cash or letter-of-credit
shall be released by the City;
b. All bond, cash or letter-of-credit reduction requests
shall be accompanied by:
i. A breakdown, by quantity and cost, of all
completed items. (Quantities and cost should not
( exceed those found in the approved Engineer's
Estimate of Cost) ;
March 15, 1994 DRAFT ORDINANCE
Page 3
ii. Waivers and/or affidavits from all contractors
and/or subcontractors involved; and
iii. A signed statement from the developers engineer
that the completed items were constructed in
accordance with the approved plans and
specifications;
c. If at any time during the course of development, a
lien is filed against the development, the City shall
reject any performance bond, cash or letter-of-credit
reductions until such time as the lien is resolved.
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