RecDoc 2017-040788 IA - Laserfiche WebLink

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(c) Warrantv Security. Developer shall fumish and deliver warranty security in the amount of Two Million One Hundred Fourteen Thousand Four Hundred Forty One and 30/100 Dollars ($2,114,441.30), upon acceptance of the Improvements and prior to release of the Performance Security. The security shall be in a form acceptable to the City Engineer and shall guarantee and warrant the Work for a period of one (1) year following the completion and acceptance thereof against any defective work or labor done, or defective materials fumished. 142 If the improvement security is a corporate surety bond and, in the opinion of the City Engineer, any surety or sureties thereon become insufficient, the Developer shall renew or replace any such surety with good and sufficient surety or sureties within ten (10) days after receiving from City written demand thereof. 143 Improvement security consisting of corporate surety bonds shall be kept on file with the City Engineer. If a corporate surety bond is replaced by another approved bond, the replacement shall be filed with the City Engineer and made a part of and incorporated into this Agreement. Upon filing and approval by the City Engineer of a replacement bond, the former improvement security shall be released. 14A Modifications of the Improvement Plans and related specifications, and modifications of the Improvements, not exceeding ten percent (101/o) of the original Estimated Cost of Work, shall not relieve or release any improvement security furnished by Developer pursuant to this Agreement. If any such modifications exceed ten percent (10%) of the Estimated Cost of Work, Developer shall furnish additional improvement security for performance, warranty, and payment, as required by Section 14.1 above, for one hundred percent (100%) of the revised Estimated Cost of Work. 145 The City's approved bond forms are attached hereto as Exhibits C, D and E. 15. Partial Reduction or Release of Imorovement Security. 151 Partial releases or reductions in the Developer's improvement security may be authorized prior to the City's acceptance of all Improvements required hereunder, as provided in this Section 15. 152 Upon acceptance of all or any specified category of the Improvements by the City Council and upon request of the Developer, the improvement security may be reduced or released as follows: REV: 04-06-17 PR (a) Security for Performance: The security for performance shall be released upon the final completion of the Work, the City's acceptance of the Improvements and Developer's delivery of the warranty security described in Section 14.1(c). At the request of Developer, the Director of Public Works may release a portion of the security for performance in conjunction with the acceptance of part of the Improvements; provided, however, that no such release shall be for an amount less than ten percent (10%) of the total security for performance and such security shall not be reduced to an amount less than seventy-five percent (75%) of the total security for performance until final completion and City acceptance of the Improvements. In no event shall the Director of Public Works authorize a release of the security for performance which would reduce such security to an amount below that required to guarantee the completion of the remaining Work and any other obligation imposed under this Agreement. Page S of 29 ATTY/AGR.2017.073/Stanford - Subdivision Improvement Agreement