§ 156-87. Performance guarantees.

A. 

Construction completion guarantee. In order to ensure the full and faithful completion of all land development activities related to compliance with all conditions set forth by the Town of Carmel in its approval of the stormwater pollution prevention plan, the Town of Carmel may require the applicant or developer to provide, prior to construction, a performance bond, cash escrow, or irrevocable letter of credit from an appropriate financial or surety institution which guarantees satisfactory completion of the project and names the Town of Carmel as the beneficiary. The security shall be in an amount to be determined by the Town of Carmel based on submission of final design plans, with reference to actual construction and landscaping costs. The performance guarantee shall remain in force until the surety is released from liability by the Town of Carmel, provided that such period shall not be less than one year from the date of final acceptance or such other certification that the facility(ies) have been constructed in accordance with the approved plans and specifications and that a one-year inspection has been conducted and the facilities have been found to be acceptable to the Town of Carmel. Per annum interest on cash escrow deposits shall be reinvested in the account until the surety is released from liability.

B. 

Maintenance guarantee. Where stormwater management and erosion and sediment control facilities are to be operated and maintained by the developer or by a corporation that owns or manages a commercial or industrial facility, the developer, prior to construction, may be required to provide the Town of Carmel with an irrevocable letter of credit from an approved financial institution or surety to ensure proper operation and maintenance of all stormwater management and erosion control facilities both during and after construction and until the facilities are removed from operation. If the developer or landowner fails to properly operate and maintain stormwater management and erosion and sediment control facilities, the Town of Carmel may draw upon the account to cover the costs of proper operation and maintenance, including engineering and inspection costs.

C. 

Recordkeeping. The Town of Carmel may require entities subject to this article to maintain records demonstrating compliance with this article.