CHAPTER V _ INSURANCE, BOND REQUIREMENTS,
CERTIFICATE OF USE, BOND RELEASE, AND
AGREEMENT FOR INSTALLATION OF IMPROVEMENTS
SECTION 1. INSURANCE
a) The subdivider shall file with the Commission, on a form provided by the Town, a general liability insurance policy. This policy shall be of the same term as the Performance Bond and shall be extended in conformance with any extension of the Performance Bond.
b) The policy shall insure the Town of Willington and its agents, and the subdivider and shall cover all his operations in the development involving existence and maintenance of property and buildings and contracting operations of every nature including all public Improvements. Said policy shall have the following limits:
Property Damage (including automobile)
Each Accident: Not less than $250,000
Bodily Injury (including automobile)
Each Person : Not less than $1,000,000
Each Accident: Not less than $3,000,000
SECTION 2. PERFORMANCE BOND
a) A Performance Bond shall be posted by the subdivider prior to the commencement of construction of any Improvement or work on any lot to insure the completion of required Improvements and utilities in the event the subdivider shall fail to install same within two (2) years from the date of the Bond. The term of the Performance Bond may be extended by the Commission upon approval of a petition from the developer to the Commission requesting an extension subject to agreement of such extension by the Surety.
b) In computing the amount of the Bond, the Commission shall include the construction cost of the following items:
1) The construction cost of all required Improvements, including storm drainage system, erosion and sedimentation control measures, roads and pavements, sidewalks and curbs, trees, grading setting of monuments, and any other requirements made as a condition for subdivision approval or depicted on the endorsed Final Subdivision Plan, Plan and Profile, Erosion and Sedimentation Control Plan, or any other plan as approved by the Commission.
2) Estimated costs shall be those that would allow for the Town advertising and awarding a contract for construction of the Improvements.
3) Costs shall be projected to a point at the end of the Performance Bond term. Any extension of the term of the Performance Bond may result in an adjustment as to the Bond total.
4) The total estimated cost of the Performance Bond shall also include a 15% addition to cover contingencies and engineering.
5) Where a subdivision is to be developed in phases, the subdivider may petition the Commission in writing for permission to post a Performance Bond covering the costs itemized in paragraphs (b) 1~through 4 above, related to those Improvements and utilities located within or required to serve one or more phases rather than for the entire development. Similar permission shall be obtained by the subdivider prior to commencing development of any or all additional phases. Where the subdivider bonds in phases as authorized in this paragraph, no Improvement, as that term is defined in these Regulations, shall be commenced in any phase for which no bond has been posted.
c) As used in these Regulations, the term "Performance Bond" shall refer to one of the following methods of assuring completion of Subdivision Improvements:
1) Cash in the form of a certified check; or a passbook, assigned to the Town by assignment forms prescribed by the Commission's legal counsel. The issuing bank ("Surety") shall be one maintaining offices in either Windham or Tolland Counties;
2) A Letter of Credit in favor of the Town in the form prescribed by the Commission's legal counsel. Such Letter of Credit shall be issued only by a bank or comparable lending institution maintaining officer in the State of Connecticut. The issuing bank ("Surety") shall be one maintaining offices in either Windham or Tolland Counties;
3) A restrictive covenant, in a form prescribed by the Commission's legal counsel, to be filed on the land records of the Town of Willington, prohibiting the sale of any subdivision lot(s) until such time as all Improvements are completed in accordance with these Regulations, or until the incomplete portions of such Improvements are bonded by one of the methods in the preceding two (2) paragraphs.
The above_referenced forms shall be as provided by the Town and shall be the only ones acceptable to the Commission. The amount of the Bond shall be the sum which the Commission shall require. The completion date of all required Improvements shall be as required by the Commission, but, in no event, longer than the period set forth in Chapter 126 of the Connecticut General Statutes.
d) For all Performance bond documents: If the subdivision applicant is a corporation, then the corporate seal must be shown in addition to the seal of the lending institution issuing the passbook assignment or Letter of Credit, and a corporate resolution must be provided indicating that the corporate officer executing the bond documents has authority to do so. If the subdivision applicant is a partner_ ship, then a partnership resolution must be provided indicating that the partner executing the bond documents has authority to do so. Any corporation shall provide a Certificate of Good Standing from the Connecticut Secretary of the State; any limited partnership shall provide a Certificate of Legal Existence from the Connecticut Secretary of the State; out_of_state applicants shall present
evidence form the Secretary of the State that they are authorized to do business in Connecticut.
e) If at any time, the bond required by this Section shall not be in effect for incomplete or unaccepted Improvements, the Commission may file a caveat on the Land Records warning potential purchasers of such fact; or may void the subdivision in accordance with the provisions of Chapter XI of these Regulations.
SECTION 3. CERTIFICATE OF ZONING COMPLIANCE
Before any Certificate of Zoning Compliance (Zoning Permit) is issued for the construction of any building in such subdivision on a lot which fronts on a subdivision road which has not been accepted by the Town as a public road, the subdivider shall complete such road, in accordance with the specifications up to the farther side line of such lot, to a stage in construction at which only final surfacing of the road remains to be done before completion of the road; the foregoing shall not apply to street trees, sidewalks, or other types of road_related Improvements not required for vehicular travel, but shall apply to the installation of street name signs to facilitate the provision of emergency services. The balance of the work on such road, and all other public Improvements, shall be bonded in accordance with the provisions of this
Chapter V. In addition, water and effluent disposal, be it by individual on_site systems or community systems, shall be operational and accepted by the appropriate Town or State agencies prior to the issuance of a Certificate of Zoning Compliance allowing the occupancy of the dwelling on any lot.
SECTION 4. BOND RELEASE
a) Prior to the release of the Performance Bond the subdivider shall present a Maintenance Bond equal to twenty (20%) percent of his Performance Bond. Such Bond shall be for the period of one (1) year and shall guarantee the Improvements installed against defects in materials or workmanship, or damage caused to the Improvements by any construction activity in the subdivision. The said one_year period shall commence upon the effective date of the acceptance of any road or other public Improvements by that agency having authority for such acceptance.
b) Application for the release of any Bond upon completion of all required Improvements shall include the submission of scale as_built drawings which shall include all changes in the plans as authorized by the Commission or the Engineer during the course of construction. The as_built drawings shall be signed and sealed by both a Connecticut Registered Professional Engineer and a Land Surveyor licensed in the State of Connecticut.
c) Upon submission of a written report from the Engineer that all or a certain specified stage in the construction of Improvements has been satisfactorily completed, the applicant may request that the Commission reduce any outstanding bond to reflect the cost of construction of the remaining Improvements. The Commission shall grant no more than three (3) such reductions prior to the final release of bonds, and the Commission may refuse such reductions if it finds that the construction of any Improvements in violation of any provision of these Regulations or the plans or conditions for any subdivision approved hereunder.
SECTION 5. AGREEMENT FOR INSTALLATION OF IMPROVEMENTS
For any subdivision involving the installation of public Improvements, the subdivider shall, prior to the endorsement of the Final Plans, enter into a written agreement with the Town to perform such Improvements, which agreement shall be in the form contained in the Appendices to these Regulations.
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