§ 45-23-46. General provisions Construction and/or improvement guarantees.
(a) The local regulations shall require planning board approval of agreements for the completion of all required public improvements prior to final plan approval in the form of (1) completion of actual construction of all improvements, (2) improvement guarantees, or (3) combination thereof.
(b) Where improvements are constructed without a financial guarantee, the work is to be completed prior to final approval. All construction shall be inspected and approved under the direction of the administrative officer and according to local regulations.
(c) Improvement guarantees shall be in an amount and with all necessary conditions to secure for the municipality the actual construction and complete installation of all the required improvements, within the period specified by the planning board. The amount shall be based on actual cost estimates for all required public improvements and these estimates shall be reviewed and approved by the planning board. The board may fix the guarantee in a reasonable amount in excess of the estimated costs to anticipate for economic or construction conditions. Local regulations may include provisions for the review and/or upgrade of guarantees.
(d) The security shall be in the form of a financial instrument acceptable to the approving authority and shall enable the municipality to gain timely access to the secured funds, for cause.
(e) The local regulations shall establish procedures for the setting of improvement guarantee amounts, for inspections of improvements, for acceptance of improvements by the municipality and for the release of the improvement guarantees to the applicant. Procedures may include provisions for partial releases of the guarantees as stages of the improvements are completed, inspected and approved under the coordination of the administrative officer and reported to the planning board.
(f) In the cases of developments and subdivisions which are being approved and constructed in phases, the planning board shall specify improvement guarantee requirements related to each particular phase.
(g) The planning board may also require maintenance guarantees to be provided for a one year period subsequent to completion, inspection and acceptance of the improvement(s) unless there are extenuating circumstances.
(h) Procedures for the acceptance of required improvements shall stipulate that all improvements, once inspected and approved, shall be accepted by the municipality or other appropriate municipal agency for maintenance and/or part of the municipal system.
(i) The municipality is granted the power to enforce the guarantees by all appropriate legal and equitable remedies.
(P.L. 1992, ch. 385, § 1.)