Laserfiche WebLink
26. SUMMARY OF SECURITY REQUIREMENTS. To guarantee compliance <br />with the terms of this Contract, payment of the costs of all Improvements and construction of all <br />Improvements,the Developer shall furnish the City with a letter of credit, in the form attached <br />hereto as EXHIBIT B (the "security"), from a bank for 125% of the cost of the Improvements, <br />including any required landscaping. The amount of the security shall be $100,580.19. The <br />amount of the security includes all of the security requirements set forth in this Contract, and was <br />calculated as follows: <br />CONSTRUCTION COSTS <br />Grading and Erosion Control 7,264.15 <br />Storm Sewer/Storm Water 31,500.00 <br />Streets 0.00 <br />Sewer 0.00 <br />Landscaping 41,700.00 <br />Total 80,464.15 <br />TOTAL SECURITIES (Total Costs x 125%) 100,580.19 <br />The bank shall be subject to the approval of the City Administrator. The bank shall be authorized <br />to do business in the State of Minnesota, and shall provide a Minnesota office for presentment of <br />the Letter of Credit or other altemative acceptable to the City. The Security shall extend through <br />completion and acceptance (including the expected warranty period) by the City of the <br />Development Work. The City may draw down the security, upon five (5) business days' prior <br />written notice to Developer, for any violation of the terms of this Contract. Amounts drawn shall <br />not exceed the amounts necessary to cure the default. If the Improvements are not completed at <br />least thirty (30) days prior to the expiration of the security, the City may also draw it down. If the <br />security is drawn down, the proceeds shall be used to cure the default. Upon receipt of proof <br />satisfactory to the City that work has been completed and financial obligations to the City have <br />235929v3