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12. Financial Guaranty for Stage I Improvements, Stage II Improvements, and Required
<br />Private Improvements. The PERMITTEE shall provide a financial guaranty to the CITY
<br />guaranteeing the construction of the Stage I Improvements, Stage II Improvements, and
<br />Required Private Improvements, as well as their timely completion. The PERMITTEE
<br />shall be responsible for a financial guarantee in the amount of Six Hundred Fifty -Four
<br />Thousand Nine Hundred Ninety -Three Dollars and No Cents ($654,993.00), which amount
<br />is 125% of the CITY Engineer's estimated cost of the Stage I Improvements, Stage II
<br />Improvements, and Required Private Improvements.
<br />At the request of PERMITTEE, the CITY shall, not more frequently that once monthly,
<br />release that part of the Financial Guaranty for any completed portion of the Stage I, Stage
<br />II, and Required Private Improvements that have been approved in writing by the CITY.
<br />Upon completion of the construction of all or any of the remaining of the Stage I, Stage II,
<br />or Required Private Improvements, and written approval by the CITY, the Financial
<br />Guaranty shall be returned to the PERMITTEE. The determination of completion of the
<br />construction of the Stage I, Stage II, and Required Private Improvements shall be made by
<br />the CITY. In the event the PERMITTEE fails to construct and install the Stage I, Stage
<br />II, or the Required Private Improvements as required herein, the City Council may order
<br />their completion with CITY day labor and/or by letting contracts for said completion and
<br />draw upon the escrow for payment. Only the City Council shall have the authority to direct
<br />completion of the Stage I, Stage II, and/or the Required Private Improvements and
<br />withdraw from the escrow account. The PERMITTEE hereby grants permission and a
<br />license to the CITY and/or its contractors and assigns to enter upon the Subject Property
<br />for the purpose of completing the construction and installation of the Stage I, Stage II,
<br />and/or Required Private Improvements in the event of the PERMITTEE's default.
<br />The PERMITTEE has expressed a desire to begin site grading as soon as possible. In
<br />order to start grading before the plat is recorded, a financial guaranty in the amount of
<br />$106,827.00, which 125% of the Engineer's Estimate for demolition, grading and erosion
<br />control, is required. At the time the plat is recorded and prior to other work commencing,
<br />the remaining Five Hundred Forty -Eight Thousand One Hundred Sixty -Six Dollars and No
<br />Cents ($548,166.00) must be posted with the CITY.
<br />13. Inspection Escrow for the Stage I Improvements, Stage II Improvements, and Required
<br />Private Improvements. The PERMITTEE shall provide an inspection escrow to the CITY
<br />to inspect the Stage I Improvements, Stage II Improvements, and Required Private
<br />Improvements. The PERMITTEE shall be responsible for an inspection escrow in the
<br />amount of Twenty -Six Thousand Two Hundred Dollars and No Cents ($26,200.00), which
<br />amount is 5% of the City Engineer's estimated cost of the Stage I Improvements, Stage II
<br />Improvements, and Required Private Improvements. The inspection escrow must be in the
<br />form of cash. The PERMITTEE may request a refund of the remaining balance in the
<br />escrow upon completion of the Stage I Improvements, Stage II Improvements, and
<br />Required Private Improvements, after acceptance by the CITY.
<br />14. Warranty for Stage I and Stage II Improvements. The PERMITTEE shall provide a one-
<br />year warranty in the amount of One Hundred Thirty Thousand Nine Hundred Ninety -Nine
<br />Dollars and No Cents ($130,999.00), which is 25% of the cost of the Stage I and Stage II
<br />Improvements. Said warranty shall be in force for one year following the final acceptance
<br />of any required improvements and shall guarantee satisfactory performance of said
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