What a subdivision bond is
Cities and counties often require a developer to bond the public improvements in a new subdivision or site plan, like streets, sidewalks, storm drains, sewer and water lines, before they approve the final map or permits. The bond guarantees the improvements are built to the agency's standards.
In Kansas
Under K.S.A. 12-749, a Kansas city or county's subdivision regulations may let a developer post a corporate surety bond, cashier's check, escrow, letter of credit or similar security instead of finishing the improvements before final plat approval. The governing body sets the amount and the completion period.
You need this bond if you're
- A developer or subdivider recording a final map
- A builder with a site plan that includes public improvements
- A contractor building improvements under a developer agreement
- An owner required to bond grading or erosion control
What the surety looks at
The project, the engineer's cost estimate for the improvements and the developer's finances. Larger projects need financial statements.