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 Louisiana
Louisiana parish and municipal planning commissions set subdivision bond rules in their own subdivision regulations. La. R.S. 33:112(D) lets a commission accept a bond with surety, instead of finished improvements and utilities, before it gives final plat approval.
- La. R.S. 33:112 requires a planning commission to adopt subdivision regulations before it uses its plat approval powers.
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.