Common use of Completion Guarantee Clause in Contracts

Completion Guarantee. Letter(s) of credit or surety bond(s) (collectively and alternatively, the “Security”) shall be posted in favor of, and provided to the County, in the amount of 125% of the County-approved Cost Estimate for the PD&E Study on or before December 31, 2005, and in the amount of 125% of the County-approved Cost Estimate of the S. R. 56of the Wyndfields S.R. 56 Western Segment, the Wyndfields S.R. 56 Eastern Segment, and Wyndfields Boulevard Northern Segment Roadway Improvements specified in Paragraph 6.c., prior to the approval by the Pasco County Board of County Commissioners of the first final subdivision plat within the MPUDParagraphs 5 and 6 at the times specified therein. Security for ▇▇▇▇▇▇▇ Road and Wyndfields Boulevard Southern Segment, if necessary, shall be posted prior to the deadlines set forth in this Agreement. The Security shall be acceptable to and approved by the County to guarantee performance of the PD&E Study andS.R. 56 Improvements, and all terms and conditions of this Agreement. Failure to post, revise, update, and keep effective the required Security shall be considered a default of this Agreement, entitling the County to stop the issuance of building permits. The Security shall be with a bank, surety, or other financial institution acceptable to the Countymust be drawable upon demand upon an acceptable issuer/surety having a local office in Tampa Bay, Florida, or by facsimile if no local office is available, which is authorized to do business in the State of Florida, and which has an “A” policy holder rating and a financial rating of at least Class VII in accordance with the most current of Best’s Key Rating Guide. The Security shall be in the amount of 125% of the amount secured and the Security must be in a form acceptable to the County Attorney’s Office. For the construction of the S.R. 56 Improvements, Developer shall post initial Security in the amount of 125% of the County approved Cost Estimate to complete design, permitting, and construction of such project. OnDeveloper shall be entitled, on each renewal date of the Security, to reduce the Security may be reduced, provided an updated Cost Estimate for the remainder of the applicable construction obligations is provided to and approved by the County, and provided that the Security is not reduced below 125% of the County-approved Cost EstimatesEstimate for such remaining work.