§ 110-4. Contractor's insurance, guarantee; release of liens required.

(a)

Insurance. Pursuant to this chapter, the contractor shall maintain the proper insurance during the life of his contract, to hold the city free from any and all claims due to the contractor's acts, his agents, assigns or assignees, in no less than the following minimums:

(1)

Workers' compensation insurance.

(2)

Public liability insurance of $500,000.00.

(3)

Property damage of $100,000.00.

(b)

Guarantee. The contractor and property owner shall guarantee all materials, workmanship, and equipment for any improvement dedicated or conveyed to the city, whether in a subdivision or otherwise, for a period of one year from the date of final acceptance by the city. If any such defect or damage due to the materials, workmanship, and equipment is shown within the one-year period, the contractor or property owner shall replace or repair such at no cost to the city. This guarantee shall be secured by a bond, irrevocable letter of credit, or other guarantee, acceptable by the city in the amount of 20 percent of the contract cost of the improvement dedicated or conveyed to the city.

(c)

Liens. The city shall not accept any improvements until release of liens is furnished for all labor and materials.

(Code 1988, § 19-5; Ord. No. 06-08, § 3, 3-9-06)