Common use of Reduction of Securities Clause in Contracts

Reduction of Securities. An application for the reduction of the security on deposit with the Municipality pursuant to Section 4.1 herein may be made upon commissioning of the works. (a) To obtain a reduction in security the Developer shall file with the Municipality’s Engineer a written application. (b) The application shall include written confirmation from the Developer’s Engineer: • describing the Works constructed as at the date of the application and a calculation of the cost thereof. • confirming that the Works have been installed by the Developer with full time supervision of municipal watermain construction by the Developer’s Engineer and in accordance with the requirements of this Agreement and schedules hereto. • describing the Works remaining to be completed as at the date of the application and a calculation of the estimated cost thereof. (c) The value of the reduction shall be determined by the Municipality’s Engineer who shall give a certificate to the Municipal Clerk and the Developer confirming the amount of the reduction of the security and the amount of the security remaining on deposit with the Municipality. (d) The value of the reduction shall be based upon the value of the Works remaining to be completed by the Developer plus ten percent (10%) of the value of the Works completed to the date of the application. (e) Subject to any outstanding deficiencies or contingencies, the Municipality throughout the maintenance period shall hold as security the greater of ten percent (10%) of the Developer’s share of the estimate of the Works or ten thousand dollars ($10,000.00).

Reduction of Securities. An application for the reduction of the security on deposit with the Municipality pursuant to Section 4.1 9.2 herein may be made upon commissioning no earlier than thirty (30) days after the commencement of construction of the worksWorks and every thirty (30) clear days thereafter. (a) To obtain a reduction in security the Developer shall file with the Municipality’s Engineer a written applicationapplication in accordance with Schedule “J” attached hereto. (b) The application shall include written confirmation from the Developer’s Engineer: • describing the Works constructed as at the date of the application and a calculation of the cost thereof. • confirming that the Works have been installed by the Developer with full time supervision of municipal watermain construction by the Developer’s Engineer and in accordance with the requirements of this Agreement and schedules hereto. • describing the Works remaining to be completed as at the date of the application and a calculation of the estimated cost thereof. (c) The value of the reduction shall be determined by the Municipality’s Engineer who shall give a certificate to the Municipal Clerk and the Developer Municipality confirming the amount of the reduction of the security and the amount of the security remaining on deposit with the Municipality. (d) The value of the reduction shall be based upon the value of the Works remaining to be completed by the Developer plus ten percent (10%) of the value of the Works completed to the date of the application. (e) Subject to any outstanding deficiencies or contingencies, the Municipality throughout the maintenance period shall hold as security the greater of ten percent (10%) of the Developer’s share of the estimate of the cost of the Works as set out in Schedule “E” or ten twenty thousand dollars ($10,000.0020,000.00).