§ 1806S.5. Warranty Bonds

The Owner/Developer shall execute or require the Contractor to execute a Maintenance Bond or Bonds in a total sum of 10% of the final construction value, as agreed by the Director per Article 1806S.3 preceding Final Acceptance. The Maintenance Bond or Bonds will guarantee, the Work and warranties as specified in Sections 1806S.4. The Maintenance Bond or Bonds shall be made for the benefit of the City of Austin. The subdivision or development will not be accepted by the City of Austin until such bonds are furnished, approved and accepted by the Director.

The Surety Company underwriting the bonds shall be acceptable if it is included on the latest list of companies holding certificates of authority from the Secretary of the Treasury of the United States and is licensed to write such bonds in the State of Texas.