Permittee shall, prior to commencing construction of the above works:
provide insurance in the amount and of the type required by
the City; and |
provide a statutory declaration which assigns the said works
to the City, upon their completion and a Certificate of Acceptance
having been issued by the City Engineer of the City. (hereinafter |
called "the City Engineer");
provide a fee for engineering inspection carried out by. the
City, such fee to be in the amount of 4% of the value of the
works as estimated by the City ‘Engineer. |
As a condition of the issuance of this Permit, che City is holding a
security in the form of an Irrevocable Letter of Credit in the amount’ of

(S$. ) Dollars,

to ensure that the works specified in paragraph E(1) hereto are carried out

in accordance with the terms and conditions of this Permit. The condition
of the posting of the security is that should the Permitcee fail -o carry
out the said works, according to the terms and conditions of this Permit
within the time provided, the City may use the security and any interest
thereon accrued by the City to carry out the works by its, servants, agents
or contractors, and any surplus shall be paid over to the Permittee, or
should the Permittee carry out the said works within. the time set out in
paragraph E above, the security and any interest thereon accrued by the
City shall he returned to the Permittee upon the Permittee suppl
Cicy the following:
(1) An Irrevocable Letter of Credit guaranteeing the materials and
workmanship, with a value equal to 10% of the cost of construction,
shall be deposited with the City for a period of one year following

the City Engineer's date of acceptance of the services.