Right of Way ($2,000) Bond - Town of Colorado City, AZ in Arizona

Brief Summary

If your job digs into a Colorado City street, alley or sidewalk, the town wants $2,000 of completion assurance before it signs the permit. A surety bond covers that for a small premium so your $2,000 stays in the business instead of sitting with the town until the work is accepted.

The Town of Colorado City requires $2,000 in completion assurance on any right-of-way construction permit that includes excavation. The town's Permit Application for Right-of-Way Construction accepts that assurance as a bond, cash or another approved form. The same application also calls for a $1,000,000 general liability certificate naming the town as additional insured and a non-refundable fee of $100 for gravel streets or $200 for asphalt paved streets.

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How to Apply for a Right of Way ($2,000) Bond:

• Fill out the Town of Colorado City Permit Application for Right-of-Way Construction.
• Describe the project location, scope of work, start date and expected duration.
• Post $2,000 completion assurance by surety bond if the project includes excavation.
• Provide a $1,000,000 general liability certificate naming the town as additional insured.
• Pay the non-refundable fee of $100 for gravel streets or $200 for asphalt paved streets.
• Submit three copies of plans and specifications, plus electronic files when available.

Detailed Information About the Arizona Right of Way ($2,000) Bond:

When the bond is required

The town's right-of-way permit application states that completion assurance and liability insurance are required for any project that includes excavation. The completion assurance is $2,000, and the form gives three ways to post it: bond, cash or other. A surety bond is the usual choice for contractors and utility crews who do not want cash tied up while a job is open.

What else goes with the application

The bond is only one line on the form. You also need a $1,000,000 certificate of general commercial liability insurance that names the Town of Colorado City as an additional insured, and a non-refundable application fee of $100 for work on gravel streets or $200 for asphalt paved streets. The town asks for three copies of plans and specifications, and on major installations it may require an Arizona registered professional engineer to act as Engineer of Record.

What the bond backs

By signing the permit you agree to repair any public or private damage caused by the work, to patch pavement cuts to the town's standards, to follow MAG trench and backfill specifications, and to pay the town's direct costs for review and inspection. You also guarantee the work against defective materials or workmanship for one year after the town accepts it. If you leave a cut unrepaired or walk away from those obligations, the town can make a claim on the bond to cover the cost, and the surety will look to you to pay it back.

Before you start work

Notify Town Public Works and the utilities five calendar days before work starts, handle Blue Stake, and give adjoining property owners 24 hours notice. Keep a copy of the permit on the job. The permit is void if work does not begin within 180 days. Confirm the current bond form and filing steps with Colorado City Public Works before the bond is issued.

Eligibility and Requirements for a Arizona Right of Way ($2,000) Bond:

• Bond amount of $2,000 with the Town of Colorado City as obligee.
• Principal name on the bond matching the company or homeowner named on the permit application.
• Work done to MAG and Town of Colorado City Public Works standards.
• One year guarantee against defective materials or workmanship after final acceptance.
• Applicant pays the town's direct permit administration and inspection costs before acceptance.

Arizona Right of Way ($2,000) Bond FAQs:

Official and Additional Resources for the Arizona Right of Way ($2,000) Bond: