Surety Bond Encyclopedia

Single Job Right of Way Bond - City of Canon City, CO in Colorado

Brief Summary

Cañon City will not issue a right-of-way permit until a performance bond is on file. A single job bond covers one permit at the amount the city sets, so you post exactly what the job needs and get your permit moving.

Cañon City Municipal Code 12.12.070(H) requires a performance bond for each right-of-way permit. The amount is 115% of the city's estimate of the cost to restore the site, or $5,000, whichever is greater. The City of Cañon City is the obligee, and the bond must stay in force for two years from the date of the excavation.

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How to Apply for a Single Job Right of Way Bond:

  • Get the city's estimate of restoration cost for the job.
  • Set the bond at 115% of that estimate, or $5,000 if that is greater.
  • Hold a current Cañon City contractor license under Chapter 5.12.
  • File a certificate of general liability insurance that meets 12.12.070(G).
  • Request the bond naming the City of Cañon City as obligee.
  • Email the bond and insurance certificate to rowpermitting@canoncity.org and pick up the permit at City Hall.

Detailed Information About the Colorado Single Job Right of Way Bond:

How the amount is set

There is no single flat figure. The city estimates what it would cost to restore the work site, including removing defective material, recompacting subgrade and base, and rebuilding the surface. Your bond is 115% of that estimate, with a floor of $5,000. Small jobs land at $5,000. Larger street cuts or concrete work will run higher, so get the city's estimate before you request the bond.

Contractors who typically pull more than ten permits a year can post one $15,000 bond annually instead of a bond for each job.

What the bond guarantees

The permittee promises to follow every city ordinance and specification for excavating or working in streets, alleys, sidewalks, other public right-of-way and city property. If that promise is broken, the Public Works Director notifies the surety and has the problem fixed, and the City Attorney can sue on the bond to recover the city's costs. The bond has to remain in full force for two years from the date any excavation is made. A contractor whose bond has been forfeited cannot get a new permit until the bond is reinstated or replaced.

If work does not start within 30 days, the permit is void and the city returns the bond, less any administrative or city costs.

What else the city needs

The city's ROW permit page lists three things before work starts: a current Cañon City contractor license under Chapter 5.12, insurance meeting 12.12.070(G), and the bond. Permits are obtained in person at City Hall, 128 Main Street, and bond paperwork is emailed to rowpermitting@canoncity.org.

Who is exempt

Municipalities, quasi-municipal entities, ditch companies, utilities and the City are exempt from the bond rules under 12.12.070(H)(6). A right-of-way closure with no other work does not need a bond, according to the permit application.

Eligibility and Requirements for a Colorado Single Job Right of Way Bond:

  • Minimum bond of $5,000.
  • Approval by the Public Works Director as to sufficiency and by the City Attorney as to form.
  • Coverage for two years from the date of excavation.
  • A city permit fee of $50 plus $70 per inspection site visit under the current fee schedule.
  • Work built to the City of Cañon City Standard Construction Specifications.

Colorado Single Job Right of Way Bond FAQs:

How much bond do I need for my job?

115% of the city's estimate of what it would cost to restore your work site, or $5,000, whichever is greater.

When is the bond released?

The code requires it to stay in force for two years from the date of excavation. If the permit is voided because work never started within 30 days, the city returns the bond less its costs.

I pull a lot of permits. Is there another option?

Yes. Permittees who typically have more than ten permits a year can post one $15,000 bond annually instead of a bond per job.

How is the premium set?

The surety prices it from the bond amount and an underwriting review of the contractor, usually including owner credit. A bigger restoration estimate means a bigger bond and a higher premium.

Official and Additional Resources for the Colorado Single Job Right of Way Bond:

Other City of Canon City, CO Surety Bonds in Colorado

Blanket Right of Way

Single Job Right of Way in Other Colorado Locations

Arapahoe County, COTown of Frisco, CO

All Colorado Right of Way bonds · All City of Canon City, CO bonds · All Colorado surety bonds