Surety Bond Encyclopedia

Right of Way Permit ($5,000) Bond - City of Lafayette, CO in Colorado

Brief Summary

Lafayette will not put your company on a right-of-way permit until it has proof of a $5,000 Street-Cut Bond, and the original has to be in the Finance Department's hands. A surety bond meets that requirement for a yearly premium, so you are not tying up $5,000 in cash every time a crew needs to cut a street, pour a curb or park a roll-off at the curb.

The City of Lafayette, Colorado requires every contractor and subcontractor named on a right-of-way permit to hold a City contractor license and provide proof of a $5,000 Street-Cut Bond, with the original bond delivered to the Finance Department. Storage container and roll-off or dumpster companies fall under the same rule. The permit itself is governed by Chapter 105 of the Lafayette City Code.

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How to Apply for a Right of Way Permit ($5,000) Bond:

  • Hold a current City of Lafayette Contractor License through the Building Division before applying.
  • Confirm with the ROW Permit Team whether your project cost pushes the required security above $5,000.
  • Apply for the bond with the City of Lafayette named as obligee.
  • Deliver the original executed bond to the City Finance Department.
  • Submit the right-of-way permit application through the City's online service portal and list every contractor and subcontractor.
  • Pay the permit fee under the ROW fee schedule City Council approved on July 9, 2026.

Detailed Information About the Colorado Right of Way Permit ($5,000) Bond:

Who has to post this bond

Lafayette requires a right-of-way permit for any work on or within the public right-of-way, and for storing or staging equipment and materials there. That covers street cuts, water, sewer, storm and fiber lines, sidewalk, curb and gutter work, storage containers, roll-offs and dumpsters. The Public Works ROW permit page says every contractor and subcontractor on the permit must be listed, must hold a valid City of Lafayette Contractor License, and must provide proof of a valid $5,000 Street-Cut Bond. The original bond goes to the Finance Department.

The $5,000 figure is a floor on larger jobs

Section 105-53.5 of the City Code requires a performance guarantee before an Article III permit is issued, in an amount equal to the total cost of construction, including labor and materials, or $5,000, whichever is greater. On a small street cut the $5,000 bond is the whole requirement. On a larger excavation the City can ask for security sized to the project cost, so confirm the amount with the ROW Permit Team before you apply. Ten percent of the guarantee is held through the warranty period.

What the bond backs

The permittee warrants all work in the right-of-way for three years after the City accepts it under Section 105-53. If repairs are not made, the City can draw on the guarantee. Public utilities, franchised entities and metropolitan, water and sanitation districts may give a letter of responsibility instead. The finance director may also waive the guarantee for an applicant with proven financial stability and Colorado assets, and the director waives it for work with no material disturbance of the right-of-way.

Eligibility and Requirements for a Colorado Right of Way Permit ($5,000) Bond:

  • Bond amount of $5,000, or the total construction cost if that is greater under City Code Sec. 105-53.5.
  • City of Lafayette named as obligee.
  • Business name on the bond matching the City contractor license.
  • General liability insurance certificate listing the City of Lafayette as certificate holder.
  • A three year warranty on all right-of-way work after City acceptance.

Colorado Right of Way Permit ($5,000) Bond FAQs:

Does every subcontractor on the job need its own bond?

Yes. The City's ROW permit page says all contractors and subcontractors working on the project must be listed on the permit, hold a City contractor license and provide proof of a valid $5,000 Street-Cut Bond.

Is $5,000 always enough?

Not always. City Code Sec. 105-53.5 sets the performance guarantee at the total cost of construction or $5,000, whichever is greater. Large projects can require more, so check with the ROW Permit Team at rowpermits@lafayetteco.gov.

Do I need a permit just to drop a dumpster or storage container in the street?

Yes. Storage containers, roll-offs and dumpsters in the right-of-way all need a ROW permit, and the companies placing them follow the same contractor license and bond rules.

What does the premium cost?

The surety sets the premium after reviewing the applicant, mostly on credit and business history. It is a fraction of the $5,000 bond amount and is quoted before you buy.

Official and Additional Resources for the Colorado Right of Way Permit ($5,000) Bond:

Right of Way Permit ($5,000) in Other Colorado Locations

City of Englewood, COTown of Palisade, CO

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