Right of Way - 25 Permits or Fewer ($30,000) Bond - City of Overland Park, KS in Kansas

Brief Summary

If your crew pulls more than 10 but no more than 25 right-of-way permits a year in Overland Park, the $30,000 annual bond covers all of them. One bond on file with the City Clerk replaces a separate bond for every job, and the city lets you stop sizing each bond to the value of the restoration.

Overland Park Municipal Code 13.12.460 lets a contractor that expects 25 or fewer right-of-way permits a year post a single $30,000 annual performance and maintenance bond instead of a bond for each permit. The bond must stay in force for the permit term plus two years, and it is filed with the City Clerk along with a liability insurance certificate naming the city as additional insured.

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How to Apply for a Right of Way - 25 Permits or Fewer ($30,000) Bond:

• Estimate how many right-of-way permits you will pull in Overland Park this year and confirm 25 or fewer fits.
• Obtain the $30,000 annual performance and maintenance bond with the City of Overland Park as obligee.
• Obtain general liability of $1,000,000 per occurrence and $2,000,000 aggregate, and $1,000,000 auto liability, naming the city as additional insured.
• File the bond and insurance certificate with the City Clerk.
• Complete registration and attend the pre-application conference unless waived.
• Submit each permit application with drawings, a traffic control plan and the fee.
• Keep the bond in force for the permit term plus two years.

Detailed Information About the Kansas Right of Way - 25 Permits or Fewer ($30,000) Bond:

Pick the right tier

Overland Park bonds right-of-way work in one of two ways. A single permit needs a bond of $2,000 or the value of the restoration, whichever is greater. A contractor pulling multiple permits can instead post one annual bond sized to its expected permit count under Section 13.12.460:

• 10 permits or less per year: $15,000
• 25 permits or less per year: $30,000
• 50 permits or less per year: $50,000
• Unlimited permits per year: $100,000

This page covers the $30,000 tier. If you think you may go past 25 permits in the year, price the $50,000 tier as well before you file.

The two year tail

The code requires the permittee to maintain the bond at all times during the term of the permit and for two years after it. Work done late in the bond year stays covered into the following years. Cancelling the bond when the last job closes out leaves you out of compliance on work still inside its maintenance period.

What the bond guarantees

The bond is conditioned on the permittee's faithful performance of the provisions, terms and conditions of Chapter 13.12, Construction on Rights-of-Way, and must be in a form approved by the City Attorney. That includes restoring the right-of-way after the work. If the permittee does not perform, the city can claim against the bond and the surety then recovers from the contractor.

Insurance goes with it

Section 13.12.460 also requires commercial general liability of at least $1,000,000 per occurrence and $2,000,000 aggregate, and automobile liability of at least $1,000,000 combined single limit, written by an insurer authorized to do business in Kansas with the city named as additional insured. The insurance certificate and the bond must both be on file with the City Clerk.

Who does not need it

No performance and maintenance bond is required for permits issued for driveway replacement, landscaping work such as irrigation systems and tree planting, or plumbing connections for new residential or commercial construction. Governmental entities, and residential owners working in the right-of-way next to their own home without a contractor, need neither the bond nor the insurance.

Permit application and fees

Under Section 13.12.450 the application must include verification of registration, a completed permit form with drawings, a traffic control plan and payment of fees. A pre-application conference is required unless the City Engineer waives it. Permit fees are set in the city's Schedule of Fees under Section 13.12.470, and work started without a permit is charged double.

What it costs

You pay an annual premium, not the $30,000. The surety sets it from the owner's credit and the company's financial condition and construction experience.

Eligibility and Requirements for a Kansas Right of Way - 25 Permits or Fewer ($30,000) Bond:

• Annual bond amount of $30,000 for 25 or fewer permits per year.
• Bond form approved by the City Attorney.
• Coverage for the permit term plus two additional years.
• Liability insurance from a company authorized to do business in Kansas.
• Bond and insurance certificate on file with the City Clerk.

Kansas Right of Way - 25 Permits or Fewer ($30,000) Bond FAQs:

Official and Additional Resources for the Kansas Right of Way - 25 Permits or Fewer ($30,000) Bond: