Demolition ($5,000) Bond - City of Tulsa, OK in Oklahoma

Brief Summary

The $5,000 in Tulsa's ordinance is a floor, not a fixed price. Title 49 Section 314 lets the code official raise it when the location of the building calls for a larger bond, and lets the official waive it altogether when the structure can come down without touching anything next door. Ask which of those applies to your job before you buy anything, because on a tight urban site the number can be higher and on an isolated one it may be zero.

Tulsa will not issue a demolition permit until a suitable bond is on file protecting adjacent owners from damages. Title 51 section 105.3.1.1 imposes the requirement and sends the amount to Title 49, Chapter 3, Section 314, which sets a minimum of $5,000.00. The City of Tulsa is the obligee. The same section lets the code official increase the amount for a difficult location and waive it entirely where no adjoining property is at risk. The demolition permit fee itself is $133.00.

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How to Apply for a Demolition ($5,000) Bond:

• Ask Development Services what amount applies to your site. $5,000 is the minimum and the code official can set it higher based on the location of the building.
• Ask whether the bond can be waived, which the code official may do if satisfied the structure can be demolished without damage to adjoining buildings or properties.
• Have the exact legal name of the person, firm or corporation taking the permit.
• Owner or principal name, home address and Social Security number for the credit review.
• Complete the bond application and review the quoted premium.
• Pay the premium and receive the executed bond naming the City of Tulsa.
• File the bond with the demolition permit application, the $133.00 permit fee, the ODEQ asbestos documentation and the sewer plug permit at the Development Services Permit Center.

Detailed Information About the Oklahoma Demolition ($5,000) Bond:

The bond protects the neighbors, not the city's contract

Read what the ordinance actually says the bond is for. Title 51 section 105.3.1.1 says the code official shall not issue a permit for the demolition or destruction of a building or structure until a suitable bond has been provided, protecting the adjacent owners from damages. Title 49 Section 314(B) repeats it, calling this the bond required for protecting owners adjacent to a permitted demolition from damage. It is not a performance guarantee that the demolition gets finished, and it is not a general contractor license bond. Damage to the building next door is what it answers for.

$5,000 is the floor

Section 314(B) sets the minimum amount at $5,000.00 and then says the amount may be increased by the code official if in the opinion of the code official the location of the building to be demolished or destroyed requires a larger bond. Section 105.3.1.1 uses the same language. There is no published table and no formula. The driver is the location, which in practice means how close the structure sits to buildings and property the work could damage.

The waiver is real, and it is worth asking about

Both sections give the code official, or a designated representative, discretion to waive the requirement of bond if the official is satisfied that the particular building or structure can be demolished or destroyed without damage to adjoining buildings or properties. A detached structure in the middle of a large parcel is a very different conversation from a party wall downtown. This is a discretionary waiver, not an automatic exemption, so it comes from the Development Services permit counter and not from the ordinance text alone.

The permit fee and the sewer plug

The fee for a permit to demolish any building or structure, or any portion of one, is $133.00 under Section 314(A). That subsection also points to Title 49, Chapter 13, Section 1302 for the fees associated with the required sewer plug permit, which is a separate permit and a separate fee. The City's demolition permit application says the city sewer line must be plugged at the sewer main and inspected before the demolition permit is issued, so schedule that first rather than last.

Asbestos, and the exclusion most homeowners qualify for

Section 314(C) says no person, firm or corporation shall be issued a demolition permit until proof of asbestos inspection has been submitted as required by the Oklahoma Department of Environmental Quality. Excluded from that subsection are privately owned residential structures having four or fewer dwelling units. The City's application separately calls for inspection by an EPA accredited inspector, notification to the EPA and ODEQ at least ten working days before demolition, abatement before demolition if regulated asbestos containing material is found, and a negative declaration under 40 CFR 61.145 if none is detected. None of that substitutes for the bond, and the bond does nothing about any of it.

Do not confuse this with the house mover's bond

Moving a building is a different permit with a different instrument. Title 49 Section 324 sets the house mover's bond at $10,000.00 under Title 51, Chapter 4, Section 1303.3, for the benefit of the City and any private person or corporation sustaining damages. If the plan is to relocate a structure rather than take it down, that is the bond you need.

One more thing worth checking first

The City's own demolition application warns that zoning laws may prevent replacement of a structure removed in whole or in part by demolition, and that a certificate of occupancy is required if the existing use will be expanded or changed. Confirm what you are allowed to build back before the structure is gone.

Eligibility and Requirements for a Oklahoma Demolition ($5,000) Bond:

• A surety authorized to write bonds in Oklahoma.
• Bond of at least $5,000, or the larger amount the code official sets for the location.
• A bond the code official accepts as suitable for protecting adjacent owners from damages.
• City of Tulsa named as obligee.
• Name on the bond matching the demolition permit application.
• Proof of asbestos inspection as required by ODEQ, unless the structure is a privately owned residential building with four or fewer dwelling units.
• Sewer line plugged at the main and inspected before the demolition permit is issued.
• Owner credit review. At this bond size credit generally shapes the rate rather than eligibility.

Oklahoma Demolition ($5,000) Bond FAQs:

Official and Additional Resources for the Oklahoma Demolition ($5,000) Bond: