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If your crews open Salem streets or easements on a regular basis, a single $5,000 blanket bond keeps you from having to arrange new security for every job. You pay one premium, the City of Salem holds the bond, and your right of way permits can move without a fresh bond each time.
The City of Salem requires permits for work in the public right of way under Salem Revised Code 77.090, and contractors who open streets or easements post a $5,000 Street / Easement Opening Blanket Bond with the City as obligee. The bond guarantees that openings are done to City standards and that the street, sidewalk or easement is restored afterward.
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A blanket bond is written to stand behind a contractor's street and easement openings in general, rather than a single project. That is the point of it. Utility contractors, plumbers, excavators and others who cut into Salem streets or easements many times a year can keep one $5,000 bond on file instead of posting new security each time. Confirm with the City whether a larger project of yours calls for separate security in addition to the blanket bond.
The City of Salem requires a Work in Public Right of Way Permit under SRC 77.090 for work in alleys, lanes, on street parking spaces, streets or sidewalks. That includes staging vehicles in, or closing, any of those areas. Traffic control has to follow the Oregon Temporary Traffic Control Handbook or Part 6 of the Manual on Uniform Traffic Control Devices.
The City of Salem is the obligee. The bond protects the City if a permit holder opens a street or easement and fails to restore it to City standards, leaves hazards behind, or does not follow the permit conditions. If the City has to complete the repair itself, it can recover those costs through a claim on the bond, and the contractor then repays the surety.
Permit fees are separate from the bond, and the City asks applicants to call and verify the fee amount before turning in an application paid by cash or check. The bond premium is set by the surety based on the $5,000 bond amount and the credit and experience of the contractor. Confirm the current bond form and filing steps with City of Salem Public Works before the bond is issued.
One bond covers your street and easement opening work in Salem rather than a single project, so you do not post new security for every permit.
Yes. The bond does not replace the Work in Public Right of Way Permit that SRC 77.090 requires for work in streets, alleys, sidewalks and parking spaces.
The City of Salem. If an opening is not restored to City standards, the City can claim against the bond to recover its repair costs.
You pay a premium set by the surety based on the $5,000 bond amount and the credit and track record of the contractor.
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