Surety Bond Encyclopedia

Blanket Permit Performance Right of Way Bond - Oregon DOT in Oregon

Brief Summary

If your crews cut into Oregon state highway right of way more than once or twice a year, the blanket bond saves you from buying a new bond for every permit. One bond on ODOT Form 734-1909 stays on file and backs your restoration promise on each permit ODOT issues to you, so the bond is never the reason a job start slips.

The Oregon Department of Transportation can require a bond before it issues a permit to occupy or perform operations on a state highway right of way. Under OAR 734-055-0035 the amount is whatever ODOT sets in the Special Provisions of the permit. The blanket version, ODOT Form 734-1909, covers multiple permits over time and guarantees the permittee restores the right of way to the condition ODOT requires.

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How to Apply for a Blanket Permit Performance Right of Way Bond:

  • Get the required bond amount from the permit Special Provisions or the ODOT district permit office.
  • Have the legal name of the permittee exactly as it will appear on the permit application.
  • Complete the bond application and review the quoted premium.
  • Pay the premium and receive the executed Permit Blanket Performance Bond on ODOT Form 734-1909.
  • Submit the bond to the ODOT maintenance district handling your permits.

Detailed Information About the Oregon Blanket Permit Performance Right of Way Bond:

Who has to post this bond

Anyone doing work on a state highway right of way in Oregon needs a permit from ODOT under Oregon Administrative Rules chapter 734, division 55. That covers utility lines, pipelines, approaches, grading, drainage, paving and similar work. The permit is issued through one of ODOT's maintenance districts, and work cannot start until the applicant holds a copy approved by the department.

OAR 734-055-0035 lets ODOT require a bond or cash deposit when it asks for one in writing. Contractors, utilities and developers who pull these permits regularly often choose the blanket bond so a single instrument covers every permit they hold.

How the amount is set

The rule does not fix a single statewide figure. The bond must be in the amount specified in the Special Provisions of the permit, so the district decides based on the work involved. Check the permit or ask the district permit office for the required figure before ordering the bond.

What the bond guarantees

The ODOT Permit Blanket Performance Bond is written in favor of the Oregon Department of Transportation. It covers grading, leveling, filling, drainage, paving, pipe line installation and other work on highway right of way performed under permits issued from time to time. The obligation is that the principal restores the right of way or department property to the condition ODOT requires in the permit. If the principal does that, the obligation is satisfied. If not, ODOT can make a claim against the bond.

Blanket bond or single permit bond

ODOT publishes two bond forms. Form 1908, the Permit Performance Bond, is tied to one permit. Form 1909, the Permit Blanket Performance Bond, covers many permits under one bond. The blanket form makes sense for anyone with ongoing right of way work.

Insurance is a separate item

The same rule lets ODOT require liability and property damage insurance with a combined single limit of $500,000, naming the State of Oregon, the Oregon Transportation Commission and the department as insureds. The bond does not replace that insurance.

Eligibility and Requirements for a Oregon Blanket Permit Performance Right of Way Bond:

  • A surety company licensed to do business in Oregon, on a form satisfactory to ODOT.
  • Oregon Department of Transportation named as obligee.
  • Bond amount matching the figure ODOT specifies in the permit Special Provisions.
  • Principal name matching the permit application exactly.
  • Liability and property damage insurance if ODOT requests it in writing, which is separate from the bond.

Oregon Blanket Permit Performance Right of Way Bond FAQs:

How much is the bond?

ODOT sets the amount in the Special Provisions of the permit under OAR 734-055-0035. There is no single figure in the rule. Confirm the amount with the district permit office before the bond is issued.

What is the difference between the blanket bond and the regular permit bond?

Form 1908 covers one permit. Form 1909, the blanket bond, covers permits issued to you from time to time, so you do not need a new bond for each job.

What does the bond actually promise?

It promises that you will restore the highway right of way or department property to the condition ODOT requires in each permit. If you do not, ODOT can claim against the bond.

Does the bond take the place of insurance?

No. ODOT can separately require liability and property damage insurance with a $500,000 combined single limit naming the state, the commission and the department as insureds.

Where do I file it?

Permits are issued by ODOT's maintenance districts. Contact the district office for the area where you work to confirm filing steps and the current form.

Official and Additional Resources for the Oregon Blanket Permit Performance Right of Way Bond:

Other Oregon DOT Surety Bonds in Oregon

Fuel TaxPermit Performance Right of Way

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