Permit Performance Right of Way Bond - Oregon DOT in Oregon

Brief Summary

ODOT will not let work start on a state highway right of way until the permit is approved, and when the district asks for a bond, that bond is often the last item holding up the permit. This one is written on ODOT Form 734-1908 for the specific permit in front of you, in the amount the district put in the Special Provisions, so you can get the paperwork back to the district office and get your crew moving.

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 specifies in the Special Provisions of the permit. The Permit Performance Bond, ODOT Form 734-1908, is tied to a single permit number and guarantees the permittee restores the right of way to the condition ODOT requires.

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

• Get the permit number and the required bond amount from the permit Special Provisions or the ODOT district office.
• Have the legal name of the permittee exactly as it appears on the permit application.
• Complete the bond application and review the quoted premium.
• Pay the premium and receive the executed Permit Performance Bond on ODOT Form 734-1908.
• Return the bond to the ODOT maintenance district issuing the permit.

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

Who has to post this bond

Work on an Oregon state highway right of way requires a permit from ODOT under Oregon Administrative Rules chapter 734, division 55. That includes utility installations, approaches, grading, drainage, paving and similar operations. Permits are issued by ODOT's maintenance districts, and no work may begin until the applicant has a copy approved by the department.

OAR 734-055-0035 lets ODOT require a bond or cash deposit when it requests one in writing. If your permit calls for a bond, this is the form most applicants use for a single job.

How the amount is set

There is no fixed statewide figure in the rule. The bond must be in the amount specified in the Special Provisions of the permit, so the district sets it based on the work. Read the Special Provisions or ask the district permit office for the figure before the bond is ordered.

What the bond guarantees

The Permit Performance Bond names the Oregon Department of Transportation as obligee and lists the permit number it covers. The promise is that the principal will restore the highway right of way or department property to the condition ODOT requires in that permit. Once the restoration meets ODOT's requirements the obligation is satisfied. If it does not, ODOT can claim against the bond.

One permit or many

Form 1908 covers one permit. If you pull ODOT permits often, the Permit Blanket Performance Bond on Form 1909 covers permits issued to you from time to time under a single bond.

Insurance is separate

ODOT can also require, in writing, 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 satisfy that requirement.

Eligibility and Requirements for a Oregon 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 in the permit Special Provisions.
• The specific permit number entered on the bond form.
• Liability and property damage insurance if ODOT requests it in writing, which is separate from the bond.

Oregon Permit Performance Right of Way Bond FAQs:

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