Surety Bond Encyclopedia

Single Job Right of Way ($5,000) Bond - City of Red Bank, TN in Tennessee

Brief Summary

Red Bank's code does not print a dollar figure for this bond. Section 16-207 leaves the amount to the building official, and this listing is the $5,000 single job version for one excavation or street obstruction permit. Confirm the figure with the Building Department, have it issued to the City of Red Bank, and it clears the way for your right of way permit.

The City of Red Bank, Tennessee requires a bond before it issues a permit to excavate in or obstruct any street or public right of way. Under Red Bank Municipal Code 16-207, the bond secures the city against all loss, damage or injury caused by the excavation or obstruction, and the building official sets the amount. This listing is a $5,000 bond for a single job. Contractors and public utilities may instead give an annual bond renewed at least every 12 months.

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How to Apply for a Single Job Right of Way ($5,000) Bond:

Confirm the bond amount for your permit with the Red Bank Building Department before ordering the bond.
Have the surety issue the bond to the City of Red Bank, Tennessee as obligee.
Complete the excavation permit application with the location, size, purpose and names of those doing the work.
File a certificate of insurance meeting the Section 16-212 minimums.
Pay the permit fee under Section 16-205 based on the type of cut.
Finish the work within 60 days of starting and before the permit expires at 180 days.

Detailed Information About the Tennessee Single Job Right of Way ($5,000) Bond:

Single job or annual

Section 16-207 of the Red Bank Municipal Code requires a bond from every applicant for a permit to excavate or obstruct a city street. Public utilities and persons in the business of contracting may give an annual bond instead of a bond for each obstruction, renewed at least once every 12 months. This page is the single job version, which covers one permit. If you cut into Red Bank streets regularly, ask the building official about the annual option.

The amount

The code leaves the amount to the building official, as determined from time to time, with sureties acting with the consent of the city manager. This listing is for $5,000. Confirm with the Building Department that $5,000 is the figure for your permit before the bond is issued.

What the bond guarantees

The bond is conditioned to secure the City of Red Bank against all loss, damage or injury of any kind that may result to the city by reason of the excavation or obstruction.

Permit rules that come with it

Section 16-203 makes it unlawful to excavate or tunnel under any street, curb, alley or public right of way without a permit from the building official. Emergency work may start first if the permit is obtained the next working day. Permit fees under 16-205 are $250 for transverse pavement cuts, $1.00 per foot with a $250 minimum for longitudinal cuts, $50 for sidewalk cuts and $100 for curb or curb and gutter cuts, doubled for work done without a permit. Permits expire after 180 days, and work must be finished within 60 days of starting.

Insurance and the 24 month defect period

Section 16-212 requires liability insurance of at least $300,000 for each person and $1,000,000 for each accident for bodily injury, and $100,000 for property damage. Under 16-209, a permittee whose excavation is inspected and stays free from defects for 24 months after installation is relieved of liability for defective workmanship or materials. Five or more excavations within one block or 250 feet within two years after the street was resurfaced or built require repaving that whole stretch, and the permittee is responsible for the city's enforcement costs including attorney fees.

Eligibility and Requirements for a Tennessee Single Job Right of Way ($5,000) Bond:

Bond amount of $5,000 for this single job listing, subject to the building official's determination.
Obligee named as the City of Red Bank, Tennessee.
Bond conditioned to secure the city against all loss, damage or injury from the excavation or obstruction.
Liability insurance of at least $300,000 per person, $1,000,000 per accident and $100,000 property damage.
Excavation inspected by the building official and free from defects for 24 months after installation.
Signature of applicant and permittee accepting responsibility for the city's enforcement costs.

Tennessee Single Job Right of Way ($5,000) Bond FAQs:

Where does the $5,000 figure come from?

Red Bank Municipal Code 16-207 does not print a dollar amount. It leaves the amount to the building official. This listing is for a $5,000 single job bond, so confirm with the Building Department that it matches your permit before the bond is issued.

Do I need a new bond for every street cut?

A single job bond covers one permit. Section 16-207 allows public utilities and persons in the business of contracting to give an annual bond instead, renewed at least once every 12 months.

What if it is an emergency repair?

Section 16-203 lets emergency work begin before the permit is issued, provided the permit is obtained the next working day. The bond requirement in 16-207 applies before the permit is granted.

How long is the permit good for?

Under Section 16-206 a permit expires after 180 days, and work must be completed within 60 days of starting.

What happens if my patch fails later?

Section 16-209 relieves a permittee of liability for defective workmanship or materials only if the inspected excavation stays free from defects for 24 months after installation. The permit also makes the applicant and permittee responsible for the city's enforcement costs, including attorney fees.

How is the premium set?

The city sets the bond amount, not the price. The surety sets the premium after reviewing the applicant, mainly the owner's personal credit and the business's history.