Surety Bond Encyclopedia

Excavation Right of Way Permit ($5,000) Bond - City of Midvale, UT in Utah

Brief Summary

Midvale will not issue an excavation permit until the bond is on file, and the city attorney has to approve both the form and the surety that writes it. Getting a $5,000 bond from an approved surety in hand before you apply keeps the permit moving. The bond also stands behind a two year guarantee on your patch, so a clean restoration record is what keeps it inexpensive year after year.

Midvale City Code 12.12.130 requires every applicant for an excavation permit in a city right of way to provide an acceptable corporate license and permit bond before the permit is issued. The bond on this page is $5,000. The amount is designated in the municipal fee schedule, and the city engineer may increase it when the cost of the work varies significantly from what the schedule contemplates. Franchised public utilities are excused only if their franchise documents expressly waive the bond.

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

  • Confirm you are an eligible applicant under 12.12.020, such as a state licensed general contractor or public utility.
  • Obtain the $5,000 corporate license and permit bond naming Midvale City as obligee, on a form the city attorney will accept.
  • Ask engineering whether the city engineer will require a higher amount for the scope of your work.
  • Provide certificates of insurance and endorsements showing at least $1,000,000 per occurrence and $1,000,000 aggregate with the city included as an insured.
  • Submit the application to the city engineering department with any plans, specifications or sketches the city engineer requires.
  • Pay the permit fee from the consolidated fee schedule before the permit is issued.

Detailed Information About the Utah Excavation Right of Way Permit ($5,000) Bond:

Who needs the bond

Chapter 12.12 of the Midvale Municipal Code governs excavations within city rights of way. Under 12.12.020, permits may be issued to contractors licensed by the state as general contractors, public utility companies, property owners installing, replacing or maintaining less than five hundred square feet or one hundred linear feet of sidewalk, curb and gutter, and persons offering a service that requires occupation of the public way, such as scaffold or staging. No work may start until the city engineer approves the application and issues the permit.

Section 12.12.130 then requires each applicant, before being issued a permit, to provide an acceptable corporate license and permit bond. The obligee is Midvale City.

Who is exempt

Only public utilities franchised by the city, and only when the franchise documents expressly waive the bond. A contractor doing work for a utility is not covered by the utility's franchise unless the city says so, so plan to post your own bond.

Amount

The listed bond is $5,000. The code sets the amount by reference to the municipal fee schedule and lets the city engineer increase it where the cost of the work varies significantly from the schedule. Large or complex cuts can be bonded higher. The city attorney must approve the form of the bond and the entity issuing it, so confirm the current amount and form with Midvale City engineering before the bond is issued.

What the bond guarantees

The bond is conditioned on four things. The permittee will comply with city ordinances and pay for damage caused by any failure to do so. The permittee will proceed with diligence, promptly complete the work and restore the public way to construction specifications. The permittee guarantees materials and workmanship for two years from completion, reasonable wear and tear excepted. And paving must be completed within three calendar days on major and collector streets and within seven calendar days on other streets, measured from the start of excavation, with temporary patches allowed in winter.

Insurance is separate

Section 12.12.120 also requires liability coverage of at least one million dollars combined single limit per occurrence and one million dollars aggregate, with the city included as an insured and certificates provided before the permit is issued.

Premium

The surety sets the premium from the contractor's credit, financial strength and history of completing and restoring right of way work. Because the bond carries a two year workmanship guarantee, claims on past patches weigh heavily.

Eligibility and Requirements for a Utah Excavation Right of Way Permit ($5,000) Bond:

  • Corporate surety bond, not a personal guarantee.
  • Bond form and issuing surety approved by the Midvale city attorney.
  • Two year guarantee on materials and workmanship from completion of the work.
  • Paving completed within three calendar days on major and collector streets and seven calendar days on other streets.
  • Principal name on the bond matching the permit applicant.

Utah Excavation Right of Way Permit ($5,000) Bond FAQs:

Is the bond always $5,000?

The listed bond is $5,000, and the code ties the amount to the municipal fee schedule. Section 12.12.130 lets the city engineer increase it when the cost of the work varies significantly, so a large project can require more.

I am working for a utility. Does its franchise cover me?

The only exemption in 12.12.130 is for public utilities franchised by the city, and only where the franchise documents expressly waive the bond. Contractors should expect to post their own bond unless the city confirms otherwise in writing.

How long does the bond stay responsible for my work?

The bond guarantees materials and workmanship for two years from completion of the work, with reasonable wear and tear excepted.

Can a homeowner get this permit?

Yes, for sidewalk, curb and gutter work under five hundred square feet or one hundred linear feet. Property owners doing work next to their residence may submit homeowner's insurance under 12.12.120, but the bond requirement in 12.12.130 applies to each applicant.

What happens if I dig without a permit?

Chapter 12.12 carries its own penalty for work without a permit in 12.12.160 and allows the city to act when a permittee defaults under 12.12.170. The bond is what the city draws on to fix unfinished or failed restoration.

Official and Additional Resources for the Utah Excavation Right of Way Permit ($5,000) Bond:

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