(A) Before an excavation permit as herein provided is issued, the applicant must deposit with the City Engineer a surety bond in the minimum amount of $5,000 payable to the city.
(B) The required surety bond must:
(1) Be with good and sufficient surety;
(2) Be by a surety company authorized to transact business in the State of Minnesota;
(3) Be dated and signed by an authorized officer of the principal and by a representative of the surety (attorney-in- fact);
(4) Be conditioned upon the permittee's compliance with this chapter and to secure and hold the city, its officials, and employees harmless against any and all claims, damages, liabilities, losses, actions, suits, judgments, or other costs arising from the excavation and other work covered by the excavation permit or for which the city, Council or any city employee may be made liable by reason of any accident or injury to persons or property through the fault of the permittee either in not properly guarding the excavation or for any other injury resulting from the negligence of the permittee, and further conditioned to fill up, restore and place in good and safe condition as near as may be to its original condition, and to the satisfaction of the City Engineer or other duly authorized employee, all openings, and excavations made in streets, and to maintain any street where excavation is made in as good condition for the period of 12 months after the work is done, usual wear and tear excepted as it was in before the work was done. Any settlement of the surface within the one-year period is deemed conclusive evidence of defective backfilling by the permittee. Nothing herein contained is construed to require the permittee to maintain any repairs to pavement made by the city if such repairs should prove defective. Recovery on such bond for any injury or accident must not exhaust the bond but it must in its entirety cover any or all future accidents or injuries during the excavation work for which it is given. In the event of any suit or claim against the city by reason of the negligence or default of the permittee, upon the city's giving written notice to the permittee of such suit or claim, any final judgment against the city requiring it to pay for such damage is conclusive upon the permittee and surety. An annual bond may be given under this provision which must remain in force for one year conditioned as above, in the amount specified above and in other respects as specified above but applicable as to all excavation work in streets by the principal in such bond during the term of one year from the date;
(5) Be described as a permit bond to carry on the business of excavations within the public right-of-way or easements of the city for the tapping, installation, modification, or construction of utilities, driveways, or streets.
(6) Be identified with a reference or claim number;
(7) Identify the principal (contractor) and the surety company;
(8) Identify the principal and the surety company both as being bound to the owner (city);
(9) Be an amount as specified on the permit. The dollar amounts should be identified numerically in addition to being written out with words;
(10) Have a corporate seal which clearly identifies the surety company;
(11) Pay all damages imposed upon it for violation of any federal or state law, city or county ordinance, or conditions of any permit issued thereunder;
(12) Indemnify any person who suffers a loss through violation by said principal of any federal or state law, city or county ordinance, or conditions of any permit issued thereunder;
(13) Guaranty to replace or perform again in a faithful and adequate manner all work and materials not in accordance with the applicable federal or state law, city or county ordinance, and permits;
(14) Indemnify any person for whose benefit the applicable federal or state law, city or county ordinance specifically provides indemnification;
(15) Faithfully satisfy all judgements based on tort liability which are obtained by reason of negligence through the business which negligence is attributable to the principal or agent.
('72 Code, § 650:10) (Am. Ord. 1995-779, passed 4-24-95)