10-20-125 Letter of credit – Conditions for draw.
   (a)   Upon the happening of all three of the following numbered subparagraphs:
      (1)   the amount of any restoration fee assessed pursuant to this article is insufficient to cover the cost of restoring the bituminous surface, or a licensee fails to restore the pavement or other materials in accordance with the standards and requirements of this article and other applicable provisions of this Code, or any damage is done to any underground work or connections, or otherwise, any of which will require the City of Chicago to make expenditures to correct the problem or problems and;
      (2)   the commissioner of transportation provides notice of the problem or problems described in subsection (a)(1) of this section to that licensee by certified mail; and
      (3)   after receiving notice, the licensee does not remit funds sufficient to cover the deficiency in restoration fee or the City of Chicago's required expenditures within 45 days of receipt of the notice, or does not correct the problem or problems within a time period specified by the commissioner of transportation, then the commissioner of transportation may draw upon that licensee's letter of credit in such amounts as are sufficient to cover the deficiency, or cover the City of Chicago's cost of correcting the problem or problems, in accordance with the standards and requirements of this article and other applicable provisions of this Code. In the event such a draw results in insufficient funds, the comptroller shall collect the amount of the shortfall from that licensee.
   (b)   Upon the happening of all four of the following numbered subparagraphs:
      (1)   the commissioner of transportation determines that a licensee has failed to restore the pavement or other materials in accordance with the standards and requirements of this article and other applicable provisions of this Code, and that such failure to restore or improper restoration has resulted in a dangerous condition that poses an imminent threat to the safety of pedestrians, motorists, or others on or near the public way; and
      (2)   after determining that the licensee is unable to immediately eliminate the dangerous condition, the commissioner of transportation eliminates the dangerous condition; and
      (3)   the commissioner of transportation notifies the licensee, by certified mail, of the problem or problems described in subsection (b)(1) of this section, and of the action taken by or on behalf of the department of transportation, and in the notification demands that the licensee reimburse the department of transportation for the funds expended to eliminate the dangerous condition; and
      (4)   after receiving notice, that licensee does not remit the demanded funds within 45 days of receipt of the notice, then the commissioner of transportation may draw upon that licensee's letter of credit in such amounts as are sufficient to cover the City of Chicago's cost of correcting the problem or problems in accordance with the standards and requirements of this article and other applicable provisions of this Code. In the event such a draw results in insufficient funds, the comptroller shall collect the amount of the shortfall from that licensee.
   (c)   The commissioner of transportation may in his or her discretion apply the procedures set forth in this section, either simultaneously or sequentially, to any one or more licensees either holding, or performing work pursuant to, a permit issued pursuant to this article.
   (d)   The City of Chicago shall have the right, but not the obligation, to arrange for or carry out any restoration, repairs or other work pursuant to this section or other applicable provision of this chapter, and any action taken by the City of Chicago in arranging for or carrying out any such restoration, repairs or other work shall not relieve a licensee of liability for, or diminish a licensee's liability for, any condition created by, or created as a result of the acts or omissions of, the licensee.
(Added Coun. J. 1-14-97, p. 37762, § 7; Amend Coun. J. 12-7-05, p. 64870, § 1.9; Amend Coun. J. 11-19-08, p. 47220, Art. IX, § 1; Amend Coun. J. 11-16-11, p. 13798, Art. I, § 8)