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No public way work license shall be issued pursuant to this Article I until the applicant for such license shall first have obtained commercial general liability insurance and has presented to the commissioner of transportation proof of such insurance against any liability, loss or claim arising out of the issuance of the license, or out of work performed pursuant to the license. Such insurance shall: (1) be issued by an insurer authorized to insure in Illinois, (2) be in an amount no less than $1,000,000.00 per occurrence for bodily injury, personal injury and property damage, and (3) name the City of Chicago, its officers, employees and agents as additional insured on a primary, noncontributory basis for any liability arising directly or indirectly from the licensee's operations. The insurance policy shall provide for 30 days' written notice to the commissioner of transportation prior to any lapse, cancellation or change in coverage. The insurance shall be maintained in effect at all times during the term of the license. In lieu of the insurance requirements stated above, and apart from and separate from any insurance requirement under this section, the commissioner of transportation in his or her discretion may require, instead of such insurance, any alternative form of indemnity, protection or security that the commissioner deems necessary to accomplish the above-described purposes.
(Prior code § 33-2; Amend Coun. J. 5-4-94, p. 49718; Amend Coun. J. 1-14-97, p. 37762, § 5; Amend Coun. J. 12-7-05, p. 64870, § 1.9; Amend Coun. J. 11-19-08, p. 47220, Art. IX, § 1; Amend Coun. J. 10-28-15, p. 11951, Art. VI, § 30; Amend Coun. J. 11-16-16, p. 37901, Art. II, § 31)
Editor's note – Formerly § 10-20-020.
The public way work license required by this article shall be issued only after the prospective licensee shows proof to the commissioner of transportation of having established an irrevocable letter of credit for the benefit of the City of Chicago, in an amount and for a duration to be established in regulations promulgated by the commissioner of transportation, such letter of credit to be maintained in conjunction with the license and any renewals. A licensee shall bear the costs of establishing, maintaining and renewing such letter of credit, and shall bear any costs associated with a draw upon the letter of credit.
(Added Coun. J. 1-14-97, p. 37762, § 6; Amend Coun. J. 12-7-05, p. 64870, § 1.9; Amend Coun. J. 11-19-08, p. 47220, Art. IX, § 1)
(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)
In addition to any other penalties that may be imposed under applicable law, a public way work license issued pursuant to this article may be suspended for a period of up to six months if:
(1) a licensee's insurance or letter of credit required by this article is cancelled or is allowed to expire or otherwise lapse and such cancellation, expiration or lapse is not promptly remedied upon written notice sent by certified mail to that licensee; or
(2) the commissioner of transportation is required to draw upon a licensee's letter of credit pursuant to this article; or
(3) the commissioner of transportation receives notification from any city board, commission, department or other city agency that another city-issued license held by the licensee has been suspended or revoked; or
(4) a licensee is repeatedly issued either a notice provided for in Section 10-20-125 of this article, or a citation pursuant to this article, or any combination of notices and citations, within a license period. The number of notices and/or citations necessary for this subsection to apply shall be set forth in regulations promulgated by the commissioner of transportation. If any one or more of a licensee's substantial owners was a substantial owner of another licensee during the license period and that other licensee received a notice provided for in Section 10-20-125, or a citation pursuant to this article, during that license period, such prior notice or citation shall be included in determining the number of notices or citations received by the current licensee.
(Added Coun. J. 1-14-97, p. 37762, § 8; Amend Coun. J. 12-7-05, p. 64870, § 1.9; Amend Coun. J. 11-19-08, p. 47220, Art. IX, § 1)
In addition to any other penalties that may be imposed under applicable law, a public way work license issued pursuant to this article may be revoked for a period of up to three years if a licensee has their license suspended pursuant to this article three times within a three-year period. If any one or more of a licensee's substantial owners was a substantial owner of another licensee during the three-year period and that other licensee had their license suspended pursuant to this article during that three-year period, such prior suspension or suspensions shall be included in determining the number of suspensions received by the current licensee.
(Added Coun. J. 1-14-97, p. 37762, § 9)
(a) Proceedings for the suspension or revocation of the public way work license required by this article shall be conducted pursuant to Section 4-4-280 of this Code, upon referral by the commissioner of transportation.
(b) When a license suspension or license revocation is imposed on a licensee pursuant to any provision of this article, such suspension or revocation shall apply to all substantial owners of that licensee, and no such substantial owner may apply for or be issued, or be an officer, director, member, partner, shareholder, or owner in an entity that applies for or is issued, a public way work license under this article for the duration of such suspension or revocation.
(Added Coun. J. 1-14-97, p. 37762, § 10; Amend Coun. J. 12-7-05, p. 64870, § 1.9; Amend Coun. J. 11-19-08, p. 47220, Art. IX, § 1)
(a) In addition to any other penalties that may be imposed under applicable law, any person who makes an opening in, or who constructs or repairs any pavement in, any public way or other public place without first obtaining the public way work license required by this article, or who falsifies information in order to obtain such a license, shall be subject to a fine of $500.00 for each day that the opening exists or that the construction or repair is conducted, and shall also be liable to the City of Chicago for any costs incurred by the city in arranging for or carrying out any restoration, repairs or other work necessitated by the acts or omissions of such person. 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 such person of liability for, or diminish that person's liability for, any condition created by, or created as a result of the acts or omissions of, that person.
(b) If a person holding the public way work license required by this article allows the insurance or letter of credit required in conjunction with such license to be cancelled or to expire or otherwise lapse for more than 30 days during the period that such insurance or letter of credit is required to be in full effect, the license will be rendered void and the person must reapply for a new license and pay a new license fee in order to be considered for a valid license.
(Added Coun. J. 1-14-97, p. 37762, § 11)
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