(A) Except as provided in divisions (D) and (E) of this section, no person may make any excavation in the public right-of-way, make any cut or break in any surface of the public right-of-way, deposit any earth or other material in the public right-of-way, place any equipment or facility in the public right-of-way, modify or remove any equipment or facility, or perform any other work in the public right-of-way requiring a permit pursuant to this chapter unless, prior to the commencement of any such work, such person furnishes to the city a guarantee meeting the requirements of division (C) of this section, as security for the faithful completion of all permit terms and conditions, including restoration of the public right-of-way, relocation of equipment and facilities, removal of equipment and facilities from the public right-of-way, and payment of all amounts due to the city (e.g., delinquent or unpaid permit fees, expenses, damages, or losses incurred by the city as a result of such person's violation of or failure to comply with a permit condition).
(B) Except as provided in divisions (D) and (E) of this section, any persons who owns or controls any equipment or facility in the public right-of-way shall furnish a guarantee meeting the requirements of division (C) of this section, as security for the faithful performance of the person's obligation, whether under franchise, license, or the provisions of this chapter to:
(1) From time to time relocate or remove the equipment and facilities from the public right-of-way;
(2) Restore the public right-of-way when the person performs or has work performed on such equipment or facilities; and
(3) Pay any amounts due to the city (e.g., delinquent or unpaid permit, license or franchise fees; or expenses, damages, or losses incurred by the city as a result of such person's violation of or failure to comply with a permit condition.
(C) Every guarantee required pursuant to this section shall be in the form of a surety bond, certified check, irrevocable letter of credit, or cash. In the case of a surety bond, the surety company shall be authorized to do business in Tennessee, the bond shall be accompanied by evidence of authority of the issuing agent, and the bond form and the evidence of authority shall be subject to approval by the city attorney before the permit may be issued. Every guarantee required pursuant to this section shall be maintained until 180 calendar days after removal of all such equipment and facilities from the public right-of-way or such other date as may be agreed to by the city, in an amount sufficient to cover the estimated cost of the work required to meet the conditions of the permit.
(D) A person shall not be required to provide a guarantee pursuant to this section if such person:
(1) Is authorized by a franchise, license or other authorization granted by the city to place equipment or facilities in the public right-of-way;
(2) Required as a condition of such authorization to furnish and maintain a performance guarantee; and
(3) Provides evidence that it has furnished and maintained such guarantee as required by the franchise or other authorization throughout the period since the date it was first obligated to furnish such guarantee.
(E) The city may, in its sole discretion, waive or reduce the amount of the guarantee otherwise required pursuant to this section for a small project which involves minimal use of the public right-of-way and is not likely to result in any damage to the public right-of-way, any other property, or any person. Any such waiver must be in writing.
(Ord. 1537, passed 4-20-2017)