(A) Right-of-way bond. Prior to beginning construction, a permittee shall deposit with the district an irrevocable, unconditional letter of credit and/or surety bond equal to 100% of the anticipated costs or such other lesser amount established by the district.
(B) Purposes. The right-of-way bond shall serve as security for:
(1) The faithful performance by the permittee or registrant of the requirements of this code, including restoration of the right-of-way;
(2) Any expenditure, damage, payment or loss incurred by the district occasioned by the permittee or registrant’s violation of this code or its failure to comply with all rules, regulation, order, permits and other directives of the district issued pursuant to this chapter;
(3) The payment of all compensation due to the district, including permit fees;
(4) The payment of premiums for the required liability insurance;
(5) The payment to the district for any amounts for which the permittee or registrant is liable that are not paid by its insurance; and
(6) The payment of any other amounts which become due to the district pursuant to law.
(C) Form. The right-of-way bond shall contain the following endorsements: “It is hereby understood and agreed that this bond may not be cancelled or not renewed by surety nor the intention to cancel or not to renew be stated by the surety until 30 days after completion of construction of the facilities and, notwithstanding the foregoing, shall in no case be cancelled or renewed by the surety until at least 30 days’ written notice to the Dakota Dunes Community Improvement District of surety’s intention to cancel or renew this bond.”
(Prior Code, § 5-30)