A. Purpose: The permittee shall establish and deposit with the Village a security in the form of a surety bond or an unconditional letter of credit, which security shall be continuously maintained in accordance with this Section by the permittee until the completion of the work authorized under the permit. The security shall guarantee:
1. The faithful performance by the permittee of all the requirements of this Chapter;
2. The payment to the Village of all expenditures, damages, or losses incurred by the Village occasioned by the permittee's failure to comply with any codes, rules, regulations, orders, permits and other directives of the Village issued pursuant to this Chapter; and
3. The payment by permittee of all liens and all damages, claims, costs, or expenses that the Village may pay or incur by reason of any action or nonperformance by permittee in violation of this Chapter including, without limitation, any damage to public property or restoration work the permittee is required by this Chapter to perform that the Village must perform itself or have completed as a consequence solely of the permittee's failure to perform or complete, and all other payments due the Village from the permittee pursuant to this Chapter or any other applicable law.
B. Form: The permittee shall provide the security to the Village in the form of a surety bond in a form acceptable to the Village, or an unconditional letter of credit in a form acceptable to the Village. Any surety bond or letter of credit provided pursuant to this subsection shall, at a minimum:
1. Provide that it will not be canceled without prior notice to the Village and the permittee;
2. Not require the consent of the permittee prior to the collection by the Village of any amounts covered by it; and
3. Shall provide a location convenient to the Village and within the state of Illinois at which it can be drawn.
C. Amount: The dollar amount of the security shall be sufficient to provide for the reasonably estimated cost to restore the right-of-way to at least as good a condition as that existing prior to the construction under the permit, as determined by the enforcement official, and may also include reasonable, directly related costs that the Village estimates are likely to be incurred if the permittee fails to perform such restoration. Where the construction of facilities proposed under the permit will be performed in phases in multiple locations in the Village, with each phase consisting of construction of facilities in one location or a related group of locations, and where construction in another phase will not be undertaken prior to substantial completion of restoration in the previous phase or phases, the enforcement official may, in the exercise of sound discretion, allow the permittee to post a security which shall be applicable to each phase of the construction under the permit. The amount of the security for phased construction shall be equal to the greatest amount that would have been required under the provisions of this subsection for any single phase.
D. The surety bond or unconditional letter of credit shall serve as security if the permittee:
1. Fails to make any payment required to be made by the permittee hereunder;
2. Fails to pay any liens relating to the facilities that are due and unpaid;
3. Fails to reimburse the Village for any damages, claims, costs or expenses which the Village has been compelled to pay or incur by reason of any action or nonperformance by the permittee; or
4. Fails to comply with any other provision of this Chapter.
E. Release of Security: Upon completion of the work authorized under the permit, the permittee shall be entitled to the release of the surety bond or letter of credit within a reasonable time after payment(s) have been made to the Village as are necessary to compensate the Village for failure by the permittee to comply with any provisions of this Chapter or other applicable law.
F. Rights Not Limited: The rights reserved to the Village with respect to the security are in addition to all other rights of the Village, whether reserved by this Chapter or otherwise authorized by law, and no action, proceeding or exercise of right with respect to said security shall affect any other right the Village may have.
(Ord. 2007-O-23, 11-6-2007; amd. Ord. 2024-O-11, 5-9-2024)