(A) Unless otherwise specified in a franchise agreement between the permittee and the town, prior to the granting of any permit, the permittee shall file with the town an insurance policy or certificate in a form satisfactory to the town with coverage as follows:
(1) The permittee shall carry and maintain in full effect at all times a commercial general liability policy, including broad form property damage, completed operations contractual liability, explosion hazard, collapse hazard, underground property damage hazard, commonly known as XCU, for limits not less than $1,000,000 each occurrence for damages of bodily injury or death to one or more persons; and $500,000 each occurrence for damage to or destruction of property;
(2) Workers’ compensation insurance as required by state law; and
(3) Town departments shall be relieved of the obligation of submitting a certificate of insurance.
(B) Whenever any person has filed with the town evidence of insurance as required, any additional or subsequent permit holder in the employ of said initial person may, at the discretion of the town, be excused from depositing or filing any additional evidence of insurance if such employee is fully covered by the permittee’s insurance policy.
(C) Each permittee shall construct, maintain and operate its facilities in a manner which provides protection against injury or damage to persons or property.
(1) The permittee, for itself and its related entities, agents, employees, subcontractors and the agents and employees of said subcontractors, shall save the town harmless, defend and indemnify the town, its successors, assigns, officers, employees, agents and appointed and elected officials from and against all liability or damage and all claims or demands whatsoever in nature unless caused by the negligent or intentional acts of the town, and reimburse the town for all its reasonable expenses, as incurred, arising out of the installation, maintenance, operation or any other work or activity in the public right-of-way or by the permittee related to its use thereof, including, but not limited to, the actions of the permittee, its employees, agents, contractors, related entities, successors and assigns, or the securing of and the exercise by the permittee of the permit rights granted in the permit, including any third party claims, administrative hearings and litigation; whether or not any act or omission complained of is authorized, allowed or prohibited by this code or other applicable law.
(2) The terms of each contract awarded by the permittee for activities pursuant to a permit shall contain indemnity provisions whereby the contractor shall indemnify the town to the same extent as described above.
(3) Following the receipt of written notification of any claim the permittee shall have the right to defend the town with regard to all third party actions, damages and penalties arising in any way out of the exercise of any rights in the permit. If, at any time, however, the permittee refuses to defend, and the town elects to defend itself with regard to such matters, the permittee shall pay all reasonable expenses incurred by the town related to its defense.
(4) In the event the town institutes litigation against the permittee for a breach of the permit or for an interpretation of this code and the town is the prevailing party, the permittee shall reimburse the town for all costs related hereto, including reasonable attorney’s fees. The permittee shall not be obligated to hold harmless or indemnify the town for claims or demands to the extent that they are due to the negligence, or any intentional and/or willful acts of the town or any of its officers, employees or agents.
(5) In the event the permittee is a public entity, the indemnification requirements of this section shall be subject to the provisions of the state’s Governmental Immunity Act, being C.R.S. §§ 24-10-101 et seq.
(Prior Code, § 165.7) (Ord. 503, passed 7-7-2005; Ord. 577, passed 11-6-2014)