(A) (1) Unless specifically waived by the town, or as a part of the certification of a utility under § 94.16(E), each applicant who has been granted a permit shall be required, as a condition of the permit, to tender to and keep in force during the life of any permit a performance bond, or irrevocable letter of credit drawn on an FDIC insured financial institution, acceptable to the town in an amount determined by the Town Council as necessary to secure the obligations accepted by an applicant for a permit under this subchapter.
(2) In the alternative, a utility, or non-utility applicant, may submit a bond pursuant to the following bond schedule:
Closure of town street | $1,000 per mile or fraction |
Comprehensive bond covering all work on an annual basis | $5,000 |
Open road cut | $5,000 |
Push or bore | $1,000 |
Underground construction parallel to but not in pavement | $500 per mile or fraction |
(B) Contractors who intend to apply for multiple permits over the course of a year, or public utility companies posting bond in lieu of payment of the fees as contemplated in § 94.16(E) shall provide a bond or letter of credit payable to the town guaranteeing that the applicant or utility shall restore the public right-of-way pursuant to the town standards for restoration of the right-of-way, in the minimum sum of $5,000, with provisions of the bond or letter requiring that the bond or letter be irrevocable for a period of one year and requiring that the bond or letter is automatically renewable unless the bonding company or financial institution gives a minimum of 30 days notice to the town that the bond or letter will not be renewed. If such bond or letter of credit is not renewed or not replaced by a new bond or letter of credit, such entity shall have no right to cut or use the public right-of-way until such bond or letter of credit is reestablished.
(Ord. 2005-15, passed 10-12-2005)