(A) Permit and bond.
(1) A permit for construction and connection of the extension between a building drain and the sewer main or stub, herein called the
BUILDING SEWER, or between the building water service pipes and a water main or stub shall be issued only upon application by a contractor who has furnished a bond either to the Clerk/Treasurer or the Secretary of State under M.S. § 326.40, as it may be amended from time to time.
(2) The bond shall be in the amount of $2,000 conditioned so as to secure compliance by the principal with the provisions of this chapter and to further secure performance by him or her of all work undertaken within the city.
(B) Liability insurance.
(1) Before undertaking the construction work authorized by the permit, the contractor shall secure and maintain a policy of insurance against damages to property or injury or death to persons.
(2) The policy shall indemnify and save harmless the city and its personnel against any claim, damages or cause of action arisen out of the work and from any expenses of defending the same.
(3) The property damage insurance coverage shall be in the amount of at least $50,000 and the public liability damage for injury or death shall be in the amount of at least $100,000 per claimant and $250,000 for any number of claims per occurrence.
(4) Proof of insurance shall be filed with the city prior to construction work and the policy shall provide that the city shall be notified immediately of any termination or modification of insurance.
(5) If the insurance coverage is inadequate in amount, the contractor shall indemnify and hold harmless the city and its personnel in like manner.
(C) Apportionment of costs.
(1) The owner shall bear the costs and expenses incident to the installation and connection of the building sewer or extension of water service to private property.
(2) He or she shall indemnify the city for any loss of damage directly or indirectly caused by its installation and connection.
(3) To the extent he or she deems necessary, the Superintendent shall establish rules and regulations for the proper implementation of these requirements which, when approved by the Council by resolution, shall govern the installation and connection of building sewers and extension of water service to private property.
(1986 Code, § 401.06) (Am. Ord. 25, passed 4-1-1996)