(A) The city shall require each applicant referred to in this subchapter, before granting a permit, to deposit a financial assurance or post a surety bond equal to the cost of the work proposed in the application, as determined by the City Engineer or designee. The financial assurance or surety bond shall constitute a guarantee that the work shall be done in accordance with permit and city specifications, standards and guidelines. The applicant shall be given a receipt for the financial assurance.
(B) If a surety bond is posted, it shall be executed by the applicant as principal, with a corporation duly authorized to transact business in the State of Arizona. The bond shall be in favor of the city, shall be continuous in form and shall be conditioned that the total aggregate liability of surety for all claims. The bond shall be released upon satisfactory performance and acceptance of the work, or may be cancelled after the applicant has provided other security satisfactory to the city that will cover obligations that remain.
(C) If the City Engineer determines that the amount of financial assurance required is less than $500.00, the City Engineer or designee may waive the requirement for financial assurance.
(D) The surety bond or financial assurance shall not be required where the other provisions of City Code also cover the improvements and cost of work proposed in the application.
(Ord. O2019-024, passed 6-19-19) Penalty, see § 210-99