13.36.130 Financial assurance.
A. Unless otherwise provided in a franchise agreement, before work is commenced within a right of way, the user shall provide a performance bond or other form of surety acceptable to the City in an amount equal to at least 100% of the estimated cost of all the work within the right of way. The amount of the estimated cost is subject to approval by the City Engineer. In lieu of providing surety each time a user applies for a Right of Way Permit, the City Engineer may require an annual or rotating bond in an amount not less than $100,000 to cover all or specified work in the right of way. The surety shall remain in force until released by the City following final acceptance and upon compliance with Chapter 16.12, unless otherwise provided in a franchise agreement. In the case of an annual or rotating bond, the surety shall remain in force until released by the City.
B. The surety shall guarantee, to the satisfaction of the City:
1. Timely completion of construction;
2. Construction in compliance with applicable plans, permits, technical codes and standards;
3. Proper location of the facilities as specified by the City;
4. Restoration of the public rights of way and other property affected by the construction; and
5. Timely payment and satisfaction of all claims, demands and liens for labor, material and services provided in connection with the work.
C. In lieu of a surety bond, the user may file as security cash or certified check in an amount no less than 100% of the estimated cost of all the work within the right of way, to be held by the City and returned subject to the same conditions as set forth in the case of surety bonds.
D. In the case of unimproved rights of way, no security is required unless, in the opinion of the City Engineer, security is necessary for the protection of the public interest.