Birmingham, Alabama Land Disturbing Bond

Birmingham Land Disturbing Bond

The Clearing, Earthwork and Land Disturbing Activity Bond, also known as a Land Disturbing Bond, is required by the City of Birmingham prior to receiving a permit to disturb land from activities such as grading, excavating, dredging, etc. The permit bond acts as a guarantee, provided by Jet, that permittees will perform their obligations per the bond provisions and the Soil Erosion and Sediment Control Code of the City of Birmingham, Alabama.

APPLY FOR BOND

Buying your bond with Jet allows for a simplified process and lowered rates because we cut out middlemen agents and brokers.

What Is the Bond Limit and Cost of the Birmingham Land Disturbing Bond?

The bond limit is determined by the City Clerk based on the type of work being completed. Refer to the chart below to see how the bond limit is calculated.

Type of WorkBond Limit
Clearing operations only$1,000 per acre of land disturbed
Earthwork operations, or a combination of earthwork and clearing$3,000 per acre of land disturbed
Birmingham Land Disturbing Bond Limit Calculation

The bond amount for either work type will be doubled when performing work on floodways, floodplains, and other areas susceptible to landslides.

The price of the bond depends on the bond limit, personal credit and maybe based on a review of financial statements. You will only pay a small percentage of the total bond limit.

Why Is the Birmingham Land Disturbing Bond Required?

Land disturbing relates to any change in the land resulting in soil erosion or movement of sediment. The Soil Erosion and Sediment Control Code of the City of Birmingham, Alabama was created to ensure the safety and wellbeing of the land and public by regulating land disturbing activities. Part of that regulation mandates permittees to obtain a surety bond to guarantee duties are performed and completed according to the permitted plans. 

Incomplete work, work that creates hazardous conditions, or work otherwise in violation of the permitted plans are covered by the bond. For example, if a permittee’s negligence leads to pollution-ridden drainage creating water problems on an adjacent property, the bond may be used to correct the problem.

There are some exemptions from the permit and bond as stated in Section 4-7-12 of the Soil Erosion and Sediment Control Code.

How to Apply for the City of Birmingham Land Disturbing Bond With Jet

Applying for the bond is simple. After the application is submitted, one of Jet’s underwriters will contact you shortly with next steps. Additional documentation may be requested. Once all details have been reviewed, Jet will send you an approved rate via email. You are able to purchase the bond directly online and receive a copy of the bond and your receipt immediately.

How Is the Land Disturbing Bond Filed to the City of Birmingham?

Jet will file the bond for you! Once payment is received, we prepare the bond form and mail it to the City of Birmingham. If the City requires that you submit the bond yourself, you can choose to have the bond sent to you making payment. 

The bond must be send to the following address:

City of Birmingham, Planning, Engineering & Permits Department
710 20th Street N
City Hall, Room 220
Birmingham, AL 35203

Can I Cancel My Birmingham Land Disturbing Bond?

Yes, you can but make sure you're done with the job or have secured bonding elsewhere. Just send us a cancellation request (email is fine: [email protected]), and we will send a written request to the City of Birmingham. The City keeps the bond on file for 30 days upon receipt of the cancellation notice.

When Does the Land Disturbance Bond Obligation End With the City of Birmingham?

Permits are issued for a 90-day term. The bond is to remain active for the entirety of the land disturbing activities. If the land disturbance takes more than 90 days and is reason for good cause, a permit extension can be requested with the City Engineer. Let Jet know if this is the case, and we will make sure the bond stays on file to line up with the permit. Permit work must be carried out to completion, or the bond may be used to complete or correct the problems.

After a year the bond will have to be renewed. The premium we collect covers the job and liability afterwards, but after a year we will need to collect additional premium. If the job ends shortly after purchase of another term, then Jet will evaluate if any time is left on the bond and return any unearned premium to you.

How Does a Land Disturbing Permittee Avoid Bond Claims?

By following the Soil Erosion and Sediment Control Code, a permittee is able to avoid claims on the bond. Claims are most commonly filed for the following reasons:

Prior to a claim being filed, the city engineer may give notice to the permittee who must be prepared with an explanation and correction plan within 10 days of the notice. A compliance order may be issued directing the permittee to take actions within a specified time to remedy the violation. Lastly, the permittee may be ordered to cease and desist and to comply with the article or take appropriate action to remedy or prevent issues regarding a continuing violation. Various civil actions can be taken as well, so it is in the best interest of the permittee to cooperate with the City of Birmingham.

What Happens if I Get a Birmingham Land Disturbing Bond Claim?

Any corporation, firm, or person injured or that had property damaged as a direct result of a permittee violating the laws, regulations, and rules may bring action for restitution.

Any claim filed on the bond will be thoroughly investigated by Jet to verify the legitimacy. The permittee should be timely and truthful throughout all communications to ensure a smooth process.

A valid claim leads to Jet paying the claimant for the claim amount, up to the full bond limit. Since the permittee is liable for their actions, they must reimburse Jet. Failure to do so can result in future difficulties obtaining required permits and bonds for the City of Birmingham.

Birmingham Land Disturbing Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: