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Portland Street Opening Permit Bond
The City of Portland $2,000 Street Opening Permit Bond is required by the Portland Bureau of Transportation for businesses that perform construction on public streets. The bond is a financial guarantee that the work will be completed to the specifications of Portland City Code 17.32.040 and follow the permit requirements for digging, excavating, and undermining the streets of the City. The bond further reassures that the contractor will maintain the street in good repair for two years following the construction.
Jet Insurance offers the lowest rate in the market for this bond! To apply, click the link above and receive your bond within minutes.
What Does the Street Opening Permit Bond Cost?
The cost for the $2,000 Street Opening Permit Bond is $100 with Jet. Unlike other carriers and brokers, there are no hidden fees, commissions, or extra paperwork between contractors and their permit bond.
| Bond Term | Cost |
|---|---|
| 1 Year | $100 |
What Will Happen if Portland Makes a Claim Against the Bond?
The City requires the original bond form to be submitted along with the Portland street opening permit application before work can begin. Jet will send the original signed and sealed bond form to the contractor for a counter signature. The contractor will then need to sign the form and send it to the address below:
City of Portland
Portland Bureau of Transportation – Attn UCI
1120 SW 5th Ave, Suite 1331
Portland, OR 97204
What Is the Purpose of the Street Opening Permit Bond?
The people of Portland need their streets to be in good working condition. They rely on them in order to get around safely for daily activities, and businesses rely on this same system in order to deliver goods and services. Because of this, the City of Portland Bureau of Transportation has systems in place to ensure that their citizens can continue to travel throughout the City on streets and sidewalks that are safe, usable, and up to permit regulations.
The Street Opening Permit Bond is one tool for the City of Portland to make certain that permit regulations will be upheld. Permit regulations covered by the bond include street opening construction such as digging up, breaking into, excavating, disturbing, digging under, or undermining the street or any surrounding public area. It also ensures that contractors will immediately remove all surplus sand, dirt, rubbish, and any other materials following the completed project. The City Engineer will then determine if all construction has been completed to a satisfactory level for their citizens.
This bond is a financial guarantee work will be completed up to permit regulations. The bond will then remain active for two years following the completed construction and will provide a guarantee against settlement or possible damage. The bond also serves as a guarantee for multiple permits that may be needed throughout the construction process.
How Can Contractors Avoid a Street Opening Permit Bond Claim?
Contractors working on a street opening project for Portland will need to follow the terms and conditions stated in the permit in order to avoid any repercussions. There are five areas of concern that can cause such issues for contractors:
- Unresolved damage to any portion of the street, alley, or public highway
- Not immediately removing all surplus debris after construction has been completed
- Leaving the site in an unsatisfactory condition to the City Engineer
- Construction not completed to permit specifications
- Not keeping the street in good repair for two years after project completion—this is specific to defective workmanship or materials employed during street opening construction
The City of Portland is the party that will bring action against the contractor. Contractors will typically be given an opportunity by the City Engineer to fix any mistake or damage that was made. If the mistake or damage is not fixed, then the City of Portland may file a claim against the surety bond to recover losses up to $2,000.
What Will Happen if Portland Makes a Claim Against the Bond?
If the City of Portland is given no resolution from contractor violations of the street opening permit, the City may then file a claim against the Street Opening Permit Bond directly to Jet. Jet will then start the process of investigating the validity of the claim. It is important to remember that these claims are coming from a government agency, so there is little Jet can do prior to following the City’s orders and paying the claim.
Jet will then follow the guidelines set by the State of Oregon Department of Insurance pertaining to the timeline and handling of the bond claim. This will give Jet a 30-day window to make payment after the acceptance of the claim.
The contractor still remains responsible for their actions and must reimburse Jet for the payout of the bond. Failure to make reimbursement will lead to difficulties in obtaining surety bonds in the future.
How Does the Bond Application Process Work With Jet?
Contractors applying for a Street Opening Permit Bond will need to provide some simple business information to Jet along with a $100 payment all done online. Jet will then send the original bond to the address provided by the contractor for filing services. It is a quick and easy process.
Does This Bond Ever Expire?
The Street Opening Permit Bond does not expire with Jet. The bond will stay active for the entire duration of the City’s permit. Unlike other surety carriers, Jet will only require a one-time payment of $100. Other surety carriers and their agents will require contractors to renew the bond if the project lasts for over a year or else they will cancel the bond on you- basically doubling their price for the bond and creating a hassle for contractors.
What Happens if I Need to Cancel My Bond?
If for some reason a contractor needs to cancel this permit bond a written request needs to be sent to Jet—an email to [email protected] will work. Jet can then request cancellation from the City of Portland which may accept or deny the request.
If Portland accepts the cancellation, there is a 30-day cancellation period in which the bond will remain active following the receipt of the cancellation notice. Typically the bond remains active for the entirety of the permit with Jet and the permitted contractor obligated to the terms and conditions of the permit. The cancellation notice should otherwise be sent to the City Engineer at the following address:
City of Portland
Portland Bureau of Transportation – Attn UCI
1120 SW 5th Ave, Suite 1331
Portland, OR 97204
If the bond must be cancelled before permitted work begins, then Jet can refund the $100 payment once the City of Portland releases Jet’s liability. Otherwise, the bond payment will not be refunded.
Are There Other Bonds That Contractors in Portland Will Need?
Yes, the City of Portland requires construction in a right-of-way location to secure other bonds and permits before such construction can begin. The Oregon Contractor License Board also requires all contractors to obtain a licensing bond. You can find the license application on the CCB website.
