What a right-of-way bond is
Work in a public street, sidewalk or highway usually needs an encroachment or right-of-way permit, and many agencies require a bond with it. The bond guarantees you'll follow the permit conditions and restore the right of way when you're done.
In Alaska
The Alaska Department of Transportation and Public Facilities may require a bond for utility permits in its right-of-way, under 17 AAC 15.051. The department sets the amount and duration.
- The department may also require the permittee's contractor to furnish an indemnification bond.
You need this bond if you're
- Utility, fiber and telecom contractors
- Contractors cutting curbs or building driveways
- Sewer and water lateral contractors
- Anyone placing equipment or materials in a public street
What the surety looks at
Basic business details and credit. Large or long-term permits can need more.