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 Hawaii
The Hawaii Department of Transportation Highways Division may require a bond before issuing a permit to work on a state highway. The bond covers backfilling, restoring or repairing the highway for one year after work is finished.
- A cash bond, surety company bond or personal surety bond may be accepted.
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.