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 Kentucky
The Kentucky Transportation Cabinet requires an encroachment permit bond for work in state highway right-of-way. The permittee gives a performance bond under the Department of Highways Permits Manual, and a payment bond may be required at the department's discretion.
- The bond amount is set under the Permits Manual and was not confirmed here.
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.