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 Texas
Texas cities and counties set bond rules for work in public rights of way. For example, the City of Houston requires a bond for a Commercial Driveway, Sidewalk, or Curb and Gutter Permit.
- TxDOT utility accommodation rules (43 Tex. Admin. Code Chapter 21, Subchapter C) govern work in state highway right of way. A bond requirement was not confirmed.
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.