West Sacramento City Encroachment Permit Bond
The City of West Sacramento requires businesses in the area to file for bonds for encroachment permits to activate their licenses. These permits are needed to protect the public and guarantee their compensation should accredited businesses cause licensing infractions when working within city-owned properties or areas. The State of California defines an encroachment as any implement or event covered in the city’s right-of-way.
What is an Encroachment Permit?
The encroachment permit is required before the conduct of any public work within or affecting the right-of-way (e.g. curb, gutter, street, and sidewalk), easement, or any development affecting these areas. These works usually include the construction of sidewalks, curbs, driveways; connection of public systems like sewers and drains; and installation of pools and backflow assemblies and cleanouts. The permit requirements must be concluded before the final approval and use of the construction.
What is the West Sacramento City Encroachment Permit Bond?
Prior any work in the public right-of-way, involved businesses must secure an encroachment permit from the engineering division of West Sacramento. Anyone who wishes to get the permit must first file for a performance surety bond equivalent to 100% of the project value to ensure that they can and will execute work following the agreement. This effectively secures the public from damages and financial losses during the course of the project.
The City is also responsible for setting the bond amount, and, any cancellation will require a release from the municipality. This is particularly important to note as the bond is charged yearly until the project has been completed and the bond has been released.
How does it work?
The West Sacramento City Encroachment Permit Bonds must be issued by a surety bond provider certified by the City’s Department of Insurance. The parties in the agreement are the Principal (permit applicant or business), Obligee (City of West Sacramento), and Surety or Bond Company (surety bond provider/insurance).
The Surety Company will guarantee the compensation (performance bond) of the Obligee should the Principal fail to deliver agreed upon services or violate any licensing provisions. The Surety Company will receive and assess the validity of all public claims where claims may only amount to the total penal sum arranged in the bond form. The Principal shall reimburse all expenses covered by the Surety Company.
The Bond Company is secured through an indemnity agreement as the permit applicant or licensed business will ensure the full reimbursement of the claims, including legal fees and premiums. This agreement shall be made before the execution of the bond.
How much does it cost?
West Sacramento City Encroachment Permit Bond totals to 0.5% of the total bond amount.
How can I apply for this bond?
At Surety Bond Authority, we are dedicated to help you get your bond the fast and easy way. Here is a step-by-step guide to help you get started.
To get your encroachment permit ready, you are going to have to secure your bond early. If you are ready to get yours processed today, you can APPLY HERE. Rest assured our expert surety bond agent will guide you from the time of your application until the issuance of your bond.
In the assessment phase, our underwriter will need the following information:
- Nature of your profession or business
- Credit score
- Financial strength
For the speedy processing of your application, ensure you have gathered and provided accurate information upon submission.
Once the assessment is done, we will promptly issue your bond and send it your way. Contact us today and get your bond issued in no time!