How the Street Obstruction Bond Protects the Public and Contractors

The Street Obstruction Bond functions as a financial guarantee for Spokane County, ensuring that contractors will meet their obligations. Here’s what it does:

• Guarantees the restoration of roads: If your work on public streets causes any damage, the bond guarantees that you will cover the cost of repairs. If you don’t complete the work or meet county standards, the bond covers the expenses to fix the damage.
• Ensures safety compliance: The bond ensures that you follow safety protocols while your project obstructs streets, including placing signs, creating detours, and managing closures. It protects pedestrians, drivers, and public infrastructure from accidents or disruptions.
• Covers damages to public infrastructure: Public streets and utilities, such as water lines or sewer systems, may be affected by your work. The bond ensures that if any public property is damaged, the repairs are paid for without leaving the county with the bill.

By requiring this bond, Spokane County ensures that public roads and infrastructure are protected during construction or utility projects, while giving contractors the responsibility to complete their work according to local regulations.

When to Secure a Street Obstruction Bond in Spokane County

If your project involves obstructing or partially closing public roads in Spokane County, you will need to secure a Street Obstruction Bond. This requirement applies to various types of construction, utility, and excavation work, including:

• Installing or repairing utilities (gas, water, sewer, electric lines)
• Excavating for new building foundations or trenching that impacts public roads or sidewalks
• Road construction or repaving projects
• Sidewalk repairs, curb installations, or pedestrian walkway improvements
• Telecommunications installations that involve digging or blocking public streets

Before starting any project that obstructs public roads, you must have the bond in place to ensure that your work complies with Spokane County regulations and avoids delays or legal consequences.

Steps to Secure a Street Obstruction Bond

Obtaining a Street Obstruction Bond is a critical step in starting your project in Spokane County. The process is straightforward, but you must follow the proper steps to ensure your bond is in place before work begins. Here’s how to secure your bond:

1. Determine the bond amount: Spokane County will establish the bond amount based on your project’s scope and the potential damage it could cause to public property. The bond should be large enough to cover the full cost of restoring damaged roads, sidewalks, or infrastructure.
2. Prepare your financial documents: The surety company issuing the bond will evaluate your business’s financial standing to assess the risk. You will need to provide details such as financial statements, credit history, and specifics about the project.
3. Submit your bond application: Reach out to a surety bond provider like Axcess Surety and apply for the bond. The surety will review your application, determine the bond premium, and approve the bond. Premiums typically range from 1% to 5% of the bond amount.
4. File the bond with Spokane County: Once issued, you will need to file the bond with the county to obtain your project permits. Without the bond, you cannot legally start work that obstructs public streets.

The bond premium, or cost of the bond, is generally a small percentage of the bond amount. For example, if the bond amount is $25,000, your annual premium might be between $250 and $1,250, depending on your credit score and financial history.

How the Bond Protects Your Business

Securing a Street Obstruction Bond does more than meet legal requirements—it also offers important protections for your business. Here’s how the bond can safeguard your operations and reputation:

• Prevents project delays: Having the bond in place allows you to obtain necessary permits and begin work on time. By meeting Spokane County’s requirements, you avoid delays in the approval process and prevent interruptions to your project timeline.
• Shields you from financial risk: If your project damages public roads or infrastructure, the bond covers the cost of repairs. Without the bond, your business would have to pay for any unexpected damages out of pocket, which could significantly increase project costs.
• Demonstrates reliability and compliance: Having a bond shows that your business is financially responsible and meets all local regulations. This builds trust with clients, city officials, and the public, which can lead to future opportunities and a stronger reputation in the industry.

The bond not only ensures that your project proceeds smoothly but also protects your business from financial liabilities and enhances your credibility with stakeholders.

What Happens If You Don’t Secure a Street Obstruction Bond?

Failing to secure a Street Obstruction Bond can lead to severe consequences for your business and your project. Here are some risks you face if you start work without the bond:

• Permit delays or denials: Spokane County will not issue permits for roadwork or obstruction projects without the bond. This means your project could be delayed or completely halted, causing setbacks and financial strain.
• Fines and penalties: Working without the required bond could result in fines from the county, adding unnecessary costs to your project and damaging your relationship with local authorities.
• Liability for damages: If your project causes damage to public roads, sidewalks, or utilities and you don’t have the bond, you could be held personally liable for repair costs. This could lead to significant financial losses for your business, impacting its stability and future operations.

Securing the bond ensures that your project remains compliant with county regulations and protects your business from costly penalties or damages.

Common Questions About Street Obstruction Bonds in Spokane County

How much does a Street Obstruction Bond cost?

The cost of the bond, or bond premium, is usually between 1% and 5% of the bond amount. For example, if the bond amount is $25,000, you can expect to pay between $250 and $1,250 annually, depending on your financial situation and project scope.

How long does it take to get a Street Obstruction Bond?

Once you submit your bond application and financial documents, most surety companies can issue the bond within 24 to 48 hours. However, more complex financial reviews may take longer, so applying early can help prevent delays in your project.

What happens if a claim is filed against my bond?

If Spokane County files a claim due to damage or incomplete work, the surety company will investigate the claim. If it is valid, the surety will pay for the repairs or damages up to the bond amount. You are then responsible for reimbursing the surety for any claims paid on your behalf.

Get Your Spokane County Street Obstruction Bond Today

Securing a Street Obstruction Bond is crucial for ensuring your project complies with Spokane County regulations and protecting your business from financial risks. The bond guarantees that any damage to public roads will be repaired, allowing your project to move forward without legal or financial obstacles.

At Axcess Surety, we streamline the bonding process and help you get the bond you need quickly. Contact us today to start your application and ensure your project meets Spokane County’s requirements for street obstruction work.