§ 13.20.050. Permit—Bond and insurance required.

A.

No excavation or obstruction permit shall be issued to any person until such person shall first have posted a payment and performance bond satisfactory to the director. The amount of the bond shall be equal to the estimated cost of the work, but shall not be less than forty thousand dollars.

B.

It shall be the responsibility of the permittee to furnish to the department of codes administration a permit bond in the amount of forty thousand dollars, conditioned to conform to the requirements of this chapter and all applicable laws, ordinances, rules and regulations of the metropolitan government relating to installations for which a permit is required, or for work performed by the principal for which a permit should have been obtained; and to indemnify the metropolitan government and property owners against any and all loss by reason of the failure of such contractor to comply with such laws, ordinances, rules and regulations. Such bond shall be continuous and may not be canceled without at least ten days' prior notice, in writing, to the director of codes administration. The liability of the surety shall continue to attach to work performed pursuant to any permit issued prior to the termination date of the bond even if the noncomplying act should occur after the termination date of the bond. The liability of the surety for any and all claims, suits or action under this bond shall not exceed the bond penalty of forty thousand dollars. The bond shall be issued by a U.S. Treasury-listed corporate surety or a Tennessee domestic insurance company on forms provided by the department of codes administration.

C.

It shall be the responsibility of the permittee to furnish a current certificate of public liability insurance issued by a Tennessee-licensed company which provides a minimum of one million dollars per occurrence, except municipalities and other political subdivisions of the State of Tennessee shall have furnished certificate of liability insurance in the amount equal to or greater than minimum limits of liability insurance required for governmental entities in the Tennessee Governmental Tort Liability Act. Tennessee Code Annotated Section 29-20-403. The certificate of insurance shall name the metropolitan government as an additional insured and may not be canceled without at least thirty days' prior notice, in writing, to the director.

(Ord. 97-785 § 1 (part), 1997)