§ 34-233. Insurance and bond.

(a)

Under this article, a permittee or registrant must furnish, prior to any construction, repair, adjustment, relocation or replacement, a bond in a form and with corporate surety satisfactory to the city or other form of security satisfactory to the city in a reasonable amount as determined by the city council upon the recommendation of the city engineer. Such bond or other form of security satisfactory to the city shall inure to the benefit of the city for any loss, damage or injury that may result from the permittee's or registrant's operations or his construction, reconstruction, alteration, repair, extension or laying of the pipeline under his permit during the period until completion of installation of the line is completed and properly acknowledged in writing by the director.

(b)

The permittee or registrant shall further maintain at all times during the life of the permit or during which a pipeline's registration is effective commercial general liability insurance for bodily injury and property damage, including explosion, collapse and underground hazard, coverage in the minimum combined single limit amount of $1,000,000.00 as it pertains to all pipelines or other facilities owned by the permittee in a public way in the jurisdiction. Such policy shall name the city, its officers, agents and employees as additional insureds.

(c)

A certificate of insurance specifying the coverage required in subsection (b) of this section with an insurance company having an acceptable insurance rating shall be furnished to the city clerk prior to the issuance of any permit. Such certificate of insurance shall provide that at least 30 days' prior written notice for the termination or modification of the required insurance shall be given to the city.

(d)

Any bond or other security provided pursuant to this section may be terminated upon completion of the installation of the pipeline to which it relates upon the written certification of completion by the director, provided that the owner or operator shall maintain liability insurance as required in this section. The termination of the bond shall not affect any claim, damage, injury or cause of action arising thereon prior to the date of termination.

(Code 1967, § 11¼-27; Ord. No. 7839, § 1, 11-12-96; Ord. No. 11,945, § 1, 5-24-12)