§ 13.56.140. Financial Security.

A.

Unless otherwise specified below or in a Franchise or License agreement between the Permittee or Owner and the County, the Engineer may require an applicant, in accordance with the provisions of this section, to provide financial security to ensure that Work within County rights-of-way is satisfactorily performed and completed in accordance with the requirements of this Chapter, including any accepted plans, Specifications and other conditions or requirements related to Permit approval, and all applicable federal, state and Local Laws, regulations and policies.

B.

Any required financial security shall be in effect prior to starting any Work in the rights-of-way, and shall remain in effect until released by the County.

C.

Financial security shall be required for the following activities.

1.

Frontage improvements requiring Road widening or re-surfacing.

2.

Longitudinal utility Work associated with a development proposal.

3.

Any Work where the Engineer determines a financial security is necessary for the protection of the rights-of-way.

D.

The following entities shall be exempt from providing financial security.

1.

In accordance with RCW 36.32.590, state agencies and units of local government, including school districts.

2.

The United States government or any of its agencies.

3.

Private utilities not exempted under RCW 36.32.590 holding a Franchise or License with the County and having a current Franchise or License financial security in place.

E.

Forms of financial security that are acceptable upon approval by the County:

1.

Cash, deposited with the Thurston County Treasurer.

2.

Irrevocable assignment of funds or account.

3.

Irrevocable letter of credit from a financial institution.

4.

A surety bond executed by a surety company authorized to transact business in the State of Washington.

F.

The amount of the required financial security shall be one hundred twenty-five percent of the total estimated cost including contingencies, as determined by the Engineer, to satisfactorily perform and complete Work within the rights-of-way in accordance with the requirements of this Chapter, including any accepted plans, Specifications and other conditions or requirements related to Permit approval, and all applicable federal, state and Local Laws, regulations and policies.

G.

If at any time the financial security amount drops below fifty percent of the original amount as a result of the County requiring use of the funds, the Permittee or Owner shall immediately restore the financial security amount to the original required amount.

H.

Financial security required under this Chapter shall provide for:

1.

Forfeiture to the County and the right for the County to withdraw funds upon failure of the Permittee or Owner to satisfactorily perform and complete Work within the rights-of-way in accordance with the requirements of this Chapter, including any accepted plans, Specifications and other conditions or requirements related to Permit approval, and all applicable federal, state and Local Laws, regulations and policies or to immediately address any deficiencies deemed a public safety hazard.

2.

The County's interest in any financial security required pursuant to this Chapter shall be assignable, without obtaining a re-issuance of the financial security, to an annexing municipality in the event the real property covered by the financial security is annexed prior to either completion of the work secured by a financial security or final acceptance and release of the financial security for that work covered by the financial security.

I.

A blanket financial security may be maintained covering multiple permits in lieu of individual financial security at the Engineer's discretion.

J.

If the County is required to perform any Work as authorized under this Chapter, the Permittee or Owner shall be responsible for all costs incurred by the County in performing the Work covered by the financial security. The Permittee or Owner shall reimburse the County for reasonable costs incurred by the County exceeding the amount of the financial security.

K.

When the County uses the proceeds of a financial security, the County shall provide the Permittee or Owner with an itemized statement of expenditures.

L.

The provision of financial security under this Chapter shall not relieve the Permittee or Owner of responsibility or liability for any defective Work following the effective term of the financial security.

(Ord. No. 15033, § 1(Att. A), 6-24-2014)