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San Bernardino, CA – Temporary Use Permit Bond
In order to use certain public and private locations and activate their licenses, the County of San Bernardino mandates that local companies and groups submit an application for a Temporary Use Permit. This is important to guarantee that the public will be compensated adequately in the event that applicants included in the process commit any license breaches, such as damage to public property, while using the space in question.
Before using public or private places, the interested groups or enterprises must first get their temporary use permission, which would generally include posting a bond. This must be done before the event can begin. During their short-term use of the properties, firms or permittees are required to post the San Bernardino, CA – Temporary Use Permit Bond as an assurance that they will uphold and abide by the regulations and standards established by the county.
In general, the prerequisites for the application consist of site designs, a notarized permission from the property owner, a list of all the different kinds of services and merchants, flame-resistant certifications, and evidence of insurance that names the County of San Bernardino as a beneficiary. Obtaining a Business Registration Certificate from the county is mandatory for any and all commercial enterprises.
Purpose
The San Bernardino, CA – Temporary Use Permit Bond is something that contractors who are going to be doing temporary work on county land are required to get from the County of San Bernardino. The contractor and the issuing surety business are providing the County of San Bernardino with a financial guarantee in the form of the bond. This guarantee states that all of the contractual work will be finished on time and that the worksite will be restored to its original condition.
Claims
In the event that the County of San Bernardino submits a claim against the Temporary Use Permit Bond, the surety firm will evaluate the validity of the claim and act in accordance with the results of their findings. Claims against surety companies are not processed at the CCIS office. Nevertheless, the contractor will be given information on how to contact claims administrators in order to move the claims process forward.
In the event that it is determined that the claim was founded on valid grounds, the surety business will pay out the full amount of the bond to the County of San Bernardino.
In essence, this bond protects the County of San Bernardino, its workers, and its suppliers against the activities of a contractor, in contrast to insurance plans that shield contractors from unanticipated occurrences. Contractors are personally liable for their acts, and as a result, they are obligated to compensate the surety firm for any claims that are settled on their behalf. If a contractor does not follow these steps, it will be far more difficult for that contractor to get a surety bond for any future work.
Bond Amount
The premium for the San Bernardino, CA – Temporary Use Permit Bond typically ranges from 1.5% to 7.5% of the entire bond amount. This range is determined by the applicant’s credit score, licensing history, and years of experience in the relevant industry.
According to the San Bernardino County TUP Information Sheet, the minimum bond charge is going to be $5,000 and will be followed by a bond processing fee of $368. Both of these fees are going to be paid together. Again, the cost of the bond for the contractor ranges from 1% to 7.5% of the total project cost on average, depending on the contractor’s personal credit score.
How It Works
The surety bond that is required for the County of San Bernardino Temporary Use Permit must be purchased from a company that is recognized as legitimate by the California Department of Insurance. The principal, which is the applicant or company, the obligee, which is the County of San Bernardino, and the surety/bond company, which is the provider of the surety bond or insurance, are the parties to the agreement.
In the event that the principal fails to provide the agreed-upon services or violates any license requirements, the surety company will stand behind the payments that the obligee is entitled to receive. The surety company is responsible for receiving all public claims and determining whether or not such claims have merit. Claims may only be worth up to the complete amount of the penalty that was stipulated in the bond form. The principal is responsible for reimbursing the surety company for any and all costs incurred.