Who needs the New York City Street Obstruction bond?
The New York City Department of Transportation requires an obstruction surety bond for construction projects that involve obstructing or closing streets, alleys, or sidewalks in the city of New York.
Specifically, you must get an obstruction surety bond if your project requires you to perform any of the following actions:
- Driving across curbs and sidewalks with vehicles or equipment
- Hanging banners and erecting banner poles or any type of temporary construction
- Excavating plots or opening areaways and sidewalks
- Taking up the sidewalks or curbs to do so
- Erecting and maintaining signage
- Erecting sheds on sidewalks and on roadways
- Bridging the sidewalks where the same are crossed by vehicles or equipment
The purpose of the bond is to ensure that contractors are still able to work in these public areas while maintaining safety for any bystanders.
When building or construction projects involve the obstruction of streets, the construction company or contractor has to send an application to city officials that details the amount of space the project will take.
Along with this information, the construction company contractor must also show proof of a street obstruction bond to obtain the building permit that enables them to obstruct the street over the duration of the project.
How does a New York City obstruction bond work?
The NYC street obstruction bond protects against damages resulting from construction projects violating the rules and regulations of their street obstruction permit. When the company receives permission to obstruct a street or sidewalk, they will automatically assume liability for the work to be performed under the permit.
This means they are liable for the following:
- Failure to perform the obligations with respect to street maintenance
- Failure to maintain warning devices
- Unauthorized use and occupancy of any sidewalk or walkway
When the surety company issues the bond, they provide the city a guarantee that they can seek financial compensation for the costs resulting from the permit holder failing to perform their work as agreed upon. If the surety pays out any claims, the construction company is responsible for reimbursing the total amount.
How much does an NYC obstruction bond cost?
The required bond amount for an NYC obstruction bond depends on the number of locations that you need to cover.
- One location: $10,000 bond
- Two to 50 locations: $50,000 bond
- 51 to 100 locations: $100,000 bond
- Over 100 locations: $250,000 bond
You are only required to pay a small percentage of the total bond value as a premium. EZ Surety Bonds can issue premiums starting at $100 for a one location New York City Obstruction bond.
Obligee Information
The obligee is the entity that requires you to get a New York Street Obstruction bond.
State of New York
New York City Department of Transportation
55 Water Street, 9th Floor
New York, NY 10041
Get bonded with EZ Surety Bonds
Getting your New York Street Obstruction Bond with EZ Surety Bonds is quick and simple. We offer a fast application process and you can have your bond issued online instantly. The bond starts at $100 plus shipping costs and fees. Fill out the form to get your bond today.
