Utah DOT Statewide Utility License Agreement Bond

What it is & who requires it

Utility owners — the companies and entities whose facilities occupy Utah state highway right-of-way. A utility owner must hold a Statewide Utility License Agreement with the Department before it may place or maintain any utility or service in the right-of-way, and the bond is posted as part of executing that agreement, naming the Department and guaranteeing satisfactory performance. It is the utility owner’s bond, not the contractor’s: once the agreement is executed and the bond received, the Department’s region permit offices can issue the location-specific encroachment permits under which the actual work is done. Political subdivisions and, in limited cases, small canal companies can be excused from it.

Obligee: Utah Department of Transportation (UDOT — Statewide Utilities Manager; Right-of-Way, Permits). Citation: Utah Admin. Code R930-7-6 (Utility Accommodation — General Installation Requirements); authority Utah Code 72-7-102.

Bond amount

Set by the obligee — the exact amount is confirmed automatically when you start your bond in our portal, or call 317-942-0549.

How to get it

This bond is individually underwritten, so it is not issued instantly. Request a quote and a licensed producer follows up to walk you through it.

Request a Quote

Request a bond quote

Tell us about the bond and the project. A licensed producer follows up — these bonds are individually underwritten, so they are not issued instantly.

Term & renewal

Term: Continuous — the obligation to maintain the bond runs until the utility owner’s facilities are removed from the state highway right-of-way. The license agreement itself expires five years from execution unless renewed beforehand.

Renewal: Maintained continuously rather than renewed per project; the license agreement is renewed on its own five-year cycle.

Filing

Posted with the Utah Department of Transportation as part of executing your Statewide Utility License Agreement, and kept in force until your facilities come out of the right-of-way. The rule states a figure but then lets the Department’s Statewide Utilities Manager approve a lesser amount, and it exempts a utility owner who is a political subdivision belonging to the local-government insurance pool, or who is approved to carry liability insurance at a stated minimum instead — a route to the same result without a bond at all. Small canal companies that cannot obtain the bond may be allowed to carry liability insurance in its place. Because of those routes the bond is listed here and the exact amount is confirmed when you apply. The encroachment permit bond your contractors post is a separate obligation that sits on top of this one — the rule says so expressly. Authority: Utah Admin. Code R930-7-6.

Source

This bond requirement is corroborated by multiple public sources; Utah Department of Transportation (UDOT — Statewide Utilities Manager; Right-of-Way, Permits) sets the exact amount, which we confirm when you start your bond.

Related Utah bonds

Frequently asked questions

Who requires the Utah DOT Statewide Utility License Agreement Bond?
It’s required by Utah Department of Transportation (UDOT — Statewide Utilities Manager; Right-of-Way, Permits) (Utah Admin. Code R930-7-6 (Utility Accommodation — General Installation Requirements); authority Utah Code 72-7-102). Utility owners — the companies and entities whose facilities occupy Utah state highway right-of-way. A utility owner must hold a Statewide Utility License Agreement with the Department before it may place or maintain any utility or service in the right-of-way, and the bond is posted as part of executing that agreement, naming the Department and guaranteeing satisfactory performance. It is the utility owner’s bond, not the contractor’s: once the agreement is executed and the bond received, the Department’s region permit offices can issue the location-specific encroachment permits under which the actual work is done. Political subdivisions and, in limited cases, small canal companies can be excused from it.
How much is the Utah DOT Statewide Utility License Agreement Bond?
Set by the obligee — the exact amount is confirmed automatically when you start your bond in our portal, or call 317-942-0549.
How do I get the Utah DOT Statewide Utility License Agreement Bond?
This bond is individually underwritten, so it is not issued instantly. Request a quote and a licensed producer follows up to walk you through it.
What is the term?
Continuous — the obligation to maintain the bond runs until the utility owner’s facilities are removed from the state highway right-of-way. The license agreement itself expires five years from execution unless renewed beforehand. Renewal: Maintained continuously rather than renewed per project; the license agreement is renewed on its own five-year cycle.
Is this bond insurance for me?
No. It protects the obligee and the public — not you. If a valid claim is paid, you repay the surety.
How is this requirement verified?
This bond requirement is corroborated by multiple public sources. The obligee sets the exact amount, which we confirm automatically when you start your bond in the portal or with a producer.

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