Who Needs the Bond?

This bond may be required for various activities in Bolingbrook, including:

1. Construction Contractors: For building, remodeling, or excavation permits.

2. Business Owners: Applying for licenses to operate within Bolingbrook.

3. Specialized Trades: Electricians, plumbers, HVAC professionals, and other trade workers.

4. Event Organizers: For temporary events requiring permits to ensure compliance with village regulations.

Confirm with Bolingbrook’s licensing or permitting office to determine if your specific activity requires this bond.

Why Is the Bond Required?

The bond is required to:

1. Ensure Compliance: Guarantees that businesses and contractors follow local laws and permit conditions.

2. Protect Public Interests: Covers damages to public property, such as streets, sidewalks, or utilities, caused by the bondholder’s actions.

3. Promote Accountability: Encourages responsible and professional behavior among businesses and contractors.

How Does the Bond Work?

The Bolingbrook Village License/Permit Bond involves a three-party agreement:

• Principal: The individual or business required to obtain the bond.

• Obligee: The Village of Bolingbrook, which mandates the bond.

• Surety: The bonding company that issues the bond and guarantees payment if a valid claim is filed.

If the principal violates the terms of the bond—such as failing to complete a project or causing property damage—a claim can be filed. The surety may compensate the claimant up to the bond amount, but the principal is legally required to reimburse the surety for any amounts paid.

Steps to Obtain the Bond

Securing a Bolingbrook Village License/Permit Bond is straightforward:

1. Verify Bond Requirements: Check with the village to confirm the bond amount and specific conditions.

2. Select a Surety Provider: Choose a bonding company experienced in municipal bonds.

3. Complete the Application: Provide details about your business, financial history, and bond requirements.

4. Pay the Premium: The premium is a percentage of the bond amount, based on factors like credit score and business experience.

5. Submit the Bond: Include the bond with your application for a license or permit to finalize approval.

Cost of the Bond

The cost of a Bolingbrook Village License/Permit Bond depends on:

• Bond Amount: Determined by the village based on your license or permit type.

• Credit Score: Higher credit scores often result in lower premiums.

• Business History: Established businesses with a track record of compliance may qualify for reduced rates.

Premiums typically range from 1% to 5% of the bond amount. For instance, a $10,000 bond might cost between $100 and $500 annually.

What Happens if a Claim Is Filed?

If a claim is filed against your bond, the surety will investigate its validity. Claims may arise from:

• Failing to complete a project or permitted work.

• Violating local regulations or ordinances.

• Causing damage to public or private property.

If the claim is valid, the surety may pay the claimant up to the bond amount. However, you are legally obligated to reimburse the surety for the claim amount and any associated costs.