Who Needs the Bond?

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

1. Contractors and Builders: To obtain permits for construction, remodeling, or excavation projects.

2. Business Owners: Applying for licenses to operate within the village.

3. Specialized Trades: Electricians, plumbers, and HVAC professionals often need this bond to work legally.

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

Confirm with Broadview’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 adherence to local laws, ordinances, and permit conditions.

2. Protect Public Property: Covers damages to streets, sidewalks, utilities, or other public assets caused during permitted activities.

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

How Does the Bond Work?

The Broadview Village License/Permit Bond is a three-party agreement involving:

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

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

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

If the principal fails to fulfill their obligations—such as by violating ordinances or causing property damage—a claim can be filed against the bond. The surety may compensate the claimant, but the principal is legally required to reimburse the surety for any amounts paid.

Steps to Obtain the Bond

Securing a Broadview Village License/Permit Bond involves these steps:

1. Verify Requirements: Confirm the bond amount and specific conditions with the village office.

2. Choose a Surety Provider: Work with a reputable bonding company experienced in municipal bonds.

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

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

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

Cost of the Bond

The cost of a Broadview 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 compliance history 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 permitted work or a project.

• Violating local ordinances or permit conditions.

• Damaging 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 any amounts paid, including related costs.