What Is a Massachusetts Highway/Street Permit One-Year Expire Bond?

A Massachusetts Highway/Street Permit One-Year Expire Bond is a surety bond required by the Massachusetts Department of Transportation (MassDOT) or local municipalities. It serves as a financial guarantee that contractors will:

• Follow all regulations for road work, street excavation, or utility installations

• Restore streets, sidewalks, and infrastructure to their original condition after work is completed

• Cover any damage to public property, utilities, or roadways caused by the project

Since this bond has a one-year expiration, it must be renewed annually to remain in compliance with state and local permit requirements.

Who Needs This Bond?

You may need a Massachusetts Highway/Street Permit One-Year Expire Bond if you:

• Perform construction, excavation, or roadwork on state or municipal roads

• Install or repair underground utilities, such as water, sewer, gas, or electrical lines

• Require a permit from MassDOT or a local municipality to access public streets or highways

• Are a contractor, developer, or engineering firm working on roadway projects

Many cities and towns require this bond before issuing a street or highway work permit, ensuring that contractors take financial responsibility for potential damage.

How Does This Bond Work?

A Massachusetts Highway/Street Permit One-Year Expire Bond involves three key parties:

• Principal – The contractor or construction company obtaining the bond

• Obligee – The state or local agency (MassDOT or municipality) requiring the bond

• Surety – The bonding company that issues the bond and provides financial backing

How Claims Work:

If a contractor fails to restore roadways, damages public infrastructure, or violates permit conditions, a claim can be filed against the bond.

• The surety investigates the claim

• If valid, the surety compensates the government or affected parties up to the bond amount

• The contractor must then repay the surety for any claims paid

This bond ensures that public roads and infrastructure are protected, holding contractors accountable for proper cleanup and restoration.

Why Is This Bond Required?

From my experience, this bond is critical for protecting public infrastructure and ensuring roadwork is completed safely and responsibly. Key benefits include:

• Regulatory Compliance – Ensures contractors follow MassDOT and municipal permit conditions

• Financial Protection – Covers repair costs if a contractor damages roads, sidewalks, or utilities

• Public Safety – Guarantees that roadwork is done properly to prevent hazards

• Ensures Restoration – Prevents cities and towns from incurring extra costs to fix incomplete or substandard work

Without this bond, contractors may not be able to secure permits for road or street work, delaying their projects.

How to Obtain a Massachusetts Highway/Street Permit One-Year Expire Bond

Getting this bond is a simple and fast process:

• Confirm Bond Amount – Bond amounts vary based on permit requirements

• Apply for the Bond – Submit an application through a surety bond provider

• Underwriting Review – The surety evaluates your business history, financial stability, and creditworthiness

• Pay the Premium – If approved, you’ll pay a small percentage of the bond amount (typically 1-5% of the total bond value)

• Receive & Submit Your Bond – Your bond is issued and filed with MassDOT or the local permitting authority

Since this bond expires after one year, contractors must renew it annually to stay in compliance.