Michigan Highway/Street Permit One Year Expire Bond: Everything You Need to Know

If your business involves construction, utility work, or any project that requires using or altering a public highway or street in Michigan, you may be required to obtain a Michigan Highway/Street Permit One Year Expire Bond. This surety bond ensures that any work done on public roads complies with Michigan’s laws and regulations while protecting the state and local governments from financial liabilities.

From my experience, many contractors and companies don’t realize they need this bond until they apply for a permit. I’ve helped businesses across Michigan secure their Highway/Street Permit Bonds quickly and affordably, and I’ve found that understanding the requirements ahead of time can make the process much smoother.

This guide will explain everything you need to know about the Michigan Highway/Street Permit One Year Expire Bond, including who needs it, why it’s required, how much it costs, and how to get one.

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

A Michigan Highway/Street Permit One Year Expire Bond is a surety bond required by the Michigan Department of Transportation (MDOT) or local municipal authorities when a company or individual needs to perform work that impacts public roads.

This bond serves as a financial guarantee that:

✅ The permit holder will comply with all regulations and complete the work properly.
✅ The public roads will be restored to their original condition after the project is completed.
✅ Any damages or repairs resulting from the work will be covered financially.

The "One Year Expire" term means that the bond is valid for one year from the date of issuance. If the project extends beyond a year, a new bond may be required.

Who Needs This Bond?

You need a Michigan Highway/Street Permit One Year Expire Bond if you are:

✅ A contractor performing work that affects public roads, highways, or streets.
✅ A utility company installing or repairing water, gas, electric, or telecommunication lines.
✅ A developer building driveways, sidewalks, or making alterations to public roadways.
✅ A business or individual requesting temporary street closures, encroachments, or access changes.

If your project involves digging, excavation, or any structural changes to a public road, there’s a high chance you’ll need this bond to obtain a Highway/Street Permit.

Why Is This Bond Required?

The Michigan Highway/Street Permit Bond is required to protect public infrastructure and ensure that work on public roads meets safety and quality standards.

Key Reasons for This Requirement:

📌 Ensures Compliance – Contractors must follow MDOT or municipal guidelines for street and highway work.
📌 Protects Public Funds – If the work is done improperly, the bond ensures the government isn’t financially responsible for fixing damages.
📌 Guarantees Road Restoration – Roads, sidewalks, and other public structures must be restored after the work is completed.
📌 Prevents Project Abandonment – The bond ensures that projects aren’t left incomplete, creating hazards for the public.

From my experience, failing to obtain this bond can delay your permit approval and even lead to penalties if work is performed without the necessary permits.

How Much Does a Michigan Highway/Street Permit Bond Cost?

The cost of your Michigan Highway/Street Permit One Year Expire Bond depends on several factors:

1️⃣ Bond Amount

The bond amount is determined by the issuing authority (MDOT or local municipality) based on the scope and potential impact of your project. Some typical bond amounts include:

• $10,000 - $25,000 for small projects (driveways, minor utility work).

• $50,000 - $100,000+ for large-scale road construction or infrastructure work.

2️⃣ Bond Premium (Cost to You)

The cost you pay for the bond (the premium) is typically a small percentage of the total bond amount, usually ranging from 1% to 5% depending on:

✔️ The size and risk level of the project.
✔️ Your credit score and financial history.
✔️ The surety provider’s underwriting guidelines.

For example:

• A $25,000 bond may cost $250 - $1,250 per year.

• A $100,000 bond may cost $1,000 - $5,000 per year.

I’ve worked with many contractors and utility companies, and I’ve found that applying early and working with the right surety provider can help secure lower rates.

How to Get a Michigan Highway/Street Permit One Year Expire Bond

Securing your bond is a simple process. Here’s how to do it:

Step 1: Confirm Your Bond Requirement

✔️ Contact MDOT or your local city/county office to determine the required bond amount.

Step 2: Apply for the Bond

✔️ Submit an application with details about your business, project scope, and financial history.

Step 3: Get a Quote

✔️ Based on your application, you’ll receive a bond premium quote (cost of the bond).

Step 4: Pay for the Bond

✔️ Once approved, make the payment to secure your bond.

Step 5: Receive and Submit Your Bond

✔️ You’ll receive your bond certificate, which you must submit with your Highway/Street Permit application.

From my experience, getting a bond in advance prevents project delays and ensures permit approval moves forward smoothly.

What Happens If You Don’t Get This Bond?

If you fail to obtain the required Highway/Street Permit Bond, you may face:

❌ Permit Denial – Your project won’t receive approval, delaying work.
❌ Fines & Legal Action – Working without a required bond can result in fines or legal consequences.
❌ Project Delays – Without a bond, your permit application may be rejected or require additional review.
❌ Liability for Damages – If your project damages public infrastructure, you could be personally responsible for repair costs.

I’ve seen companies face costly penalties for not securing the right bond, so it’s best to handle this requirement upfront.

How Long Does It Take to Get a Michigan Highway/Street Permit Bond?

The process is usually fast, with most bonds issued within 24-48 hours.

To speed up the process:
✅ Have your business details and bond amount ready.
✅ Work with a trusted surety provider to get the best rate.
✅ Apply early to avoid delays in your permit approval.

Get Your Michigan Highway/Street Permit Bond Today

If your project requires a Michigan Highway/Street Permit One Year Expire Bond, I can help you get bonded quickly and affordably.

💡 Need help? Contact me today for a free quote and expert assistance in securing your bond! Let’s make sure your project stays on track and compliant with Michigan regulations.