City of Irvine Grading Permit Bond
What is the Purpose of the Grading Permit Bond?
The City of Irvine requires contractors performing construction involving grading to obtain a Grading Permit Bond. The bond represents a financial guarantee by the contractor and the issuing surety company to the City of Irvine that all contracted work will be completed on time and the jobsite will be returned to its original condition.
How Much Does the Bond Cost?
Per Municipal Code 5.10.129, the amount on the bond shall be sufficient to cover the cost of construction of drainage and protective devices, any corrective work necessary to remove and eliminate engineering and geological hazards, including those impacting adjoining properties, and/or to correct conditions that pose a threat to adjacent public or private property or environmental resources including, but not limited to, a threat to water quality.
The bond cost for the contractor is typically between 1%-7.5% depending on the contractor’s personal credit score.
| Bond Amount | Bond Cost* |
|---|---|
| Varies | 1%-7.5% |
*Prices shown are based on several factors. Not all available pricing tiers are shown. Rates do not constitute an offer of bonding and are subject to change at any time.
How Does the Permit Application Process Work With the City of Irvine?
Contractors looking to obtain a Grading Permit must first file a written application with the Chief Building Official. The permit application must be accompanied by information required by the Chief Building office and as specified in the City’s Grading Manual.
Does CCIS File the Bond for Applicants?
City of Irvine requires wet signatures** on filed bond documents. This means both parties must physically sign the bond prior to sending it in to the City of Irvine. The original bond form issued by CCIS needs be mailed to or dropped off at the following location by the contractor once signed:
**Properly review bond forms to confirm if notarization is required. Failure to adhere to document requirements may lead to rejection of the bond form by the City of Irvine.
Does This Bond Expire?
The permit bond expires upon the specified expiration date, typically one year from the date of issuance. A new permit bond will need to be purchased should the project take longer than one year.
Claims Information
If the City of Irvine files a claim against the Grading Permit Bond, the Surety company will investigate the legitimacy of the claim and proceed accordingly. CCIS does not handle surety claims in office, however, claims contact information will be provided to the contractor, to move the claims process forward.
If the claim is found to be legitimate, the Surety company will payout to the City of Irvine, up to the limit of the bond.
Unlike insurance policies that protect contractors from unforeseen events, this bond protects the City of Irvine, its laborers, and suppliers from the actions of a contractor. Contractors are responsible for their actions and therefore must reimburse the Surety company for any claims paid. Failure to do so will significantly inhibit a contractor’s ability to obtain a surety bond for future jobs.
