Chapter 1501:21-7 Surety Bond

1501:21-7-01 The surety bond.

The surety bond shall be in the form prescribed by the chief under section 1521.061 of the Revised Code. Copies of the bond form may be obtained from the division. The surety bond shall be based on the detailed cost estimate for the proposed construction as filed with and approved by the chief in accordance with paragraph (D) of rule 1501:21-5-04 of the Administrative Code.

R.C. 119.032 review dates: 03/08/2010 and 03/05/2015
Promulgated Under: 119.03
Statutory Authority: 1521.06
Rule Amplifies: 1521.06 , 1521.061
Prior Effective Dates: 4-15-72; 10-15-81; 12-9-99; 1-16-05

1501:21-7-02 Release of the surety bond.

(A) The surety bond shall be released by the chief one year after the approval date (rule 1501:21-17-03 of the Administrative Code), provided that final approval is granted under rule 1501:21-17-04 of the Administrative Code.

(B) If the owner or the surety decides to abandon the project for which the construction permit was issued, the owner or the surety shall immediately notify the chief in writing of this intent, and submit suitable plans to render the dam or levee non-hazardous. If the chief determines that an abandoned dam or levee does not constitute a hazard to life, health, or property, the chief shall release the surety bond.

R.C. 119.032 review dates: 03/08/2010 and 03/05/2015
Promulgated Under: 119.03
Statutory Authority: 1521.06
Rule Amplifies: 1521.06 , 1521.061
Prior Effective Dates: 4-15-72; 10-15-81; 1-16-05

1501:21-7-03 Forfeiture of the surety bond.

(A) If the chief determines during the construction or during the period between approval of construction (rule 1501:21-17-03 of the Administrative Code) and the final inspection (rule 1501:21-17-04 of the Administrative Code) that the construction was not performed in accordance with the terms of the bond as approved, the chief shall so notify the owner and the surety in writing of these findings. The owner and the surety shall immediately correct the construction to comply with the terms of the bond. If the owner or the surety fails to immediately correct the construction to comply with the terms of the bond, the chief shall declare the bond forfeited and certify the forfeiture to the attorney general for collection in accordance with section 1521.061 of the Revised Code.

(B) The amount of forfeiture shall be set by the chief in an amount sufficient to correct the construction to comply with the terms of the bond, or in an amount sufficient to render the dam or levee non-hazardous. Any balance of the bond not forfeited shall be returned to the surety upon correction of the construction or after rendering the dam or levee non-hazardous.

R.C. 119.032 review dates: 03/08/2010 and 03/05/2015
Promulgated Under: 119.03
Statutory Authority: 1521.06
Rule Amplifies: 1521.06 , 1521.061
Prior Effective Dates: 4-15-72; 10-15-81; 1-16-05