Yucaipa Municipal Code Art. XXVI Security—Construction Bond

The bond shall provide but not be limited to the following conditions: there shall be recoverable by the city, jointly and severally from the principal and surety, any and all damages, loss or costs suffered by the city resulting from the failure of the franchisee to satisfactorily complete and fully construct and/or reconstruct and activate the cable system throughout the franchise area with respect to such major construction, upgrade or rebuild pursuant to the terms and conditions of the franchise agreement.

(Ord. 205 § 3, 2001)

The construction bond shall be terminated only after the city finds that the franchisee has satisfactorily completed construction or reconstruction and activation of the cable system pursuant to the terms and conditions of the franchise agreement. Termination of a franchisee’s construction bond required by the city is effective only if such termination is in writing. The principal sum of the bond may be reduced upon an application by franchisee and approval by the city prior to completion of construction or reconstruction.

(Ord. 205 § 3, 2001)

The rights reserved to the city with respect to the construction bond are in addition to all other rights of the city and no action, proceeding or exercise of a right with respect to such construction bond shall affect any other rights the city may have.

(Ord. 205 § 3, 2001)

The construction bond shall contain the following endorsement in substantially the following form: “It is hereby understood and agreed that this bond may not be canceled by the surety, nor the intention not to renew be stated by the surety, until sixty (60) days after receipt by the city from the surety, by registered mail, of written notice of the surety’s intent to cancel or not to renew. A copy of the construction bond with this endorsement shall be filed with the city.

(Ord. 205 § 3, 2001)