R930-7-6. General Installation Requirements

  (1) General.

  (a) Utility companies desiring to use the right of way under the jurisdiction of UDOT for the installation or maintenance of any utility facility must be licensed to do so by entering into a Statewide Utility License Agreement (SULA) with UDOT. This License Agreement sets forth the procedures and conditions for the issuance of encroachment permits for all installations statewide. Utility encroachment permits are not issued without an executed SULA. UDOT may impose additional restrictions or requirements for SULAs or utility encroachment permits.

  (b) Utility companies desiring to use the right of way to install Small Wireless Facilities shall also enter into a Non-Exclusive Installation and Occupancy Agreement with UDOT prior to the issuance of a permit.

  (c) A permitted facility shall, if necessary, be modified by the utility company to improve safety or facilitate alteration or maintenance of the right of way as determined by UDOT.

  (2) License Agreements or Statewide Utility License Agreements.

  (a) Agreements are executed by UDOT and utility companies to set forth the terms and conditions for the accommodation and maintenance of utility facilities within the right of way. A License Agreement is required for but does not guarantee the approval of encroachment permits.

  (b) Facilities that are not defined as a utility under Utah Code Section 54-3-29(1)(g) or facilities that only serve a business or individual are required to enter into a license agreement with UDOT for crossings only and may not be installed longitudinally or attached to bridges. The business or individual with these types of facilities are still required to comply with the requirements of this Rule.

  (c) As part of executing a License Agreement with UDOT, owners of facilities located in the right of way are required to post a continuous bond in the amount of $100,000.00, naming UDOT as the insured, to guarantee satisfactory performance. The Statewide Railroad and Utilities Director may approve a lesser amount.

  (d) Political Subdivisions are exempt from the bond requirements described in this section if the political subdivision:

  (i) is a member of the Utah Local Governments Trust;

  (ii) is self-insured or carries liability insurance with minimum coverage of $1,000,000 per occurrence and as more specifically described in its License Agreement. This option requires prior UDOT approval.

  (e) For small canal companies that cannot obtain the required bond, UDOT may allow the canal to carry liability insurance with minimum coverage of $1,000,000 per occurrence and as more specifically described in its License Agreement. This option requires prior UDOT approval.

  (f) Upon discovery of utility caused damage to the highway or to the right of way, UDOT may opt to exercise its bonding rights in recovering costs incurred to restore the highway or right of way. The utility company is liable for all restoration costs incurred because of damages caused by its utility, and its liability is not limited to the amount of the bond.

  (g) License agreements may be terminated at any time by either party upon 30 days advance written notice to the other. Permits previously issued and approved under a terminated agreement are not affected and remain in effect on the same terms and conditions set forth in the agreement and permits. The obligation to maintain the $100,000 bond continues until the utility company's facilities are removed from UDOT's right of way.

  (3) Emergency Work.

  (a) In all emergency work situations, the utility company or its representative shall contact UDOT immediately and on the first business day shall contact UDOT to complete a formal permit. Failure to contact UDOT for an emergency work situation and obtain an encroachment permit within the stated time is a violation of the terms and conditions of the utility company's license agreement. At the discretion of the utility company, emergency work may be performed by a bonded contractor, public agency, or a utility company. None of the provisions of this rule are waived for emergency work except for the requirement of a prior permit.

  (4) One Call Requirements.

  (a) Underground facilities are not permitted within the right of way unless the utility company subscribes to Blue Stakes of Utah and other appropriate "call-before-you-dig" systems, or otherwise provides utility plans as detailed in Section R930-7-11(6)(a) of this rule.

  (5) Preservation of New Pavement.

  (a) Cuts or open excavations on newly constructed, paved, or overlaid highways are not allowed for two years. If an emergency cut or excavation occurs, the responsible utility company shall comply with any special conditions imposed by UDOT regarding restoration of the roadway.

  (6) Encroachment Permits.

  (a) Encroachment Permits on State Highways.

  Utility companies shall obtain an encroachment permit from UDOT for the installation and maintenance of utility facilities on the right of way pursuant to Utah Administrative Code Rule r930-6-4. Encroachment permits are approved or disapproved by UDOT. Applications for encroachment permits are submitted to the Region Permits Officers by the utility company or its contractor. No utility company or utility company contractor shall begin any utility work on the right of way until an approved encroachment permit is issued by UDOT and the utility company is authorized to proceed in writing. Prior to the issuance of encroachment permits, fees are assessed to cover related costs incurred by UDOT including costs for planning, coordination, and utility plan review.

  If the utility company expects work to significantly impact travel lane capacity, UDOT recommends the utility company contact the appropriate Region Permit Office to discuss concepts in advance of submitting an encroachment permit application.

  Utility companies shall electronically submit a detailed plan of work depicting the proposed installation. The plans shall be sized as required by UDOT and include utility company identification, work location, utility type and size, type of construction, depth of bury, vertical and horizontal location of facilities relative to the centerline of road, location of all appurtenances, trench details, right of way limits, and traffic control plans. Traffic control plans shall conform to the Utah MUTCD as outlined in rule R930-7-7(1)(d), are mandatory for each instance of utility construction or maintenance and shall be attached to each permit application.

  Utility companies may authorize their contractors to obtain permits on their behalf. All terms and conditions set forth in the License Agreement apply. The utility company's construction forces or the utility contractor shall always carry a copy of the approved permit while working on the right of way.

  (b) Bonding and Liability Insurance Requirements.

  (i) Individual (one-time use) Encroachment Permit Bonding Requirements. As authorized by Sub-section 72-7-102(3)(b)(i) this rule requires encroachment permit applicants to post a Performance and Warranty Bond, using UDOT's approved bond form, for a period of three years from the date of beginning of utility construction work or two years from the end of utility construction work, whichever provides the longer period of coverage. A separate Performance and Warranty Bond is required for each individual encroachment permit. Political subdivisions of the state are not required to post a bond unless the political subdivision fails to meet the terms and conditions of previous permits issued as determined by UDOT. The amount of the bond is determined by the UDOT Region Permits Officer based on the scope of work being performed but will not be less than $10,000.

  (ii) Statewide (multiple use) Encroachment Permit Bonding Option. In lieu of posting multiple individual one-time use bonds, encroachment permit applicants who routinely acquire encroachment permits may elect to post a statewide performance and warranty bond, using UDOT's approved bond form. A statewide bond satisfies bonding requirements for permitted utility construction work in all UDOT Regions. The bond amount is determined by UDOT but will not be less than $100,000. This statewide encroachment permit bond is in addition to the continuous bond for the License Agreement.

  (iii) Inspection Bond. UDOT may require an additional inspection bond to ensure payment for UDOT field review and inspection costs before an encroachment permit is granted.

  (iv) Proceeds Against the Bond. UDOT may proceed against the bond to recover all expenses incurred if payment is not received from the permit applicant within 45 calendar days of receiving an invoice. Upon discovery of utility caused damage to the highway or to the right of way, UDOT may opt to exercise its bonding rights in recovering costs incurred to restore the highway or right of way due to utility caused damages. Failure by the utility company to maintain a valid bond in the amounts required shall be cause for denying issuance of future permits and for the removal of the utility from the right of way.

  (v) Liability Insurance Requirements. Permit applicants are also required to provide a certificate of liability insurance in the minimum amounts of $1,000,000 per occurrence and $3,000,000 in aggregate. Failure to meet this requirement will result in application denial. Liability insurance coverage is required throughout the life of the permit and cancellation will result in permit revocation.

  (vi) Information about bond forms and liability insurance requirements are available on UDOT's website at: http://www.udot.utah.gov/go/encroachmentpermit

  (c) Assignment of Permits. Permits shall not be assigned without the prior written consent of UDOT. All assignees shall be required to execute a License Agreement.

  (d) Indemnification. Permit holders performing utility work on the right of way shall always indemnify, defend and hold harmless UDOT, its employees, and the State of Utah from responsibility for any damage or liability arising from their construction, maintenance, repair, or any other related operation during the work or as a result of the work. Permit holders shall also be responsible for the completion, restoration, and maintenance of any excavation for a period of three years unless UDOT requires a longer period of indemnification due to specific or unique circumstances.

  (e) Cancellation of Permits and Termination of License Agreement. The following situations will cause the cancellation of permits, termination of the License Agreement, or both:

  (i) A utility company's failure to maintain a valid bond in the amount required;

  (ii) A utility company's failure to comply with the terms and conditions of the License Agreement;

  (iii) A utility company's failure to comply with the requirements of the encroachment permit; and

  (iv) A utility company's failure to pay any sum of money for costs incurred by UDOT in association with plan review application, installation or construction review, permit fees, inspection, as-built plan submittals, reconstruction, repair, or maintenance of the utility facilities, or any other costs associated with the Department's approved fee schedule.

  When the permit is canceled, UDOT also may remove the facilities and restore the highway and right of way at the sole expense of the utility company. Prior to any cancellation, UDOT shall notify the utility company in writing, setting forth the violations, and will provide the utility company a reasonable time to correct the violations to the satisfaction of UDOT. UDOT may also not issue any further permits to utility companies that do not comply with this rule, permit requirements, or the SULA.