18225I
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ORDINANCE N®. 18,225
3 AN ORDINANCE AMENDING CHAPTER 8 OF LITTLE
4 ROCK, ARK. REV. CODE (1988) TO REQUIRE A SURETY
5 BOND AS A CONDITION OF ISSUANCE OF
6 CONSTRUCTION RELATED PERMITS; AND FOR
7 OTHER PURPOSES.
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9 WHEREAS, the building codes division of the Department of Planning and
10 Development has received numerous complaints from citizens of the City of incidents
11 where contractors hired to perform construction work have performed the work without
12 any of the required construction related permits or did not perform the work in
13 compliance with the applicable City codes; and
14 WHEREAS, the City of Little Rock building codes staff has met on numerous
15 occasions to review and discuss the problem and have determined that requiring
16 contractors to maintain a surety bond as a condition of permit issuance is the most
17 effective and appropriate method of dealing with the issue; and
18 WHEREAS, staff has developed the following set of amendments to the
19 bonding requirements which are recommended for adoption by the Little Rock Board
20 of Directors in order to clarify standards of code compliance for all installations in the
21 City, and
22 WHEREAS, such amendments are appropriate and necessary for the health,
23 safety, and welfare of our citizens.
24 NOW, THEREFORE, ER1E1F®R1E, BE IT ORDAINED BY THE BOARD OF
25 DIRECTORS OF THE E CIITY OF LITTLE ROCK, ARKANSAS:
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1 SECTION 1. Chapter 8, Article II, Building Code, Division 1 of Little Rock,
2 Ark. Rev. Code (1988) ( "LRC ") is hereby amended to add new sections to read as
3 follows:
4 Sec. 8-36. Bond required to receive permit.
5 (a) Every building, electrical, plumbing, mechanical, house
6 mover, demolition or associated contractor requiring a construction
7 related permit under this chapter, except as otherwise provided herein,
8 shall fulfill all of the applicable requirements of this chapter and provide
9 the bond required in this section.
10 (b) Prior to the issuance of any construction related permit
11 required under this chapter, the permit applicant (herein referred to as
12 "permittee ") shall have on file with the building codes division a surety
13 bond in the amount of Ten Thousand Dollars ($10,000) executed by the
14 permittee and a surety company authorized to do business and in good
15 corporate standing in the state of Arkansas, to assure the permittee's full
16 compliance with this chapter. The city or any person in a contractual
17 arrangement with the permittee who is aggrieved by failure of the
18 permittee to comply with the provisions of this chapter shall have a right
19 of action against the permittee and the surety to require such compliance
20 or pay the cost thereof. The aggregate liability of the surety for any and
21 all breaches of the conditions of the bond shall not exceed the penal sum
22 of the bond.
23 (c) The bond shall be continuous and shall remain in full force and
24 effect at all times during the permit period. The bond shall not terminate
25 during the permit period except upon thirty (30) days' prior written
26 notice to the building codes division. Should the bond be canceled
27 during the permit period and the permittee fails to provide a substitute
28 p: \ord,res \surety
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1 bond prior to the cancellation date, the permit shall be automatically
2 suspended as of the day the bond ceases to be effective and shall remain
3 suspended until a substitute bond is provided. Suspension shall be
4 automatic and shall be effective without notice or hearing as otherwise
5 provided in this chapter. (d) A bond shall not be required of a
6 permittee to perform construction work on residential property owned by
7 the permittee unless such a bond is otherwise required by Article VIII of
8 this chapter.
9 (e) A violation of this section shall be punishable as provided in
10 section 1 -9 of this code.
11 SECTION 2. Any person affected by the bond requirements of this ordinance
12 shall provide the bond and come into compliance by May 1, 2000, or within ninety (90)
13 days of the effective date hereof, whichever first occurs.
14 S)ECII71ON 3. Severability. In the event any portion of this ordinance is
15 declared or adjudged to be invalid or unconstitutional, such declaration or adjudication
16 shall not affect the remaining portions of the ordinance, which shall remain in full force
17 and effect as if the portion so declared or adjudged invalid or unconstitutional was not
18 originally a part of this ordinance.
19 SECTION 4. Repealer. All laws, ordinances and regulations and parts thereof
20 in conflict with this ordinance are hereby repealed to the extent of such inconsistency.
21 PASSED: February 15, 2000
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Attest:
23 , ,
24 Q�d -rl, hk& eO
25 Robbie Hancock
City Clerk
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28 p: \ord.res \surety
Approved:
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Jim . iley
Mayor
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1 Approved as to form:
3 Thomas M. Carpenter
4 City Attorney
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28 p: \ord res \surety