Indemnification, insurance, and bonding

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  1. (a) An authority may adopt reasonable indemnification, insurance, and bonding requirements related to the deployment of small wireless facilities and associated poles under this subchapter.

  2. (b)

    1. (1) An authority may require a wireless provider to defend, indemnify, and hold harmless the authority and its officers, agents, and employees against any claims, demands, damages, lawsuits, judgments, costs, liens, losses, expenses, and attorney's fees resulting from the installation, construction, repair, replacement, operation, or maintenance of poles, small wireless facilities, or attachments to authority poles to the extent directly caused by the negligence of the wireless provider, its contractors, subcontractors and their officers, employees, or agents.

    2. (2) A wireless provider has no obligation to defend, indemnify, or hold harmless an authority or its officers, agents, or employees against any liabilities or losses due to or caused by the sole negligence of the authority or its employees or agents.

  3. (c)

    1. (1) An authority may require a wireless provider to have in effect insurance coverage against the claims, demands, damages, lawsuits, judgments, costs, liens, losses, expenses, and attorney's fees described in subsection (b) of this section, so long as the authority imposes similar requirements on other right-of-way users and the requirements are reasonable and nondiscriminatory, and provided that an authority does not require a wireless provider to obtain insurance naming the authority or its officers and employees as additional insureds.

    2. (2)

      1. (A) A wireless provider with net assets of at least five hundred million dollars ($500,000,000), including the assets of its affiliates, may self-insure as to any required coverage.

      2. (B) An authority may require reasonable proof that the wireless provider is eligible under subdivision (c)(2)(A) of this section to self-insure.

      3. (C) A wireless provider shall immediately notify each authority in which the wireless provider has obtained permits of any change in its self-insured status as to any coverage required under this subsection, and of any change in the ability of the wireless provider to cover the losses specified in subdivision (c)(1) of this section.

  4. (d)

    1. (1) An authority may adopt bonding requirements for small wireless facility collocations if the authority imposes similar requirements in connection with other right-of-way users.

    2. (2) The purpose of the bonds shall be to:

      1. (A) Provide for the removal of abandoned or improperly maintained small wireless facilities, including those that an authority determines need to be removed to protect public health, safety, or welfare; and

      2. (B) Recoup rates or fees that have not been paid by a wireless provider in over twelve (12) months, so long as the wireless provider has received reasonable notice from the authority of any of the noncompliance listed above and an opportunity to cure.

    3. (3)

      1. (A) Bonding requirements shall not exceed one thousand dollars ($1,000) per small wireless facility.

      2. (B) For wireless providers with multiple small wireless facilities within the jurisdiction of a single authority, the total bond amount across all facilities may not exceed ten thousand dollars ($10,000), which amount may be combined into a single bond instrument.

      3. (C) An authority may waive bonding requirements for a wireless provider that already maintains bonding for other operations.

      4. (D) An authority shall not require a cash bond, unless either of the following applies:

        1. (i) The wireless provider has failed to obtain or maintain a bond required under this section; or

        2. (ii) The surety has defaulted or failed to perform on a bond given to the authority on behalf of the wireless provider.


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