What is a Verge Bond?
A Verge Bond (formerly Kerb Security Deposit KSD) is a bond held by the City of Melville to ensure that any damages caused to the City’s verge infrastructure during works or construction are reinstated to pre-works condition at completion of those works.
A Verge Bond is required for:
- All demolitions works
- All swimming pool installations/removal
- Residential and commercial building construction or works valued at over $20,000.
What Does ‘Verge Infrastructure’ Include?
Verge infrastructure includes the following but is not limited to:
• Verge is neat, tidy and levels are unaltered. (Refer City’s Verge Treatment Policy)
• Road surface and pavement
• Drainage infrastructure
• Other utility provider assets
• Removal of redundant crossovers and associated reinstatements completed
How Much is the Bond and When is it Paid?
The current Verge Bond cost is $1900 and an additional non-refundable Inspection Fee of $100 applies.
The property owner or builder is required to pay both, upon lodgement of a building application where a Verge Bond is applicable.
The City will take photos and document the condition of the verge infrastructure prior to the commencement of works or construction and conduct an inspection prior to release of the bond.
When Can I Apply for a Refund?
Upon completion of all works, it is the responsibility of the bond payer (property owner or builder) to submit a BA7 - Notice of Completion form before an application for a refund of the Verge Bond can be processed.
Also refer to Section 33 of Building Act 2011.
How Do I Apply for a Refund?
You can apply for a refund :
An inspection will be carried out by the City upon receipt of the Verge Refund Application Form. This inspection will only be conducted when all the building construction/demolition and associated works (including verge clean-up) are completed.
The bond can only be refunded to the original payer to the City, following inspection and approval that the verge has been returned to pre-works condition.
Please note: The application will be assessed against the City's records for approval.
How Long Does the Verge Bond Refund Process Take?
The refund will be completed within five (5) weeks if the inspection is passed. You will be kept informed along the way of the progress of your refund by email.
What Happens if the Verge Doesn't Pass the Inspection?
For a declined refund application, the applicant will be provided with an opportunity to make good any damage. Upon completion of the repairs, the applicant will be required to resubmit a new Verge Bond Refund Application Form.
Failure to make good any damage may result in the City undertaking the necessary reinstatement works and use the bond amount to recover all or part of these costs.
If the bond is not sufficient to cover the cost, the City will issue an invoice to the property owner/builder/applicant to recover the remaining cost. This includes rectification works for damage to City assets by service authorities connected with the building/demolition work (e.g. gas, water, electricity and other providers). If damaged City assets are not reinstated within the specified timeframe, a penalty may apply.
Refund applications which are declined due to the above conditions not being met will incur a $100 reinspection fee which will be deducted from the Verge Bond.