Contracts are awarded through a solicitation process where construction projects or goods can be bid on. The process can include a bid bond form, a vendor registry system, and other requirements. The links below provide details to contract processes.
Contract Surety Bonds are often required by a federal government agency, municipality, county, private entity or university. The process generally begins with a bid process (often referred to as a bid letting) and when a contractor is awarded a contract, payment and/or performance bond (such as for a ODOT or AIA contract) or contract bond may be required. There are several types of contract bonds which include:
Bid Bond: Ensures prequalification by a surety, that the contractor can bid on the project. The bond confirms that if the contractor is the low bidder, the surety can offer a performance and payment bonds.
Supply Bond: Guarantees that the company will supply the goods with a specific timeline as outlined in the contract.
Performance Bond: Guarantees the contractor will perform the obligations set forth in a contract, including finishing the project on time and staying within budget.
Payment Bond: A guarantees that laborers, sub-contractors, and suppliers are paid.
Proposal Guarantee Bond: Another term for "Bid Bond."
Maintenance Bond: Guarantees materials workmanship for a certain amount of time after a project is completed.
The Small Business Administration has a Bond Guarantee Program helps small contractors bid on projects.
SuretyGroup.com can often write Bid Bonds at no cost to you. Contact our Surety Bond Specialists to see if you qualify.
Premiums for Oregon contract bonds vary and are dependent on business and personal financials, scope of work, the amount of the project and other conditions.
Contact our Surety Bond Specialists today at:
Hours: 8:00-5:00 CST, Monday through Friday