Common use of PERFORMANCE AND PAYMENT BOND REQUIREMENTS Clause in Contracts

PERFORMANCE AND PAYMENT BOND REQUIREMENTS. (a) If the Agreement price exceeds $30,000 but does not exceed $150,000, the contractor shall provide either a payment bond or an alternative payment protection method acceptable to and approved by BSA’s PPM Division. If the contract price exceeds $150,000, the Contractor shall furnish performance and payment bonds in the amounts described below with a surety company holding a certificate of authority from the Secretary of the Treasury (see Department of the Treasury Circular 570). Bonds shall be submitted on the forms provided by BSA. Bonds are to be provided within fourteen (14) days after agreement award, and before commencing work. In lieu of a payment or performance bond, the Contractor may furnish a certified check payable to BSA in the amount of one hundred percent (100%) of the bond amount. (i) Performance Bond: 100% of the agreement price; (ii) Payment Bond: 100% of the agreement price; (iii) Labor hour agreements: Require only a payment bond in the amount of $75,000. (b) Performance bonds shall remain effective until the warranty period under the Warranty of Construction Article has expired, and payment bonds shall remain effective until final payment under the Payment Article. (c) After commencing work, BSA may require the Contractor to furnish additional security to protect BSA, the Government and persons supplying labor or materials under this Agreement if any bond furnished becomes unacceptable or the agreement price is increased so that the penal sum of any bond becomes inadequate in the opinion of BSA’s PPM Division.

PERFORMANCE AND PAYMENT BOND REQUIREMENTS. (a) If the Agreement price exceeds $30,000 25,000 but does not exceed $150,000100,000, the contractor shall provide either a payment bond or an alternative payment protection method acceptable to and approved by BSA’s PPM Division. If the contract price exceeds $150,000100,000, the Contractor shall furnish performance and payment bonds in the amounts described below with a surety company holding a certificate of authority from the Secretary of the Treasury (see Department of the Treasury Circular 570). Bonds shall be submitted on the forms provided by BSA. Bonds are to be provided within fourteen (14) days after agreement award, and before commencing work. , In lieu of a payment or performance bond, the Contractor may furnish a certified check payable to BSA in the amount of one hundred percent (100%) of the bond amount. (i) Performance Bond: 100% of the agreement price; (ii) Payment Bond: 100% of the agreement price; (iii) Labor hour agreements: Require only a payment bond in the amount of $75,000. (b) Performance bonds shall remain effective until the warranty period under the Warranty of Construction Article has expired, and payment bonds shall remain effective until final payment under the Payment Article. (c) After commencing work, BSA may require the Contractor to furnish additional security to protect BSA, the Government and persons supplying labor or materials under this Agreement if any bond furnished becomes unacceptable or the agreement price is increased so that the penal sum of any bond becomes inadequate in the opinion of BSA’s PPM Division.

PERFORMANCE AND PAYMENT BOND REQUIREMENTS. ‌ (a) If the Agreement price exceeds $30,000 but does not exceed $150,000, the contractor shall provide either a payment bond or an alternative payment protection method acceptable to and approved by BSA’s PPM Division. If the contract price exceeds $150,000, the Contractor shall furnish performance and payment bonds in the amounts described below with a surety company holding a certificate of authority from the Secretary of the Treasury (see Department of the Treasury Circular 570). Bonds shall be submitted on the forms provided by BSA. Bonds are to be provided within fourteen (14) days after agreement award, and before commencing work. In lieu of a payment or performance bond, the Contractor may furnish a certified check payable to BSA in the amount of one hundred percent (100%) of the bond amount. (i) Performance Bond: 100% of the agreement price; (ii) Payment Bond: 100% of the agreement price; (iii) Labor hour agreements: Require only a payment bond in the amount of $75,000. (b) Performance bonds shall remain effective until the warranty period under the Warranty of Construction Article has expired, and payment bonds shall remain effective until final payment under the Payment Article. (c) After commencing work, BSA may require the Contractor to furnish additional security to protect BSA, the Government and persons supplying labor or materials under this Agreement if any bond furnished becomes unacceptable or the agreement price is increased so that the penal sum of any bond becomes inadequate in the opinion of BSA’s PPM Division.

PERFORMANCE AND PAYMENT BOND REQUIREMENTS. (a) If the Agreement price exceeds $30,000 25,000 but does not exceed $150,000100,000, the contractor shall provide either a payment bond or an alternative payment protection method acceptable to and approved by BSA’s PPM Division. If the contract price exceeds $150,000100,000, the Contractor shall furnish performance and payment bonds in the amounts described below with a surety company holding a certificate of authority from the Secretary of the Treasury (see Department of the Treasury Circular 570). Bonds shall be submitted on the forms provided by BSA. Bonds are to be provided within fourteen (14) days after agreement award, and before commencing work. In lieu of a payment or performance bond, the Contractor may furnish a certified check payable to BSA in the amount of one hundred percent (100%) of the bond amount. (i) Performance Bond: 100% of the agreement price; (ii) Payment Bond: 100% of the agreement price; (iii) Labor hour agreements: Require only a payment bond in the amount of $75,000. (b) Performance bonds shall remain effective until the warranty period under the Warranty of Construction Article has expired, and payment bonds shall remain effective until final payment under the Payment Article. (c) After commencing work, BSA may require the Contractor to furnish additional security to protect BSA, the Government and persons supplying labor or materials under this Agreement if any bond furnished becomes unacceptable or the agreement price is increased so that the penal sum of any bond becomes inadequate in the opinion of BSA’s PPM Division.