Common use of PUBLIC CONSTRUCTION BOND Clause in Contracts

PUBLIC CONSTRUCTION BOND. It is anticipated that work awarded under this Agreement may require a public construction bond under section 255.05, Florida Statutes. Due to the likelihood of services having to be performed on an emergency basis, the CONTRACTOR must provide the CITY with a public construction bond in amount of $200,000 at the beginning of the hurricane season (no later than June 1 of each year) which is in accordance with section 255.05, Florida Statutes. Said bond shall remain in place until December 1 of each year. The bond must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond must be provided to the CITY prior to the CONTRACTOR providing any services under this Agreement. If the CITY approves a Purchase Order or a work order which exceeds $200,000 in total construction cost, the CONTRACTOR must provide the CITY with an amendment to the bond which covers the amount in excess of $200,000. Said bond amendment must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond amendment must be provided to the CITY prior to the CONTRACTOR providing any services under the Purchase Order or work order. The CITY reserves the right to request a separate public construction bond for any Purchase Order or work order which is less than $200,000. The cost of the public construction bond(s) as required under this section shall be a direct pass through cost to the CITY without any xxxx-up by the CONTRACTOR. The public construction bond shall be on forms attached hereto as Exhibit “E” or substantially similar as approved by the CITY and shall incorporate by reference the terms of this Agreement in its entirety. To be acceptable to the CITY, a Surety Company shall comply with the following provisions: The Surety Company shall have a currently valid Certificate of Authority, issued by the State of Florida Department of Insurance, authorizing it to write surety bonds in the State of Florida. (a) The Surety Company shall have a currently valid Certificate of Authority issued by the United States Department of Treasury under Sections 9304 to 9308 of Title 31 of the United States Code. (b) The Surety Company shall be in full compliance with the provisions of the Florida Insurance Code. (c) The Surety Company shall have at least twice the minimum surplus and capital required by the Florida Insurance Code at the time the CONTRACTOR submits its proposed work order for CITY approval. (d) The Surety Company shall have at least the ratings of A-/Class V in the latest issue of Best’s Key Rating Guide. (e) The Surety Company shall not expose itself to any loss on any one risk in an amount exceeding ten (10) percent of its surplus to policyholders, provided: 1. Any risk or portion of any risk being reinsured shall be deducted in determining the limitation of the risk as prescribed in this section. These minimum requirements shall apply to the reinsuring carrier providing authorization or approval by the State of Florida, Department of Insurance to do business in this state have been met. 2. In the case of the surety insurance company, in addition to the deduction for reinsurance, the amount assumed by any co-surety, the value of any security deposited, pledged or held subject to the consent of the surety and for the protection of the surety shall be deducted.

PUBLIC CONSTRUCTION BOND. It is anticipated that work awarded under this Agreement may require a public construction bond under section 255.05, Florida Statutes. Due to the likelihood of services having to be performed on an emergency basis, the CONTRACTOR must provide the CITY with a public construction bond in amount of $200,000 at the beginning of the hurricane season (no later than June 1 of each year) which is in accordance with section 255.05, Florida Statutes. Said bond shall remain in place until December 1 of each year. The bond must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond must be provided to the CITY prior to the CONTRACTOR providing any services under this Agreement. If the CITY approves a Purchase Order or a work order which exceeds $200,000 in total construction cost, the CONTRACTOR must provide the CITY with an amendment to the bond which covers the amount in excess of $200,000200,000 . Said bond amendment must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond amendment must be provided to the CITY prior to the CONTRACTOR providing any services under the Purchase Order or work order. The CITY reserves the right to request a separate public construction bond for any Purchase Order or work order which is less than $200,000. The cost of the public construction bond(s) as required under this section shall be a direct pass through cost to the CITY without any xxxxmark-up by the CONTRACTOR. The public construction bond shall be on forms attached hereto as Exhibit “E” or substantially similar as approved by the CITY and shall incorporate by reference the terms of this Agreement in its entirety. To be acceptable to the CITY, a Surety Company shall comply with the following provisions: The Surety Company shall have a currently valid Certificate of Authority, issued by the State of Florida Department of Insurance, authorizing it to write surety bonds in the State of Florida. (a) The Surety Company shall have a currently valid Certificate of Authority issued by the United States Department of Treasury under Sections 9304 to 9308 of Title 31 of the United States Code. (b) The Surety Company shall be in full compliance with the provisions of the Florida Insurance Code. (c) The Surety Company shall have at least twice the minimum surplus and capital required by the Florida Insurance Code at the time the CONTRACTOR submits its proposed work order for CITY approval. (d) The Surety Company shall have at least the ratings of A-/Class V in the latest issue of Best’s Key Rating Guide. (e) The Surety Company shall not expose itself to any loss on any one risk in an amount exceeding ten (10) percent of its surplus to policyholders, provided: 1. Any risk or portion of any risk being reinsured shall be deducted in determining the limitation of the risk as prescribed in this section. These minimum requirements shall apply to the reinsuring carrier providing authorization or approval by the State of Florida, Department of Insurance to do business in this state have been met. 2. In the case of the surety insurance company, in addition to the deduction for reinsurance, the amount assumed by any co-surety, the value of any security deposited, pledged or held subject to the consent of the surety and for the protection of the surety shall be deducted.

PUBLIC CONSTRUCTION BOND. It is anticipated that work awarded under Upon execution this Agreement may require which includes initial construction for the Project, a public construction bond under section fully executed Public Construction Bond shall be delivered to the CITY that satisfies Section 255.05, Florida Statutes. Due Statutes in an amount equal to the likelihood of services having to be performed on an emergency basisGMP, the CONTRACTOR must provide the CITY with a public construction bond in amount of $200,000 at the beginning of the hurricane season (no later than June 1 of each year) which is in accordance with section 255.05, Florida Statutes. Said bond shall remain in place until December 1 of each year. The bond must be recorded and in the Official Records in and for Palm Beach County and a copy of the recorded bond must be provided to the CITY prior to the CONTRACTOR providing any services under this Agreement. If the CITY approves a Purchase Order or a work order which exceeds $200,000 in total construction cost, the CONTRACTOR must provide the CITY with an amendment to the bond which covers the amount in excess of $200,000. Said bond amendment must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond amendment must be provided to the CITY prior to the CONTRACTOR providing any services under the Purchase Order or work order. The CITY reserves the right to request a separate public construction bond for any Purchase Order or work order which is less than $200,000. The cost of the public construction bond(s) as required under this section shall be a direct pass through cost to the CITY without any xxxx-up by the CONTRACTOR. The public construction bond shall be on forms form attached hereto as Exhibit “E” or substantially similar as approved E. The Public Construction Bond shall be issued by the CITY and shall incorporate by reference the terms of this Agreement in its entirety. To be sureties acceptable to the CITY, a Surety Company . The sureties for such bonds shall comply with the following provisions: The Surety Company shall have a currently valid Certificate of Authority, issued by the State of Florida Department of Insurance, authorizing it be duly authorized to write surety bonds do business in the State of Florida. (a) , and satisfactory evidence of the authority of the person or persons executing such bonds to execute the bonds shall be submitted with the bonds. The Surety Company Public Construction Bond shall serve as security for the faithful performance of the construction included in this Agreement, including the maintenance and guarantee provisions, and for the payment of all persons performing labor and furnishing materials in connection with the Agreement. The premiums for the Public Construction Bond shall be reimbursable as Costs of the Construction. All surety companies shall have a currently valid Certificate rating of Authority issued by the United States Department of Treasury under Sections 9304 to 9308 of Title 31 of the United States Code. (b) The Surety Company shall be in full compliance with the provisions of the Florida Insurance Code. (c) The Surety Company shall have at least twice the minimum surplus and capital required by the Florida Insurance Code at the time the CONTRACTOR submits its proposed work order for CITY approval. (d) The Surety Company shall have at least the ratings of A-/Class V not less than B+ Class VI as evaluated in the latest issue of most recently circulated Best’s Key Rating Guide. Guide Property-Liability. Pursuant to Section 255.05, Florida Statutes, the Public Construction Bond shall be recorded in the Public Records of Hillsborough County, Florida, before commencing any work under this Agreement on the Project. If, during the term of this Agreement, the CITY shall become dissatisfied with any surety due to such surety’s failure to maintain the minimum ranking noted above, the CONSTRUCTION MANAGER shall, within fifteen (e15) days after written notice from the CITY, obtain and submit a replacement bond from another surety reasonably acceptable to the CITY and meeting the requirements as set forth herein. The Surety Company form of such replacement bond shall not expose itself be identical to any loss on any one risk the bond approved by the CITY. Any such replacement bond shall be in an amount exceeding ten (10) percent of its surplus the bond it is replacing. All premiums associated with any such replacement bond shall be paid by the CONSTRUCTION MANAGER and shall be recoverable as part of the Cost of Construction for which a change will be issued to policyholders, provided: 1adjust the GMP. The CONSTRUCTION MANAGER shall not be entitled to any further progress payments until such replacement bond has been provided to the City. Any risk or portion such replacement bond shall also be recorded in the Public Records of any risk being reinsured shall be deducted in determining the limitation of the risk as prescribed in this section. These minimum requirements shall apply to the reinsuring carrier providing authorization or approval by the State of Hillsborough County, Florida, Department of Insurance to do business in this state have been met. 2. In the case of the surety insurance company, in addition to the deduction for reinsurance, the amount assumed by any co-surety, the value of any security deposited, pledged or held subject to the consent of the surety and for the protection of the surety shall be deducted.

PUBLIC CONSTRUCTION BOND. It is anticipated Upon execution this Agreement, if it includes initial construction for the Project, a fully executed Public Construction Bond shall be delivered to the CITY that work awarded under this Agreement may require a public construction bond under section satisfies Section 255.05, Florida Statutes. Due Statutes in an amount equal to the likelihood of services having to be performed on an emergency basisGMP, the CONTRACTOR must provide the CITY with a public construction bond in amount of $200,000 at the beginning of the hurricane season (no later than June 1 of each year) which is in accordance with section 255.05, Florida Statutes. Said bond shall remain in place until December 1 of each year. The bond must be recorded and in the Official Records in and for Palm Beach County and a copy of the recorded bond must be provided to the CITY prior to the CONTRACTOR providing any services under this Agreement. If the CITY approves a Purchase Order or a work order which exceeds $200,000 in total construction cost, the CONTRACTOR must provide the CITY with an amendment to the bond which covers the amount in excess of $200,000. Said bond amendment must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond amendment must be provided to the CITY prior to the CONTRACTOR providing any services under the Purchase Order or work order. The CITY reserves the right to request a separate public construction bond for any Purchase Order or work order which is less than $200,000. The cost of the public construction bond(s) as required under this section shall be a direct pass through cost to the CITY without any xxxx-up by the CONTRACTOR. The public construction bond shall be on forms form attached hereto as Exhibit “E” or substantially similar as approved B. The Public Construction Bond shall be issued by the CITY and shall incorporate by reference the terms of this Agreement in its entirety. To be sureties acceptable to the CITY, a Surety Company . The sureties for such bonds shall comply with the following provisions: The Surety Company shall have a currently valid Certificate of Authority, issued by the State of Florida Department of Insurance, authorizing it be duly authorized to write surety bonds do business in the State of Florida. (a) , and satisfactory evidence of the authority of the person or persons executing such bonds to execute the bonds shall be submitted with the bonds. The Surety Company Public Construction Bond shall serve as security for the faithful performance of the construction included in this Agreement, including the maintenance and guarantee provisions, and for the payment of all persons performing labor and furnishing materials in connection with the Agreement. The premiums for the Public Construction Bond shall be reimbursable as Costs of the Construction. All surety companies shall have a currently valid Certificate rating of Authority issued by the United States Department of Treasury under Sections 9304 to 9308 of Title 31 of the United States Code. (b) The Surety Company shall be in full compliance with the provisions of the Florida Insurance Code. (c) The Surety Company shall have at least twice the minimum surplus and capital required by the Florida Insurance Code at the time the CONTRACTOR submits its proposed work order for CITY approval. (d) The Surety Company shall have at least the ratings of A-/Class V not less than B+ Class VI as evaluated in the latest issue of most recently circulated Best’s Key Rating Guide. Guide Property-Liability. Pursuant to Section 255.05, Florida Statutes, the Public Construction Bond shall be recorded in the Public Records of Hillsborough County, Florida, before commencing any work under this Agreement on the Project. If, during the term of this Agreement, the CITY shall become dissatisfied with any surety due to such surety’s failure to maintain the minimum ranking noted above, the CONSTRUCTION MANAGER shall, within fifteen (e15) days after written notice from the CITY, obtain and submit a replacement bond from another surety reasonably acceptable to the CITY and meeting the requirements as set forth herein. The Surety Company form of such replacement bond shall not expose itself be identical to any loss on any one risk the bond approved by the CITY. Any such replacement bond shall be in an amount exceeding ten (10) percent of its surplus the bond it is replacing. All premiums associated with any such replacement bond shall be paid by the CONSTRUCTION MANAGER and shall be recoverable as part of the Cost of Construction for which a change will be issued to policyholders, provided: 1adjust the GMP. The CONSTRUCTION MANAGER shall not be entitled to any further progress payments until such replacement bond has been provided to the City. Any risk or portion such replacement bond shall also be recorded in the Public Records of any risk being reinsured shall be deducted in determining the limitation of the risk as prescribed in this section. These minimum requirements shall apply to the reinsuring carrier providing authorization or approval by the State of Hillsborough County, Florida, Department of Insurance to do business in this state have been met. 2. In the case of the surety insurance company, in addition to the deduction for reinsurance, the amount assumed by any co-surety, the value of any security deposited, pledged or held subject to the consent of the surety and for the protection of the surety shall be deducted.

PUBLIC CONSTRUCTION BOND. It is anticipated that work awarded under this Agreement may require a public construction bond under section 255.05, Florida Statutes. Due to the likelihood of services having to be performed on an emergency basis, the CONTRACTOR must provide the CITY with a public construction bond in amount of $200,000 at the beginning of the hurricane season (no later than June 1 of each year) which is in accordance with section 255.05, Florida Statutes. Said bond shall remain in place until December 1 of each year. The bond must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond must be provided to the CITY prior to the CONTRACTOR providing any services under this Agreement. If the CITY approves a Purchase Order or a work order which exceeds $200,000 in total construction cost, the CONTRACTOR must provide the CITY with an amendment to the bond which covers the amount in excess of $200,000200,000 . Said bond amendment must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond amendment must be provided to the CITY prior to the CONTRACTOR providing any services under the Purchase Order or work order. The CITY reserves the right to request a separate public construction bond for any Purchase Order or work order which is less than $200,000. The cost of the public construction bond(s) as required under this section shall be a direct pass through cost to the CITY without any xxxx-up by the CONTRACTOR. The public construction bond shall be on forms attached hereto as Exhibit “E” or substantially similar as approved by the CITY and shall incorporate by reference the terms of this Agreement in its entirety. To be acceptable to the CITY, a Surety Company shall comply with the following provisions: The Surety Company shall have a currently valid Certificate of Authority, issued by the State of Florida Department of Insurance, authorizing it to write surety bonds in the State of Florida. (a) The Surety Company shall have a currently valid Certificate of Authority issued by the United States Department of Treasury under Sections 9304 to 9308 of Title 31 of the United States Code. (b) The Surety Company shall be in full compliance with the provisions of the Florida Insurance Code. (c) The Surety Company shall have at least twice the minimum surplus and capital required by the Florida Insurance Code at the time the CONTRACTOR submits its proposed work order for CITY approval. (d) The Surety Company shall have at least the ratings of A-/Class V in the latest issue of Best’s Key Rating Guide. (e) The Surety Company shall not expose itself to any loss on any one risk in an amount exceeding ten (10) percent of its surplus to policyholders, provided: 1. Any risk or portion of any risk being reinsured shall be deducted in determining the limitation of the risk as prescribed in this section. These minimum requirements shall apply to the reinsuring carrier providing authorization or approval by the State of Florida, Department of Insurance to do business in this state have been met. 2. In the case of the surety insurance company, in addition to the deduction for reinsurance, the amount assumed by any co-surety, the value of any security deposited, pledged or held subject to the consent of the surety and for the protection of the surety shall be deducted.

PUBLIC CONSTRUCTION BOND. It is anticipated Upon execution this Agreement, if it includes initial construction for the Project, a fully executed Public Construction Bond shall be delivered to the CITY that work awarded under this Agreement may require a public construction bond under section satisfies Section 255.05, Florida Statutes. Due Statutes in an amount equal to the likelihood of services having to be performed on an emergency basisGMP, the CONTRACTOR must provide the CITY with a public construction bond in amount of $200,000 at the beginning of the hurricane season (no later than June 1 of each year) which is in accordance with section 255.05, Florida Statutes. Said bond shall remain in place until December 1 of each year. The bond must be recorded and in the Official Records in and for Palm Beach County and a copy of the recorded bond must be provided to the CITY prior to the CONTRACTOR providing any services under this Agreement. If the CITY approves a Purchase Order or a work order which exceeds $200,000 in total construction cost, the CONTRACTOR must provide the CITY with an amendment to the bond which covers the amount in excess of $200,000. Said bond amendment must be recorded in the Official Records in and for Palm Beach County and a copy of the recorded bond amendment must be provided to the CITY prior to the CONTRACTOR providing any services under the Purchase Order or work order. The CITY reserves the right to request a separate public construction bond for any Purchase Order or work order which is less than $200,000. The cost of the public construction bond(s) as required under this section shall be a direct pass through cost to the CITY without any xxxx-up by the CONTRACTOR. The public construction bond shall be on forms form attached hereto as Exhibit “E” or substantially similar as approved E. The Public Construction Bond shall be issued by the CITY and shall incorporate by reference the terms of this Agreement in its entirety. To be sureties acceptable to the CITY, a Surety Company . The sureties for such bonds shall comply with the following provisions: The Surety Company shall have a currently valid Certificate of Authority, issued by the State of Florida Department of Insurance, authorizing it be duly authorized to write surety bonds do business in the State of Florida. (a) , and satisfactory evidence of the authority of the person or persons executing such bonds to execute the bonds shall be submitted with the bonds. The Surety Company Public Construction Bond shall serve as security for the faithful performance of the construction included in this Agreement, including the maintenance and guarantee provisions, and for the payment of all persons performing labor and furnishing materials in connection with the Agreement. The premiums for the Public Construction Bond shall be reimbursable as Costs of the Construction. All surety companies shall have a currently valid Certificate rating of Authority issued by the United States Department of Treasury under Sections 9304 to 9308 of Title 31 of the United States Code. (b) The Surety Company shall be in full compliance with the provisions of the Florida Insurance Code. (c) The Surety Company shall have at least twice the minimum surplus and capital required by the Florida Insurance Code at the time the CONTRACTOR submits its proposed work order for CITY approval. (d) The Surety Company shall have at least the ratings of A-/Class V not less than B+ Class VI as evaluated in the latest issue of most recently circulated Best’s Key Rating Guide. Guide Property-Liability. Pursuant to Section 255.05, Florida Statutes, the Public Construction Bond shall be recorded in the Public Records of Hillsborough County, Florida, before commencing any work under this Agreement on the Project. If, during the term of this Agreement, the CITY shall become dissatisfied with any surety due to such surety’s failure to maintain the minimum ranking noted above, the CONSTRUCTION MANAGER shall, within fifteen (e15) days after written notice from the CITY, obtain and submit a replacement bond from another surety reasonably acceptable to the CITY and meeting the requirements as set forth herein. The Surety Company form of such replacement bond shall not expose itself be identical to any loss on any one risk the bond approved by the CITY. Any such replacement bond shall be in an amount exceeding ten (10) percent of its surplus the bond it is replacing. All premiums associated with any such replacement bond shall be paid by the CONSTRUCTION MANAGER and shall be recoverable as part of the Cost of Construction for which a change will be issued to policyholders, provided: 1adjust the GMP. The CONSTRUCTION MANAGER shall not be entitled to any further progress payments until such replacement bond has been provided to the City. Any risk or portion such replacement bond shall also be recorded in the Public Records of any risk being reinsured shall be deducted in determining the limitation of the risk as prescribed in this section. These minimum requirements shall apply to the reinsuring carrier providing authorization or approval by the State of Hillsborough County, Florida, Department of Insurance to do business in this state have been met. 2. In the case of the surety insurance company, in addition to the deduction for reinsurance, the amount assumed by any co-surety, the value of any security deposited, pledged or held subject to the consent of the surety and for the protection of the surety shall be deducted.