Common use of PUBLIC CONSTRUCTION BOND Clause in Contracts

PUBLIC CONSTRUCTION BOND. If the City approves a work order which exceeds $200,000 in total construction cost, the Contractor must provide the City with a public construction bond in accordance with section 255.05, Florida Statutes. Said 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 the work order. The City reserves the right to request a bond for any work order which is less than $200,000. The cost of the bond shall be a direct pass through cost to the City without any mark-up by the Contractor. The public construction bond shall be on forms attached hereto as Exhibit “C” or substantially similar as approved by the City. The bond shall be in an amount not less than the total Work Order price and shall incorporate by reference the terms of the Contract Documents in their entirety. 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 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

PUBLIC CONSTRUCTION BOND. If the City approves a work order which exceeds $200,000 in total construction cost, the Contractor must provide the City with a public construction bond in accordance with section 255.05, Florida Statutes. Said 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 the work order. The City reserves the right to request a bond for any work order which is less than $200,000. The cost of the bond shall be a direct pass through cost to the City without any mark-up by the Contractor. The public construction bond shall be on forms attached hereto as Exhibit “C” or substantially similar as approved by the City. The bond shall be in an amount not less than the total Work Order price and shall incorporate by reference the terms of the Contract Documents in their entirety. 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 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