Cut Bank School District

 

SCHOOL FACILITIES              9243

 

Contractor Surety Bonds and Insurance

 

Each contractor’s bid must be accompanied by a bid bond or other security authorized by state law in the amount of at least ten percent (10%) of the total bid amount, excluding taxes.  Any bid which is not successful shall entitle the bidder to a refund of its security or bond.  The successful bidder shall have its bond or security retained until such a time as it is determined that the bidder shall complete the contract.  All bids received shall specify whether the District or the contractor shall carry fire, liability, or other insurance during construction.

 

The successful bidder is required to make, execute and deliver to the Board a good and sufficient performance bond with two (2) or more sureties or a surety company which shall state that the contractor shall execute and faithfully perform the provisions of the contract and shall pay all subcontractors and materialmen as required by law.

 

 

 

Legal Reference:            § 18-1-201, MCA            Requirements for bidder’s security

§ 18-1-202, MCA            Advertisement for bid to specify required security

§ 18-1-203, MCA   Form of security

 

Policy History:

Adopted on:

Revised on: