Difference between revisions of "FAR 52.228-15 - Performance and Payment Bonds - Construction"
| Line 2: | Line 2: | ||
|EffectiveDate=2010/10/01 | |EffectiveDate=2010/10/01 | ||
|ClauseorProvision=Clause | |ClauseorProvision=Clause | ||
| − | |||
|Prescribedin=28.102-3(a) | |Prescribedin=28.102-3(a) | ||
| − | |TypePurposeContract= | + | |TypePurposeContract=Time and Materials/Labor Hour -O; Leasing of Motor Vehicles -O; Dismantling, Demolition, or Removal of Improvements -A; Facilities -O; Indefinite Delivery -O; Utility Services -O |
| − | | | + | |ContractThreshold=>150,000 |
| − | |FARClauseOverview===(a) Definitions== | + | |PrescriptionOverview===Prescription== |
| + | |||
| + | (a) Insert a clause substantially the same as the clause at 52.228-15, Performance and Payment Bonds—Construction, in solicitations and contracts for construction that contain a requirement for performance and payment bonds if the '''resultant contract is expected to exceed $150,000'''. The contracting officer may revise paragraphs (b)(1) and/or (b)(2) of the clause to establish a lower percentage in accordance with 28.102-2(b). If the provision at 52.228-1 is not included in the solicitation, the contracting officer must set a period of time for return of executed bonds. | ||
| + | |FARClauseOverview===Clause== | ||
| + | |||
| + | ===(a) Definitions=== | ||
As used in this clause— | As used in this clause— | ||
'''“Original contract price”''' means the award price of the contract; or, for requirements contracts, the price payable for the estimated total quantity; or, for indefinite-quantity contracts, the price payable for the specified minimum quantity. Original contract price does not include the price of any options, except those options exercised at the time of contract award. | '''“Original contract price”''' means the award price of the contract; or, for requirements contracts, the price payable for the estimated total quantity; or, for indefinite-quantity contracts, the price payable for the specified minimum quantity. Original contract price does not include the price of any options, except those options exercised at the time of contract award. | ||
| − | ==(b) Amount of Required Bonds== | + | ===(b) Amount of Required Bonds=== |
Unless the resulting contract price is $150,000 or less, the successful offeror shall furnish performance and payment bonds to the Contracting Officer as follows: | Unless the resulting contract price is $150,000 or less, the successful offeror shall furnish performance and payment bonds to the Contracting Officer as follows: | ||
*(1) Performance bonds (Standard Form 25). The penal amount of performance bonds at the time of contract award shall be 100 percent of the original contract price. | *(1) Performance bonds (Standard Form 25). The penal amount of performance bonds at the time of contract award shall be 100 percent of the original contract price. | ||
| Line 19: | Line 23: | ||
**(ii) The Government may secure the additional protection by directing the Contractor to increase the penal amount of the existing bond or to obtain an additional bond. | **(ii) The Government may secure the additional protection by directing the Contractor to increase the penal amount of the existing bond or to obtain an additional bond. | ||
| − | ==(c) Furnishing Executed Bonds== | + | ===(c) Furnishing Executed Bonds=== |
The Contractor shall furnish all executed bonds, including any necessary reinsurance agreements, to the Contracting Officer, within the time period specified in the Bid Guarantee provision of the solicitation, or otherwise specified by the Contracting Officer, but in any event, before starting work. | The Contractor shall furnish all executed bonds, including any necessary reinsurance agreements, to the Contracting Officer, within the time period specified in the Bid Guarantee provision of the solicitation, or otherwise specified by the Contracting Officer, but in any event, before starting work. | ||
| − | ==(d) Surety or Other Security for Bonds== | + | ===(d) Surety or Other Security for Bonds=== |
The bonds shall be in the form of firm commitment, supported by corporate sureties whose names appear on the list contained in Treasury Department Circular 570, individual sureties, or by other acceptable security such as postal money order, certified check, cashier's check, irrevocable letter of credit, or, in accordance with Treasury Department regulations, certain bonds or notes of the United States. Treasury Circular 570 is published in the Federal Register or may be obtained from the: | The bonds shall be in the form of firm commitment, supported by corporate sureties whose names appear on the list contained in Treasury Department Circular 570, individual sureties, or by other acceptable security such as postal money order, certified check, cashier's check, irrevocable letter of credit, or, in accordance with Treasury Department regulations, certain bonds or notes of the United States. Treasury Circular 570 is published in the Federal Register or may be obtained from the: | ||
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Or via the internet at http://www.fms.treas.gov/c570/. | Or via the internet at http://www.fms.treas.gov/c570/. | ||
| − | '''(e)''' Notice of subcontractor waiver of protection (40 U.S.C. 3133(c)). Any waiver of the right to sue on the payment bond is void unless it is in writing, signed by the person whose right is waived, and executed after such person has first furnished labor or material for use in the performance of the contract. | + | ===Subcontractor Waiver=== |
| − | + | '''(e)''' Notice of subcontractor waiver of protection (40 U.S.C. 3133(c)). Any waiver of the right to sue on the payment bond is void unless it is in writing, signed by the person whose right is waived, and executed after such person has first furnished labor or material for use in the performance of the contract. | |
|ImportantNotesRequirements=[[Category:FAR 52 - Solicitation Provisions and Contract Clauses]] | |ImportantNotesRequirements=[[Category:FAR 52 - Solicitation Provisions and Contract Clauses]] | ||
| + | |SubcontractThreshold=>150,000 | ||
|IncorporatedbyReference=Yes | |IncorporatedbyReference=Yes | ||
|UniformContractFormat=I | |UniformContractFormat=I | ||
|Editor=Marshall | |Editor=Marshall | ||
| + | |ProvisionClauseNumberAlternate=52.228-15 | ||
| + | |ProvisionClauseDescription=- | ||
|Checked=no | |Checked=no | ||
|HasTermDate=2014/03/31 | |HasTermDate=2014/03/31 | ||
Revision as of 07:37, 19 December 2014
Prescribed in 28.102-3(a) | ||
| Effective Date: | 1 October 2010 | |
| Clause or Provision: | Clause | |
| Provision or Clause Number: | 52.228-15 - Performance and Payment Bonds - Construction | |
| Principle Type And/Or Purpose of Contract: | ||
| Required: | ||
| Applicable: | Dismantling, Demolition, or Removal of Improvements; | |
| Optional: | Time and Materials/Labor Hour; Leasing of Motor Vehicles; Facilities; Indefinite Delivery; Utility Services; | |
| Subject: | ||
| ProcurementType: | ||
| Contract Threshold: | >150,000 | |
| Prescription Overview: |
Prescription(a) Insert a clause substantially the same as the clause at 52.228-15, Performance and Payment Bonds—Construction, in solicitations and contracts for construction that contain a requirement for performance and payment bonds if the resultant contract is expected to exceed $150,000. The contracting officer may revise paragraphs (b)(1) and/or (b)(2) of the clause to establish a lower percentage in accordance with 28.102-2(b). If the provision at 52.228-1 is not included in the solicitation, the contracting officer must set a period of time for return of executed bonds. | |
| Clause Overview: |
Clause(a) DefinitionsAs used in this clause— “Original contract price” means the award price of the contract; or, for requirements contracts, the price payable for the estimated total quantity; or, for indefinite-quantity contracts, the price payable for the specified minimum quantity. Original contract price does not include the price of any options, except those options exercised at the time of contract award. (b) Amount of Required BondsUnless the resulting contract price is $150,000 or less, the successful offeror shall furnish performance and payment bonds to the Contracting Officer as follows:
(c) Furnishing Executed BondsThe Contractor shall furnish all executed bonds, including any necessary reinsurance agreements, to the Contracting Officer, within the time period specified in the Bid Guarantee provision of the solicitation, or otherwise specified by the Contracting Officer, but in any event, before starting work. (d) Surety or Other Security for BondsThe bonds shall be in the form of firm commitment, supported by corporate sureties whose names appear on the list contained in Treasury Department Circular 570, individual sureties, or by other acceptable security such as postal money order, certified check, cashier's check, irrevocable letter of credit, or, in accordance with Treasury Department regulations, certain bonds or notes of the United States. Treasury Circular 570 is published in the Federal Register or may be obtained from the: U.S. Department of the Treasury Financial Management Service Surety Bond Branch 3700 East West Highway, Room 6F01 Hyattsville, MD 20782. Or via the internet at http://www.fms.treas.gov/c570/. Subcontractor Waiver(e) Notice of subcontractor waiver of protection (40 U.S.C. 3133(c)). Any waiver of the right to sue on the payment bond is void unless it is in writing, signed by the person whose right is waived, and executed after such person has first furnished labor or material for use in the performance of the contract. | |
| Important Notes/Requirements: | ||
| Subcontract Threshold: | >150,000 | |
| Incorporated by Reference: | Yes | |
| Uniform Contract Format: | I | |
| Editor: | Marshall | |
Personal notes.
