General Assembly Raised Bill No. 5487
February Session, 2016 LCO No. 2065
*02065_______PD_*
Referred to Committee on PLANNING AND DEVELOPMENT
Introduced by:
(PD)
General Assembly
Raised Bill No. 5487
February Session, 2016
LCO No. 2065
*02065_______PD_*
Referred to Committee on PLANNING AND DEVELOPMENT
Introduced by:
(PD)
AN ACT INCREASING THE SURETY BOND THRESHOLD FOR STATE AND MUNICIPAL PROJECTS.
Be it enacted by the Senate and House of Representatives in General Assembly convened:
Section 1. Subsection (a) of section 49-41 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2016):
(a) Each contract exceeding [one] two hundred thousand dollars in amount for the construction, alteration or repair of any public building or public work of the state or a municipality shall include a provision that the person to perform the contract shall furnish to the state or municipality on or before the award date, a bond in the amount of the contract which shall be binding upon the award of the contract to that person, with a surety or sureties satisfactory to the officer awarding the contract, for the protection of persons supplying labor or materials in the prosecution of the work provided for in the contract for the use of each such person, provided no such bond shall be required to be furnished (1) in relation to any general bid in which the total estimated cost of labor and materials under the contract with respect to which such general bid is submitted is less than [one] two hundred thousand dollars, (2) in relation to any sub-bid in which the total estimated cost of labor and materials under the contract with respect to which such sub-bid is submitted is less than [one] two hundred thousand dollars, or (3) in relation to any general bid or sub-bid submitted by a consultant, as defined in section 4b-55. Any such bond furnished shall have as principal the name of the person awarded the contract.
This act shall take effect as follows and shall amend the following sections:
Section 1 July 1, 2016 49-41(a)
This act shall take effect as follows and shall amend the following sections:
Section 1
July 1, 2016
49-41(a)
Statement of Purpose:
To increase the surety bond threshold for certain state and municipal projects.
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]