Beginning on the 4th of July this year, the State of Arkansas will increase the threshold at which bid bonds are required on state public construction contracts. In the past, a contractor would be required to furnish a bid bond on any state construction contracts valued at $20,000 or greater, In lieu of legislation passed on March 28th, that new threshold is set at $35,000. This threshold increase will likely encourage more contractors to bid on lower value government contracts. Subsequently, the state will have more options when choosing a contractor for a project worth $35,000 or less, but can no longer rely on the guarantee of a bid bond.
A bid bond is a debt secured by a bidder for a construction job or similar type of bid-based selection process for the purpose of providing a guarantee to the project owner that the bidder will take on the job if selected.
If you are seeking a bid bond, please see our Fast Track Application or apply at suretybondsagency.com
State of Arkansas
91st General Assembly A Bill
Regular Session, 2017 HOUSE BILL 1595
By: Representative Holcomb
By: Senator Caldwell
Have Questions?
American Surety Bonds Agency, LLC
138 Hammond Drive, Suite B
Atlanta, GA 30328
Sam Newberry – Managing Member
P: 404-486-2356 M: 404-550-3565
snewberry@suretybondsagency.com
suretybondsagency.com
