HB 0259 2003
1	A bill to be entitled
2	An act relating to contractor bonds for public building
3	construction; amending s. 255.05, F.S.; revising contract
4	amount thresholds for payment and performance bonds;
5	providing an effective date.
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7	Be It Enacted by the Legislature of the State of Florida:
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9	Section 1. Paragraph (a) of subsection (1) of section
10	255.05, Florida Statutes, is amended to read:
11	255.05 Bond of contractor constructing public buildings;
12	form; action by materialmen.--
13	(1)(a) Any person entering into a formal contract with the
14	state or any county, city, or political subdivision thereof, or
15	other public authority, for the construction of a public
16	building, for the prosecution and completion of a public work,
17	or for repairs upon a public building or public work shall be
18	required, before commencing the work or before recommencing the
19	work after a default or abandonment, to execute, deliver to the
20	public owner, and record in the public records of the county
21	where the improvement is located, a payment and performance bond
22	with a surety insurer authorized to do business in this state as
23	surety. A public entity may not require a contractor to secure a
24	surety bond under this section from a specific agent or bonding
25	company. The bond must state on its front page: the name,
26	principal business address, and phone number of the contractor,
27	the surety, the owner of the property being improved, and, if
28	different from the owner, the contracting public entity; the
29	contract number assigned by the contracting public entity; and a
30	description of the project sufficient to identify it, such as a
31	legal description or the street address of the property being
32	improved, and a general description of the improvement. Such
33	bond shall be conditioned upon the contractor's performance of
34	the construction work in the time and manner prescribed in the
35	contract and promptly making payments to all persons defined in
36	s. 713.01 who furnish labor, services, or materials for the
37	prosecution of the work provided for in the contract. Any
38	claimant may apply to the governmental entity having charge of
39	the work for copies of the contract and bond and shall thereupon
40	be furnished with a certified copy of the contract and bond. The
41	claimant shall have a right of action against the contractor and
42	surety for the amount due him or her, including unpaid finance
43	charges due under the claimant's contract. Such action shall not
44	involve the public authority in any expense. When such work is
45	done for the state and the contract is for$250,000$100,000or
46	less, no payment and performance bond shall be required. At the
47	discretion of the official or board awarding such contract when
48	such work is done for any county, city, political subdivision,
49	or public authority, any person entering into such a contract
50	which is for$500,000$200,000or less may be exempted from
51	executing the payment and performance bond. When such work is
52	done for the state, the Secretary of the Department of
53	Management Services may delegate to state agencies the authority
54	to exempt any person entering into such a contract amounting to
55	more than$250,000$100,000but less than$500,000$200,000from
56	executing the payment and performance bond. In the event such
57	exemption is granted, the officer or officials shall not be
58	personally liable to persons suffering loss because of granting
59	such exemption. The Department of Management Services shall
60	maintain information on the number of requests by state agencies
61	for delegation of authority to waive the bond requirements by
62	agency and project number and whether any request for delegation
63	was denied and the justification for the denial.
64	Section 2. This act shall take effect July 1, 2003.
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