HB 0581 2004
   
1 A bill to be entitled
2          An act relating to high-speed rail system surety bonds;
3    creating s. 341.843, F.S.; providing that contractors
4    entering into specified contracts with the Florida High-
5    Speed Rail Authority must provide a performance and
6    payment bond in an amount determined by the authority;
7    providing requirements with respect to such surety bonds;
8    amending ss. 255.05 and 337.18, F.S.; specifying that
9    surety bonds for construction of a high-speed rail system
10    authorized pursuant to the Florida High-Speed Rail
11    Authority Act shall be governed by the provisions of s.
12    341.843, F.S.; providing an effective date.
13         
14          Be It Enacted by the Legislature of the State of Florida:
15         
16          Section 1. Section 341.843, Florida Statutes, is created
17    to read:
18          341.843 Surety bonds; requirements.--
19          (1) The authority shall require, upon entering into a DBOM
20    or DBOM&F contract, that the contractor provide a performance
21    and payment bond in an amount determined by the authority.
22          (2) Prior to the commencement of any construction work by
23    a contractor under a DBOM or DBOM&F contract with the authority,
24    the contractor shall provide to the authority a payment and
25    performance bond that covers 100 percent of the costs of the
26    construction. However, if such level of surety is not
27    commercially available, the authority, notwithstanding ss.
28    255.05 and 337.18, may require a monetary surety amount of less
29    than 100 percent of such costs or may authorize that surety
30    bonds be provided on a phased basis. Such bond shall be
31    conditioned upon the contractor's performance of the
32    construction work in the time and manner prescribed in the
33    contract and the prompt payment of all persons defined in s.
34    713.01 who furnish labor, services, or materials for the
35    prosecution of the work provided for in the contract.
36          (3) The surety on such bonds shall be from a surety
37    company authorized to do business in the state. All surety bonds
38    shall be payable to the authority and conditioned for the
39    prompt, faithful, and efficient performance of the contract
40    according to plans and specifications and within the time period
41    specified, and for the prompt payment of all persons furnishing
42    labor, material, equipment, and supplies therefor.
43          (4) A payment and performance bond required under this
44    section may be substantially in the form provided in s.
45    255.05(3).
46          Section 2. Subsection (10) is added to section 255.05,
47    Florida Statutes, to read:
48          255.05 Bond of contractor constructing public buildings;
49    form; action by materialmen.--
50          (10) Surety bonds for construction of a high-speed rail
51    system authorized pursuant to the Florida High-Speed Rail
52    Authority Act shall be governed by the provisions of s. 341.843.
53          Section 3. Subsection (6) is added to section 337.18,
54    Florida Statutes, to read:
55          337.18 Surety bonds for construction or maintenance
56    contracts; requirement with respect to contract award; bond
57    requirements; defaults; damage assessments.--
58          (6) Surety bonds for construction of a high-speed rail
59    system authorized pursuant to the Florida High-Speed Rail
60    Authority Act shall be governed by the provisions of s. 341.843.
61          Section 4. This act shall take effect July 1, 2004.