Section R33-111-303 - Payment Bonds(1) A payment bond is required for construction contracts exceeding $50,000, in the amount of 100% of the contract price. If a contractor fails to deliver the required payment bond, the contractor's bid or offer shall be rejected, its bid security may be enforced, and award of the contract shall be made to the responsible bidder or offeror with the next lowest responsive bid or highest ranked offer. For executive branch procurement units:(a) bid bonds, payment bonds and performance bonds submitted by vendors to executive branch procurement units must be from sureties meeting the requirements of Subsection R33-111-303(1)(b) and must be on the required bond forms; and(b) a surety firm must be authorized to do business in Utah and be listed in the US Department of the Treasury Circular 570, "Companies Holding Certificates of Authority as Acceptable Securities on Federal Bonds and as Acceptable Reinsuring Companies," for an amount not less than the amount of the bond to be issued.(2) If the procurement unit fails to obtain a payment bond, it shall be subject to Section 14-1-19.Utah Admin. Code R33-111-303
Adopted by Utah State Bulletin Number 2024-15, effective 7/9/2024, exp. 11/6/2024 (Emergency)Adopted by Utah State Bulletin Number 2024-21, effective 10/22/2024