Bid bonds, and payment and performance bonds are routinely requested on most bids exceeding $15,000 in value. The bid/proposal documents will detail the requirements. A cash deposit, certified check, cashier’s check, Certificate of Deposit, or money order made payable to the City of Titusville and referencing the solicitation number, or a satisfactory bid bond executed by the bidder and surety company acceptable to the City, must be submitted with the bid and in an amount equal to 5% of the bid or an amount as detailed in the specification. Company or personal checks are not acceptable.
In the event a bidder is awarded all or any portion of the bid, the 5% bid bond will be returned after the bidder satisfactorily submits payment and performance bonding equal to 100% of the total bid/proposal amount or other bond, in other amount, as required by the bid/proposal documents. Should the bidder fail or refuse to enter into a contract with the City in the event any portion of the proposal of the bidder is accepted, or should the bidder fail to make deliveries of the payment and performance bonding as required, their bid bond will be forfeited.
If the bidder is not awarded any item, the bid bond or check furnished with the bid will be returned immediately upon award of the bid or as detailed in the specifications. The contractor will be responsible for attorney fees in the event the contractor defaults and court action is required.