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Have a question? +1 815-826-6324 (815-8-BondAI) phil@AmericasSuretyBonds.com
Army Veteran Owned | Expert Surety Bonds Since 2004
An HVAC contractor needs two things before Dothan issues a mechanical contractor business license: a state HVAC license and a $5,000 surety bond filed with the city. The bond costs a yearly premium, the city sends the form, and you can usually be bonded the same day.
The City of Dothan requires a $5,000 surety bond from heating and air conditioning contractors as part of the city business license. Dothan's license schedule groups heating and air conditioning with plumbing in one classification that requires state certification. Applicants need an HVAC license from the Alabama Board of Heating, Air Conditioning and Refrigeration Contractors. The City of Dothan is the obligee.
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Dothan's application lists mechanical and HVAC contractors as their own category and asks for an HVAC license from the Alabama Board of Heating, Air Conditioning and Refrigeration Contractors. Apprentice licenses are not accepted. Refrigeration contractors are a separate category with their own state license and their own bond.
Section 18-22 of the Dothan city code, adopted by Ordinance 2007-393, lists plumbing, heating and air conditioning contractors as one classification requiring state certification and a $5,000 surety bond. The amount is flat.
Alabama Code 34-31-30 lets the state HVAC board require a performance bond of up to $25,000 per year from certified contractors. That is a state matter. Whatever the board requires, Dothan still wants its own $5,000 bond with the city business license.
The bond backs your promise to the City of Dothan that you will follow the city's licensing rules and mechanical code. If the surety pays a valid claim, you repay the surety.
After you apply, the city emails the bond form and instructions. Confirm the current form and filing steps with the Business License office in Room 315 of the Dothan Civic Center before the bond is issued.
No. Dothan asks for the state license and, separately, a surety bond with the city business license. A bond filed with the state board is a different instrument.
Dothan lists refrigeration contractors as a separate category that needs its own state refrigeration license and its own surety bond. Ask the city how it wants a combined business set up.
No. The city schedule sets one $5,000 amount for its plumbing, heating and air conditioning classification.
You pay an annual premium, not the full $5,000. The surety sets the premium after reviewing the owner's personal credit and the business's history, so two contractors applying for the same bond can be quoted different rates. Applying online gets you an actual quote rather than a guess.
Dothan business licenses expire on December 31 each year. The city accepts renewals through the end of January without penalty. After January 31 a 15% penalty applies, and it rises to 30% on March 1. Keep the bond active through every license year and ask the city whether it wants a continuous bond or a new one with each renewal.
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