Surety Bond Encyclopedia

Gas Fitter and Plumber ($5,000) Bond - City of Montgomery, AL in Alabama

Brief Summary

Plumbers and gas fitters licensing with the City of Montgomery run into the $5,000 bond at the business license stage. You pay a yearly premium instead of tying up $5,000, the bond is usually issued fast, and it keeps your license application from stalling.

Montgomery classifies plumber and gas fitter contractors under NAICS 238220 (P) in Section 16-105 of the city code, and that entry states the license may require a $5,000 surety bond. State certification from the Alabama Plumbers and Gas Fitters Examining Board is also required. The bond names the City of Montgomery as obligee, and the business license renews each January.

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How to Apply for a Gas Fitter and Plumber ($5,000) Bond:

  • Hold current certification from the Alabama Plumbers and Gas Fitters Examining Board.
  • Use the business name exactly as it appears on the Montgomery business license application.
  • Give the surety the owner's name, address and credit details for review.
  • Pay the premium and sign the $5,000 bond naming the City of Montgomery.
  • File the bond with the business license application at the city License and Revenue Division.
  • Renew the license by January 1 each year and keep the bond in force.

Detailed Information About the Alabama Gas Fitter and Plumber ($5,000) Bond:

Where the requirement comes from

Section 16-105 of the Montgomery Code of Ordinances lists every business license classification. The entry for NAICS 238220 (P), Plumber and Gas Fitter Contractor, covers potable water, sewage and drainage systems, natural gas appliances and piping, LPG systems and flues. It notes that the work requires certification from the Alabama Plumbers and Gasfitters Examining Board and that it may require a $5,000.00 surety bond. These contractors pay the license tax under Schedule AM.

HVAC contractors are a separate classification under the same NAICS number and are not covered by this bond entry.

State certification is a separate step

The bond does not stand in for your state credentials. The city expects the examining board certification first, and the bond sits on top of it as part of the local license.

What the bond does

The surety promises the City of Montgomery that the contractor will follow city ordinances and the plumbing and fuel gas codes the city has adopted under Section 5-71. If the surety pays a valid claim, the contractor repays it.

Timing and renewal

Section 16-74 makes the business license due on or before January 1 each year, delinquent after January 31. A business that starts on or after July 1 pays half the annual license for that year. Keep the bond active as long as the license is, and confirm the current bond form and filing steps with the city License and Revenue Division before the bond is issued.

What the premium depends on

The $5,000 is the bond amount. Your premium is set by the surety after a review of the owner's credit and business history.

Eligibility and Requirements for a Alabama Gas Fitter and Plumber ($5,000) Bond:

  • Bond amount of $5,000 as listed for NAICS 238220 (P) in Montgomery Code Sec. 16-105.
  • City of Montgomery as obligee.
  • State plumbing or gas fitting certification, which the bond does not replace.
  • Business name on the bond matching the license application.
  • A surety company authorized in Alabama.

Alabama Gas Fitter and Plumber ($5,000) Bond FAQs:

Does this bond cover HVAC work too?

No. Montgomery lists HVAC contractors as their own classification with state certification from the heating and air conditioning board. The $5,000 bond note in Section 16-105 is attached to the plumber and gas fitter entry.

When does the city license renew?

Every year on January 1, with a delinquency date of January 31 under Section 16-74. If you start on or after July 1, the first year is billed at half the annual license.

If I already hold a state plumbing license, do I still need the bond?

Yes, when the city asks for it. Section 16-105 lists state certification and the bond as two separate items for this classification.

Where do I file the bond?

With the City of Montgomery License and Revenue Division along with your business license paperwork. Confirm the current form and filing method with that office before the bond is issued.

Official and Additional Resources for the Alabama Gas Fitter and Plumber ($5,000) Bond:

Other City of Montgomery, AL Surety Bonds in Alabama

Electrical ($5,000)Private Investigator ($25,000)

All Alabama Plumber bonds · All City of Montgomery, AL bonds · All Alabama surety bonds