Contractor License ($20,000) Bond - City of Aurora, CO in Colorado

Brief Summary

Aurora wants a $20,000 irrevocable license and permit bond that stays in force for at least two years, not the usual one year bond, and it has to keep at least 12 months of coverage left when you finish a job in the city. Get the term right the first time and the bond goes into your license file without a second trip to the Building Division.

The City of Aurora requires a $20,000 irrevocable license and permit bond, payable to the City of Aurora, from contractors licensed to work in the public right of way. Under Aurora City Code 126-172 the bond is valid for two years from its date of issue, is renewed annually after that, and must be written by a commercial financial institution or corporate surety company within the metropolitan area.

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How to Apply for a Contractor License ($20,000) Bond:

• Register with the Aurora Building Division and document three years of experience for the right of way contractor license.
• Provide three job references with the license application.
• Owner names, home addresses and Social Security numbers for the surety's credit review.
• Obtain the $20,000 irrevocable license and permit bond payable to the City of Aurora with a term of at least two years.
• File certificates showing $1,000,000 general liability and $1,000,000 property damage coverage per occurrence.
• Pay the license and supervisor license fees, then renew on time through Aurora4Biz.org.

Detailed Information About the Colorado Contractor License ($20,000) Bond:

What Aurora asks for

The Building Division's Contractor License Fees and Requirements sheet (revised 02/2026) lists the $20,000 bond under the Right of Way Contractor license. That license requires registration with the Building Division and three years of documented experience, plus three job references. The same sheet requires general liability of $1,000,000 per occurrence, property damage coverage of $1,000,000 per occurrence, and an irrevocable license and permit bond of $20,000 with a minimum term of two years.

If your license category is different and you have been told to post this bond, confirm the current form and filing steps with the Building Division at 303.739.7420 or contractorlicenses@auroragov.org before the bond is issued.

The two year term and the 12 month rule

Aurora City Code 126-172, quoted on the city's public improvement permit application, says the bond must be valid for two years from its date of issue and renewed annually after that. The reason is the 12 month rule. A contractor working under the bond must have at least 12 months of coverage left when it completes any construction project in the city. A bond that is about to lapse at the end of a job does not meet that test.

The bond must be executed by a commercial financial institution or corporate surety company within the metropolitan area. It must also state that if the City of Aurora sues to collect on the bond, venue lies in Arapahoe County, Colorado. Check that both points appear on the bond before you submit it.

Fees and renewal

The current sheet lists a $164 license fee and a $131 supervisor license fee for a right of way contractor. The city does not mail renewal notices, so tracking expiration is your job. Renewals can be done online through Aurora4Biz.org.

What it costs

You pay a premium for the bond, not the full $20,000. The surety sets it after reviewing the owner's credit and the company's history. Because Aurora requires a two year minimum term, expect the first premium to cover that full term.

Eligibility and Requirements for a Colorado Contractor License ($20,000) Bond:

• Bond amount of $20,000, payable to the City of Aurora.
• Valid for two years from its date of issue and renewed annually after that.
• At least 12 months of coverage remaining when any construction project in the city is completed.
• Written by a commercial financial institution or corporate surety company within the metropolitan area.
• Venue clause naming Arapahoe County, Colorado for any suit to collect on the bond.

Colorado Contractor License ($20,000) Bond FAQs:

Official and Additional Resources for the Colorado Contractor License ($20,000) Bond: