Surety Bond Encyclopedia

Contractor License Bond - Bethlehem, CT in Connecticut

Brief Summary

This is a Town of Bethlehem bond, not a state filing, and the town decides the amount and the form it accepts. Get those two details from Town Hall first and the bond can be issued to match on the first try.

The Contractor License bond is posted by a contractor in favor of the Town of Bethlehem, Connecticut. It guarantees that the contractor follows the town's requirements for the licensed work and that the town can recover its costs, up to the bond amount, if the contractor does not. The town sets the amount and form, so confirm both with the Town of Bethlehem before the bond is issued.

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How to Apply for a Contractor License Bond:

  • Contact the Town of Bethlehem to confirm the current bond amount and whether a town bond form is required.
  • Have the contractor's exact legal business name and address as they appear on the town paperwork.
  • Provide owner information for the surety's credit review.
  • Apply for the bond with the Town of Bethlehem as obligee and review the quoted premium.
  • Sign the executed bond and file it with the town before starting licensed work.

Detailed Information About the Connecticut Contractor License Bond:

Who the bond protects

The obligee is the Town of Bethlehem, Connecticut. The contractor is the principal and pays the premium. If the contractor fails to meet the town's requirements and the town suffers a loss, the town can make a claim on the bond. The surety pays valid claims up to the bond amount and the contractor then repays the surety.

Confirm amount and form with the town

Before the bond is issued, ask the Town of Bethlehem for the current bond amount, the exact name it wants on the bond and whether it uses its own bond form. Have the contractor's legal name match the town's license or permit paperwork exactly.

Related town code

Chapter 105, Article III of the Town Code covers town road encroachment permits. Under § 105-13 and § 105-14, the Board of Selectmen sets permit procedures that include bonding and insurance requirements whenever road encroachments are permitted, reimbursement of the town's administration and inspection costs, and driveway permit rules, including bonding and how driveway permits relate to building permits and certificates of occupancy. Violations under § 105-15 carry a fine of up to $100, and each day counts as a separate offense.

Chapter 64, § 64-4 sets building permit fees at $25 for the first $1,000 of cost and $10 for each additional $1,000, with $30 for each certificate of occupancy. Those fees are separate from any bond.

Eligibility and Requirements for a Connecticut Contractor License Bond:

  • Town of Bethlehem, Connecticut named as obligee.
  • Bond amount as set by the Town of Bethlehem.
  • A surety acceptable to the Town of Bethlehem.
  • Contractor's legal name on the bond matching the town's records.
  • Separate town permit fees and insurance requirements where they apply.

Connecticut Contractor License Bond FAQs:

Who is the obligee on this bond?

The Town of Bethlehem, Connecticut. The bond is filed with the town, not with a state agency.

How much is the bond?

The Town of Bethlehem sets the amount. Ask the town for the current figure before ordering so the bond is written correctly.

Does the bond replace town permit fees or insurance?

No. Permit fees under § 64-4 and any insurance the Board of Selectmen requires under § 105-14 are separate obligations.

What happens if a claim is paid?

The surety pays valid claims up to the bond amount, and the contractor must repay the surety. The bond protects the town, not the contractor.

How is the premium set?

The surety quotes the premium from the bond amount and the contractor's credit and business history. Once the town gives you the amount, the quote can be finalized.

Official and Additional Resources for the Connecticut Contractor License Bond:

All Connecticut Contractor bonds · All Bethlehem, CT bonds · All Connecticut surety bonds