Contractor License ($5,000) Bond - City of Auburndale, FL in Florida

Brief Summary

If you hold a Florida registered contractor license and want to pull permits in Auburndale, this $5,000 bond is part of your city registration packet. You pay a modest premium instead of tying up $5,000 in cash, and the bond can usually be issued quickly so it does not hold up your first permit.

The City of Auburndale requires a $5,000 bond from State Registered contractors who register to work in the city. State Certified contractors do not post this bond. Registered contractors file it with their Municipal Board of Examiners card, a $15.00 registration fee, a Business Tax Receipt from their home jurisdiction, and liability and workers compensation certificates naming the City of Auburndale as certificate holder.

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How to Apply for a Contractor License ($5,000) Bond:

• Confirm you are a State Registered contractor. State Certified contractors do not post this bond.
• Have your Municipal Board of Examiners card ready, since a copy goes in with the bond.
• Get your Business Tax Receipt from the jurisdiction where your office is located.
• Obtain liability and workers compensation certificates, or a workers comp exemption, listing the City of Auburndale as certificate holder.
• Apply for the $5,000 bond, review the quote, and pay the premium.
• Submit the bond, the card copy, the insurance documents and the $15.00 registration fee to Auburndale Community Development.

Detailed Information About the Florida Contractor License ($5,000) Bond:

Certified or registered decides whether you need it

Florida issues two kinds of contractor credentials. A certified contractor holds a statewide license and can work anywhere in Florida. A registered contractor holds a state registration based on a local competency card, and that card is what lets the contractor work in a given city or county.

Auburndale treats the two groups differently. According to the City of Auburndale Community Development FAQ, a State Certified contractor registers with the city by supplying a copy of the state license, a Business Tax Receipt from the jurisdiction of the contractor's office, liability insurance in the amount required by law, and workers compensation insurance or an exemption, with the City of Auburndale listed as certificate holder on both certificates. That is the whole list. There is no bond.

A State Registered contractor supplies all of the same items and then adds three more: a $5,000.00 bond, a copy of the Municipal Board of Examiners card, and a $15.00 registration fee. This page covers that $5,000 bond.

What the bond does

The contractor is the principal, the surety is the bonding company, and the City of Auburndale is the party the bond protects. The bond backs the contractor's promise to follow the city's building rules and permit conditions. If a valid claim is paid, the contractor must repay the surety, so the bond is a guarantee to the city and not insurance for the contractor.

Before you order the bond

The city FAQ states the amount but not the bond form. Ask the Community Development Department whether it uses its own bond form and exactly how the obligee should read before the bond is issued, so the document is accepted the first time.

How premium is set

The premium is a small share of the $5,000 face amount and is based mainly on the owner's personal credit. Strong credit generally means the lowest rate.

Eligibility and Requirements for a Florida Contractor License ($5,000) Bond:

• Bond amount of $5,000.
• City of Auburndale as the protected party on the bond.
• Contractor name on the bond matching the state registration and examiners card.
• Owner credit review, which drives the premium rate.
• Bond kept in force for as long as the contractor stays registered with the city.

Florida Contractor License ($5,000) Bond FAQs:

Official and Additional Resources for the Florida Contractor License ($5,000) Bond: