Surety Bond Encyclopedia

Contractor's Code Compliance Bond - City of Douglasville, GA in Georgia

Brief Summary

Douglasville will not move a commercial permit forward without this bond in its file. The surety guarantee stands in for cash, the city's own form spells out the amount, and once it is issued you email it to the Building Division and get back to work.

The City of Douglasville, Georgia requires a code compliance bond from contractors licensed with the city, and its Commercial Code Compliance Bond form sets the amount at 10 percent of the construction cost, never less than $10,000 and never more than $50,000. The bond runs to the Governing Authority of the City of Douglasville and guarantees the contractor will follow the city's Code of Ordinances, including the building code and zoning ordinance.

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How to Apply for a Contractor's Code Compliance Bond:

  • Pin down the construction cost so the bond can be written at 10 percent, between $10,000 and $50,000.
  • Use the City of Douglasville Commercial Code Compliance Bond form, not the residential form.
  • Have your city business license number and the legal contractor name ready for the form.
  • Complete the bond application and review the quoted premium.
  • Pay the premium and have the surety sign and seal the bond.
  • Email the completed bond to the Building Division at permits@douglasvillega.gov with your permit submittal.

Detailed Information About the Georgia Contractor's Code Compliance Bond:

The amount is not one flat number

This is where most contractors go wrong. Douglasville's Commercial Code Compliance Bond is written at ten percent of the construction cost, with a minimum of $10,000 and a maximum of $50,000. A job valued at $200,000 needs a $20,000 bond. Any job at $100,000 or less still needs the $10,000 minimum, and anything at $500,000 or more tops out at $50,000. Have your construction cost figure ready before you request a quote.

Residential work uses a different form. The city's Residential Code Compliance Bond is a flat $10,000. Make sure you are buying the bond that matches the project type on your permit.

What the bond guarantees

The principal, meaning the contractor, agrees to comply with all requirements of the Code of Ordinances of the City of Douglasville, including its building code and zoning ordinance. If the Building Official finds a violation, the city council may sue the contractor and the surety to recover the cost of correcting it. The surety's total liability never exceeds the bond amount, no matter how many years the bond stays in force or how many premiums are paid.

Term and cancellation

The bond is continuous from its effective date and covers the contractor's work during the term of the city license. The surety can end liability for future work by giving the Building Official thirty days' written notice.

How it is filed

Download the form from the Building Division Applications page, complete every field, and email it to the Building Division at permits@douglasvillega.gov. A notarized form can be submitted electronically as long as the notary signature, date and seal are clearly visible. The city's commercial submittal checklist lists the code compliance bond as a New Only document, so confirm with the Building Division at 678-449-3230 whether your project triggers it.

Eligibility and Requirements for a Georgia Contractor's Code Compliance Bond:

  • Bond amount of 10 percent of construction cost, no less than $10,000 and no more than $50,000.
  • Governing Authority of the City of Douglasville, State of Georgia named as obligee.
  • City business license number entered on the bond.
  • State contractor licensing information, business license and owner ID provided with the permit submittal.
  • Owner credit review by the surety, which sets the premium rate.

Georgia Contractor's Code Compliance Bond FAQs:

How much bond do I need?

Ten percent of the construction cost, with a $10,000 minimum and a $50,000 maximum, per the city's Commercial Code Compliance Bond form.

Is this the same as the residential code compliance bond?

No. Douglasville uses a separate Residential Code Compliance Bond for residential projects, set at a flat $10,000. This page covers the commercial form.

Who is the obligee?

The Governing Authority of the City of Douglasville, State of Georgia, and its successors in office.

How do I submit the bond?

Email the completed form to the Building Division at permits@douglasvillega.gov. Notarized forms can be sent electronically if the notary signature, date and seal are legible. Questions go to the Building Division at 678-449-3230.

Can the surety cancel the bond?

Yes. The surety can cancel as to future liability by giving the Building Official thirty days' written notice. Work covered before cancellation stays covered.

What does the bond cost?

The premium depends on the bond amount and a credit review of the business owners. You get an exact figure when you apply.

Official and Additional Resources for the Georgia Contractor's Code Compliance Bond:

Other City of Douglasville, GA Surety Bonds in Georgia

Residential Code Compliance ($10,000)

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