Commercial General Contractor ($20,000) Bond - City of Grovetown, GA in Georgia

Brief Summary

Commercial general contractors carry the largest of Grovetown's contractor bonds at $20,000. Getting the tier right the first time matters, because a bond written for the wrong classification gets sent back. You pay an annual premium, not $20,000 in cash, and the bond is usually ready the same day you apply.

The City of Grovetown in Columbia County asks commercial general contractors for a $20,000 surety bond, the highest of its four contractor bond tiers. Residential general contractors post $15,000, other contractors $5,000, and electrical, plumbing and HVAC contractors $1,000. The city bond is separate from the Georgia general contractor license required under OCGA 43-41-17.

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

• Confirm the work is commercial general contracting and not residential, trade or other contracting.
• Hold a current Georgia commercial or general contractor license, directly or through a qualifying agent.
• Contact Grovetown City Hall for the current bond form and filing steps.
• Have the business name exactly as it will appear on the city registration.
• Complete the bond application and pay the annual premium.
• File the signed $20,000 bond with the City of Grovetown.

Detailed Information About the Georgia Commercial General Contractor ($20,000) Bond:

Pick the right tier first

Grovetown sorts contractor bonds by the kind of work, and the commercial tier is the most common mistake in both directions. A firm building houses does not need the $20,000 bond, and a firm bidding offices, retail or other commercial work cannot get by on the residential one.

• Commercial General Contractor: $20,000
• Residential General Contractor: $15,000
• Contractor License: $5,000
• Electrical, Plumber and HVAC Contractor: $1,000

If your company does both residential and commercial general contracting, ask the city whether one bond at the commercial amount covers both or whether it wants each classification bonded.

The state license is a separate requirement

Under OCGA 43-41-17(a), no person or business may engage in residential or commercial general contracting in Georgia without a current state license, held directly or through a licensed qualifying agent. The city bond does not replace that license. Georgia law also limits how far a city can add its own licensing rules on top of a state license, while allowing certain local rules that were in effect on July 1, 2004 to continue for general contracting within that city. That is one more reason to confirm Grovetown's current filing requirements before the bond is written.

What the bond does

The City of Grovetown is the obligee. The bond guarantees that the contractor will follow the city's ordinances and building rules on work inside city limits. If the contractor fails to and the city or a covered party makes a valid claim, the surety pays up to $20,000 and then looks to the contractor for repayment. It is not insurance for the contractor.

Before you file

Contact Grovetown City Hall, 103 Old Wrightsboro Road, to confirm the current bond form, the exact name to show as principal, and whether the bond is filed at registration or with a building permit. The premium is set by the surety after reviewing credit and business history.

Eligibility and Requirements for a Georgia Commercial General Contractor ($20,000) Bond:

• Bond amount of $20,000 for the commercial general contractor classification.
• City of Grovetown, Georgia named as obligee.
• Principal name matching the state license and city registration.
• Owner and business credit review by the surety.
• Bond kept in force for as long as the contractor works in Grovetown.

Georgia Commercial General Contractor ($20,000) Bond FAQs:

Official and Additional Resources for the Georgia Commercial General Contractor ($20,000) Bond: