Surety Bond Encyclopedia

Mechanical HVAC Contractor ($10,000) Bond - City of Dayton, OH in Ohio

Brief Summary

Your Ohio heating contractor license does not cover you in Dayton by itself. The city also requires its own contractor registration, and no one can register without a $10,000 surety bond naming the City of Dayton. The bond is quick to issue, and once it is on file with the Chief Building Official you can finish the registration and start pulling mechanical permits.

Dayton requires a $10,000 surety bond from every heating and cooling contractor before it will register them to work in the city. Section 114.401 of the Revised Code of General Ordinances calls for the bond to run to the city as obligee, be written by a surety licensed by the state, and be filed with the Chief Building Official. Registration costs $400 for a two year term or $250 for one year or less, and renews on January 1.

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How to Apply for a Mechanical HVAC Contractor ($10,000) Bond:

  • Current Ohio heating contractor's specialty license issued under Chapter 4740 of the Ohio Revised Code.
  • Legal name of the person, firm or corporation exactly as it will appear on the Dayton registration.
  • Owner information for the surety's credit review.
  • Executed $10,000 surety bond naming the City of Dayton as obligee.
  • Certificate of insurance meeting the minimums in section 114.40.
  • Bond filed with the Chief Building Official and the registration fee paid: $400 for the two year term, or $250 for one year or less.

Detailed Information About the Ohio Mechanical HVAC Contractor ($10,000) Bond:

A state license is not enough in Dayton

The most common assumption is that an Ohio heating contractor license from the Ohio Construction Industry Licensing Board lets you work anywhere in the state. Dayton keeps its own registration on top of that license. Section 114.36 of the Revised Code of General Ordinances requires every warm air heating contractor to secure a city registration before doing any work, and section 114.401 says no one may engage in that business without first filing a $10,000 surety bond with the Chief Building Official.

Ohio law allows this. Ohio Revised Code 4740.12 lets a city require registration and a fee from heating, ventilating and air conditioning tradespersons, as long as the city also requires the state license. Dayton does exactly that. Section 114.38 asks every applicant to show a heating contractor's specialty license issued under Chapter 4740 of the Revised Code.

Warm air heating means heating and cooling

The city code uses the older title warm air heating contractor, but section 114.30 defines it as anyone engaged in installing, repairing, altering or adding to mechanical systems for heating and/or cooling within the city. A mechanical system includes any heating system, furnace, air conditioning, air handling, heat pump, boiler system, solar system, stoker, conversion burner, thermostat or blower equipment. If you do HVAC work in Dayton, this registration and this bond apply to you.

The bond and the insurance are separate

The $10,000 bond is a flat amount with no tiers. It names the City of Dayton as obligee and must come from a surety company licensed by the state. Section 114.40 adds a separate insurance requirement. The minimums are $100,000 each person, $300,000 each accident and $300,000 completed operations for public liability, and $50,000 each accident, $100,000 aggregate for operations and $100,000 aggregate for completed operations for property damage. A certificate of insurance does not replace the bond.

Fees, term and renewal

Under section 114.41 the registration fee is $400 for a two year term running from January 1 through December 31 of the following year, or $250 if the registration is for one year or less. Registrations renew biennially on January 1 under section 114.42. A contractor who lets the registration lapse for more than 30 days must show a current state heating contractor's specialty license before it is reissued. Keep the bond in force for as long as you hold the registration.

Who is exempt

Section 114.48 exempts public utilities, government departments, and an individual working on a mechanical system in a single family home that he or she owns and occupies, or is building for his or her own use. Working without a required registration is a misdemeanor of the third degree under section 114.99.

Confirm the current bond form and filing steps with the City of Dayton Division of Building Services before the bond is issued.

Eligibility and Requirements for a Ohio Mechanical HVAC Contractor ($10,000) Bond:

  • Bond amount of exactly $10,000 under Dayton R.C.G.O. 114.401.
  • City of Dayton named as obligee.
  • Surety company licensed by the State of Ohio.
  • Registration renewed biennially on January 1 under section 114.42.
  • Bond kept in force for the full registration term.

Ohio Mechanical HVAC Contractor ($10,000) Bond FAQs:

I already hold an Ohio HVAC license. Do I still need this bond?

Yes. Dayton requires its own registration for heating and cooling contractors, and the $10,000 bond must be on file with the Chief Building Official before you can engage in that business in the city. The state license is a prerequisite for the city registration, not a substitute for it.

The code says warm air heating contractor. Does that include air conditioning?

Yes. Section 114.30 defines the term to cover mechanical systems for heating and/or cooling, including air conditioning, heat pumps, boilers, air handling and thermostats.

How much is the Dayton registration and when does it renew?

The fee is $400 for a two year term or $250 for one year or less, under section 114.41. Registrations renew on January 1. If you are more than 30 days late, you must show a current state heating contractor's specialty license before the city reissues it.

Who does not need the registration?

Section 114.48 exempts public utilities, government departments, and an individual working on his or her own single family home that he or she owns and occupies or is building to live in.

What does the bond cost?

The surety sets the premium after reviewing the owner's credit. You pay the premium rather than depositing $10,000 with the city.

Official and Additional Resources for the Ohio Mechanical HVAC Contractor ($10,000) Bond:

Other City of Dayton, OH Surety Bonds in Ohio

Electric Contractor ($10,000)Pipe Laying Contractor ($10,000)Plumbing Contractor ($10,000)Sidewalk Builder ($3,000)Warm Air Heating Contractor ($10,000)

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