Surety Bond Encyclopedia

Water Treatment Equipment Installation Contractor ($10,000) Bond - City of Amarillo, TX in Texas

Brief Summary

Amarillo will not register a water treatment installer without this $10,000 bond, and the registration lapses one year from the day it is issued. Keep the bond renewed on the same date and you stay on the city's registered contractor list without paying $10,000 in cash to do it.

The City of Amarillo requires a flat $10,000 License and Permit Surety Bond from every water treatment equipment installation contractor who registers with the city under Code Sec. 4-1-110. The bond runs to the City of Amarillo and to the owner of the property where the work is done, lasts one year, and is filed with the $66 annual registration fee. A state water treatment specialist license, now issued by the Texas Commission on Environmental Quality, is required first.

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How to Apply for a Water Treatment Equipment Installation Contractor ($10,000) Bond:

  • Hold a current TCEQ water treatment specialist license at the class your work requires.
  • Use your legal name or business name exactly as it will appear on the Amarillo contractor registration.
  • Complete the bond application and review the quoted premium.
  • Pay the premium and receive the executed $10,000 License and Permit Surety Bond on the City of Amarillo contractor bond form.
  • File the bond with Amarillo Building Safety along with the registration and the $66 annual fee.
  • Renew the bond and registration each year before the one-year anniversary of your registration date.
  • Pull a plumbing permit for any installation that modifies the existing cold water distribution supply.

Detailed Information About the Texas Water Treatment Equipment Installation Contractor ($10,000) Bond:

Who needs the bond

Amarillo's contractor registration ordinance, Section 4-1-110 of the Code of Ordinances, bars anyone from installing, altering, repairing, relocating or replacing residential water treatment equipment unless they hold the state water treatment certification and have registered it with the city. Registration carries a $10,000 bond set by Table 4-1-110. The amount is flat. There are no tiers by job size or company size.

The code still says the certification comes from the Texas Department of Health. That program now sits with the Texas Commission on Environmental Quality, which issues Class I, II and III water treatment specialist licenses under 30 TAC Chapter 30, Subchapter H.

Who the bond protects

The bond is payable to the City for the use and benefit of either the City or the property owner. The city's bond form binds the contractor to the City of Amarillo and to the owner of the property for whom the work is being done. A homeowner damaged by the contractor's failure to perform can file a claim, and so can the City for violations of the construction codes.

The insurance exemption does not help you

Section 4-1-110 says that when the State requires liability insurance, the City will not require another insurance policy or bond. That is why state licensed plumbers post no city bond. The state does not require liability insurance for water treatment specialists, and the city's own contractor table lists this category with a $10,000 bond and no insurance requirement. So the exemption does not apply here.

Term and renewal

The bond form is effective for one year from its date, and every registration under Section 4-1-110 expires one year from the date of registration. The registration fee is $66 per year. Renew the bond and the registration together so neither lapses.

A permit is still needed on some jobs

Registration does not replace the plumbing permit. The city's plumbing permit form states that a type III license is required to install domestic water treatment and filtering equipment that requires modifying an existing cold water distribution supply, and that the work needs a permit and an inspection.

Eligibility and Requirements for a Texas Water Treatment Equipment Installation Contractor ($10,000) Bond:

  • Bond amount of exactly $10,000, flat, set by Amarillo Code Table 4-1-110.
  • Obligee: the City of Amarillo, Texas, and the owner of the property where the work is done.
  • City of Amarillo contractor license bond form referencing Section 4-1-110.
  • Bond term of one year, matching the one-year contractor registration.
  • State water treatment specialist license issued by TCEQ.

Texas Water Treatment Equipment Installation Contractor ($10,000) Bond FAQs:

Is the bond amount the same for every installer?

Yes. Table 4-1-110 sets a flat $10,000 for water treatment equipment installation contractors. It does not change with company size or job value.

Plumbers in Amarillo don't post a bond. Why do I?

Section 4-1-110 waives the city bond when the State already requires liability insurance, which it does for plumbers. The State has no insurance requirement for water treatment specialists, so the city bond stands.

Who can make a claim on the bond?

The property owner, if damaged by your failure to perform, and the City of Amarillo, for violations of the construction codes.

How long does it last?

The city bond form runs one year from its date, and your registration expires one year from the date you registered. Renew both on the same schedule.

Do I still need a permit once I'm registered?

For some jobs, yes. The city's plumbing permit form requires a permit, an inspection and a type III license when a domestic water treatment or filter installation modifies the existing cold water supply.

What will the bond cost?

The surety sets the premium based on the $10,000 bond amount and your credit and claims history. The city does not set it. Apply to see your actual quote.

Official and Additional Resources for the Texas Water Treatment Equipment Installation Contractor ($10,000) Bond:

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