Township Council Meeting — Packet

18. 19. 20. 21. PERFORMANCE BOND The contractor shall post a Performance Bond for 100% of the contract price. PAYMENT BOND The contractor shall post a payment bond for 100% of the contract price to assure payment of all persons supplying labor and materials in the execution of work provided for in the contract. BID GUARANTEE The contractor shall post a bid guarantee bond for 10% of the bid price as assurance that the bidder will, upon acceptance of his/her bid, execute such contractual documents as may be required within the time specified. MAINTENANCE BOND Upon completion of projects the municipality involved will certify as to the acceptance of the job and will produce a maintenance bond prior to or at the time the final payment is requested. A percentage of the contract is usually held until the completion of the job. This is the retainage, which consists of the final payment request. If a maintenance bond is not secured by Contractor then the retainage will be held in lieu of maintenance bond, for a period of 1 year. The entire project file is reviewed prior to payment of final voucher assure compliance has been met with all Federal Labor Standards Provisions and the M & C procedures as set forth by this office. If items are missing, the contractor should be given written notice and a copy sent to the municipal contact person.