§228.102-1. General.
48 C.F.R. § 228.102-1
The requirement for performance and payment bonds is waived for cost-reimbursement contracts. However, for cost-type contracts with fixed-price construction subcontracts over $40,000, require the prime contractor to obtain from each of its construction subcontractors performance and payment protections in favor of the prime contractor as follows:
For fixed-price construction subcontracts over $40,000, but not exceeding $150,000, payment protection sufficient to pay labor and material costs, using any of the alternatives listed at FAR 28.102-1(b)(1).
For fixed-price construction subcontracts over $150,000—
A payment bond sufficient to pay labor and material costs; and
A performance bond in an equal amount if available at no additional cost.
Notes, amendments, and revision history
Amendments
[68 FR 36945, June 20, 2003, as amended at 71 FR 75892, Dec. 19, 2006; 75 FR 45074, Aug. 2, 2010; 80 FR 36904, June 26, 2015; 85 FR 61504, Sept. 29, 2020]
Authority
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
Source
Source: 56 FR 36404, July 31, 1991, unless otherwise noted.
Amendments
[68 FR 36945, June 20, 2003, as amended at 71 FR 75892, Dec. 19, 2006; 75 FR 45074, Aug. 2, 2010; 80 FR 36904, June 26, 2015; 85 FR 61504, Sept. 29, 2020]