Is there a set amount of time for review/approval of Payment and Performance Bonds for Construction?
Bonds are covered in FAR 28.1 and prescribe FAR Clause 52.228-15. Paragraph (c) of that clause states that the time for submitting approvable bonds is that stated in the solicitation (which varies since the bonds must be for 100% of the value of the contract which is not known until after award) but in no case can you allow the contractor to start work without having approvede bonds (c) Furnishing executed bonds. The Contractor shall furnish all executed bonds, including any necessary reinsurance agreements, to the Contracting Officer, within the time period specified in the Bid Guarantee provision of the solicitation, or otherwise specified by the Contracting Officer, but in any event, before starting work.
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This difference between award and starting work is a unique aspect of construction contracting and is referred to as the Notice to Proceed. Bonds are one of the many aspects of law that must be attended to before allowing a construction contractor to proceed onton the jobsite.