---
title: "Texas Construction: Public Projects Notices & Bond Claims - NCS Credit"
description: Furnishing to a public project in Texas? Well saddle up! Let’s review the notice and bond claim requirements for Texas public projects.
---

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# [Texas Construction: Public Projects Notices & Bond Claims - NCS Credit](https://www.ncscredit.com/education-center/blog/texas-public-projects-notices-bond-claims)

 Written by [wpengine](https://www.ncscredit.com/education-center/blog/author/wpengine) | Jan 17, 2020 12:00:06 PM

## Notices and Bond Claims for Texas Public Constructions Projects

Furnishing to a public project in Texas? Well saddle up, today’s post is just for you! Let’s review the notice and bond claim requirements for **Texas public projects.**

#### Are Payment Bonds Required?

Generally, payment bonds are required for Texas public projects when the general contract exceeds **$25,000**, and on municipal projects or DOT projects, bonds are required for contracts exceeding** $50,000**.

Always attempt to obtain a copy of the payment bond from the public entity which contracted the project.

#### Notices? There’s a Few

**Notice of Retainage**

Does your contract call for retainage? Serve notice of retainage upon the prime contractor no later than the **15th day of the second month** following first furnishing materials or services, stating the total dollar amount to be retained and the general nature of the retainage agreement.

**Notice of Specially Fabricated Materials**

Are your materials specially fabricated? A Notice of Specially Fabricated Materials **may protect the right to serve a bond claim if the materials are not incorporated into the project**. Serve notice upon the prime contractor no later than the **15th day of the second month** in which claimant received and accepted the order.

**Notice of Non-Payment**

If you are contracting with a subcontractor, you should **serve notice upon the prime contractor no later than the 15th day of the second month** following **each** month in which materials or services were furnished. If you are contracting with the prime contractor, no notice of non-payment is required.

#### Bond Claim aka Sworn Statement of Account

Serve bond claim notice (sworn statement of account) upon the prime contractor and surety no later than the **15th day **of the **third month **following **each month **in which materials or services were furnished. When serving a bond claim notice for only retainage, serve bond claim notice within **90 days** from completion of the public work contract.

You should serve the various notices & bond claim via **certified** mail; **spring for the extra $ and add on return receipt**.

Amanda Garza reviews who should be served and at what address in her article Perfecting Bond Claims on Public Projects in Texas.

*Notices to the prime contractor must be sent to the prime contractor’s: (1) residence or (2) last known address. *

*Notices to the surety must be sent to the surety:*

*(1.) at the address stated on the bond or on an attachment to the bond;  
 (2.) at the address on file with the Texas Department of Insurance; or  
 (3.) at any other address allowed by law.*

#### Bonus: A Lien on Funds? Maybe!

When contracting directly with the prime contractor on a **public project that does not exceed $25,000.00, a lien on funds may be available**. If contracting directly with the prime contractor on a public project for a municipality or a joint board created under the Transportation Code, that does not exceed $50,000.00, a lien on funds may be available.

You should serve a Lien on Funds upon the public entity and the prime contractor no later than the **15th day** of the **second month** following the month in which materials or services were furnished.

[View full post](https://www.ncscredit.com/education-center/blog/texas-public-projects-notices-bond-claims)

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