Payment Bond Thresholds

Each state has its own statutes requiring payment bonds on construction projects. Some statutes may require that the general contractor obtain a payment bond on every construction project, and other states may only require a payment bond when the total value of the construction project exceeds a certain threshold.  Additionally, the states vary in their requirements for the penal sum of the bond.  The following is a guideline for public and federal projects.  Please be aware that in some states, special statutes may apply for governmental entities not listed.