When a construction, maintenance, operations and maintenance, design-build-finance-operate- maintain contract (or a variation thereof) is awarded in excess of $50,000, the following bonds or securities shall be delivered to the city and shall become binding upon the parties upon the execution of contract:
(A) A performance bond satisfactory to the city, executed by a surety company authorized to do business in the city or otherwise secured in a manner satisfactory to the city, in an amount equal to 100% of the contract price; and
(B) A payment bond satisfactory to the city, executed by a surety company authorized to do business in the State of Connecticut or otherwise secured in a manner satisfactory to the city, for the protection of all persons supplying labor and material to the contractor or its subcontractors for the performance of the work provided for in the contract. The bond shall be in an amount equal to 100% of the portion of the contract price that does not include the cost of operation, maintenance and finance.
(Ord. passed 6-20-2005)