07 LC
25 4611
House
Bill 134
By:
Representatives England of the
108th,
Heard of the
104th,
Coan of the
101st,
and Benton of the
31st
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Part 2 of Article 3 of Chapter 91 of Title 36 of the Official Code of
Georgia Annotated, relating to bid bonds for public works bidding for local
governments, so as to change certain provisions relating to cash in lieu of bid
bonds and letters of credit; to change certain provisions relating to acceptable
substitutes for bonds; to repeal conflicting laws; and for other
purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Part
2 of Article 3 of Chapter 91 of Title 36 of the Official Code of Georgia
Annotated, relating to bid bonds for public works bidding for local governments,
is amended by revising subsection (b) of Code Section 36-91-51, relating to cash
in lieu of bid bonds and letters of credit, as follows:
"(b)
When the amount of any bid bond required under this article does not exceed
$300,000.00
$750,000.00,
the governmental entity may, in its sole discretion, accept an irrevocable
letter of credit issued by a bank or savings and loan association, as defined in
Code Section 7-1-4, in the amount of and in lieu of the bond otherwise required
under Code Section 36-91-50."
SECTION
2.
Said
part is further amended by revising Code Section 36-91-71 of the Official Code
of Georgia Annotated, relating to acceptable substitutes for bonds, as
follows:
"36-91-71.
When
the amount of the performance bond required under this article does not exceed
$300,000.00
$750,000.00,
the governmental entity may, in its sole discretion, accept an irrevocable
letter of credit by a bank or savings and loan association, as defined in Code
Section 7-1-4, in the amount of and in lieu of the bond otherwise required under
this article."
SECTION
3.
All
laws and parts of laws in conflict with this Act are repealed.