Nevada § 408.357 - Bids and bidders: Bonds required of successful bidders; exception; conditions; sureties

§ 408.357. Bids and bidders: Bonds required of successful bidders; exception; conditions; sureties

1. Except as otherwise provided in NRS 408.354 , every contract must provide for the filing and furnishing of one or more bonds by

the successful bidder, with corporate sureties approved by the Department and authorized

to do business in the State, in a sum equal to the full or total amount of the contract

awarded. The bond or bonds must be performance bonds or labor and material bonds, or both. 2. The performance bonds must: (a) Guarantee the faithful performance of the contract in accordance with the plans,

specifications and terms of the contract. (b) Be maintained for 1 year after the date of completion of the contract. 3. The labor and material bonds must: (a) Secure payment of state and local taxes relating to the contract, premiums under

the Nevada Industrial Insurance Act, contributions under the Unemployment Compensation

Law, and payment of claims for labor, materials, provisions, implements, machinery,

means of transportation or supplies furnished upon or used for the performance of

the contract; and (b) Provide that if the contractor or his or her subcontractors, or assigns, fail

to pay for such taxes, premiums, contributions, labor and materials required of, and

used or consumed by, the contractor or his or her subcontractors, the surety shall

make the required payment in an amount not exceeding the total sum specified in the

bond together with interest at a rate of 8 percent per annum. All such bonds must be otherwise conditioned as required by law or the Department. 4. No person bidding for work or submitting proposals under the provisions of this

chapter may be accepted as surety on any bond. 5. Whenever the Department has cause to believe that the sureties or any of them have

become insufficient, it may demand in writing of the contractor such further bonds

or additional sureties, in a total sum not exceeding that originally required, as

are necessary, considering the extent of the work remaining to be done. Thereafter no payment may be made upon the contract to the contractor or any assignee

of the contractor until the further bonds or additional sureties have been furnished. 6. The Department in every contract may require the furnishing of proof by the successful

bidder of public liability and insurance coverage for damage to property.