Before getting construction started in “The Oldest Town in Texas”, contractors need to file a $5,000 Contractor Bond or a $2,000 Sign Contractor Bond with the City of Nacogdoches. These surety bonds are used as a financial guarantee that contractors will uphold building regulations and protect the structural integrity of the City.
You can buy your Nacogdoches Contractor Bond for as little as $10 with monthly payments or $100 for a year.
Bond Term | Cost |
---|---|
Monthly | $10 |
1 Year | $100 |
2 Years | $175 |
3 Years | $250 |
Once your payment goes through, Jet will get your Contractor Bond ready and mail it either straight to the City or to you so you can file it yourself. When you are submitting your bond, it must be sent to:
City of Nacogdoches
Code Compliance
202 E Pilar, Room 239
Nacogdoches, TX 75963
The Contractor Bond in Nacogdoches must be active during the entire licensing period of October 31st to September 30th. However, a sign contractor has a licensing period of December 31st to December 30th. You need to have a current bond in order to continue working as a general contractor or sign contractor.
These bonds are used by the City to keep contractors from running around leaving jobs incomplete or other reckless behavior, like using low-quality materials. Let’s say you are a contractor who abandons a site, you are still liable for the work being done. If the customer needs to hire another contractor to complete construction, they can seek compensation from your Contractor Bond. The bond makes sure that the customer doesn’t lose money from your failure.
Once the bond claim is paid out, you are obligated to pay Jet back in the amount of the payout. You are ultimately responsible for your actions and will need to restore the bond to continue working. This applies to both the General Contractor Bond and the Sign Contractor Bond.