Revisions to Arkansas Building Authority Performance and Payment Bond Form

On behalf of the National Association of Surety Bond Producers (NASBP), a national trade association of firms employing surety bond producers, and the Surety & Fidelity Association of America (SFAA), a national trade association of insurance companies that are licensed to provide surety and fidelity bonds, we appreciate the opportunity to provide you with information on a possible approach to amending the existing Arkansas Building Authority Performance and Payment Bond, so it includes in one form agreement separate bond amounts for the performance bond and the payment bond. We reviewed the existing language of the form and have incorporated proposed modifications in the attached documents, representing comparative and clean versions. Although the preferred approach would be to have separate performance and payment bond forms, the intent of the proposed modifications is to provide clearly demarcated fill-in amounts for both the performance bond and the payment bond without dramatic changes to the existing form and operate as if separate forms were provided. Of course, the Arkansas Building Authority should consult with legal counsel to ensure that such proposed modifications comply with Arkansas law.

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