Bids shall be accompanied by a bid guaranty in the form of a bid bond issued by a surety company licensed to do business in the State of Tennessee. The amount of the bid bond shall be ____________-or ______% of bid total. A cashier’s check or certified check made payable to the State of Tennessee in the above amount will also be acceptable. Personal checks are not acceptable in the place of bid bonds. The bid guaranty of the successful bidder will be retained until he has furnished a satisfactory performance bond in the amount of _____________ - or ____ % of bid total. Personal checks are not acceptable in the place of performance bonds, however, banks’ cashiers’ checks will be accepted. An irrevocable letter of credit, which shall be held by the Central Procurement Office, from a state or national bank or a state or federal savings and loan association having its principal office in Tennessee may be accepted by the department in lieu of a performance bond, subject to approval of the terms and conditions of said irrevocable letter of credit. If the successful bidder fails to deliver the required performance bond within ten (10) working days of notification of intent to award, the Central Procurement Office will proceed against the bid bond. The bid bond guaranty of each unsuccessful bidder will be returned immediately after the award has been made. The performance bond will insure performance over the entire term of the contract and where appropriate may be reduced proportionately over the term of the contract at the discretion of the state. Attach the bid bond to the front of the invitation to bid. The Central Procurement Office will issue, upon vendor request, a letter of intent to award which may be a requirement of a surety company.
The successful bidder(s) will be required to furnish a surety bond in the amount of twenty-five percent (25%) of the contract price on all contracts in excess of Twenty-five thousand dollars ($25,000). Such bond shall be furnished to the Central Procurement Office within ten (10) working days after the request. The surety bond will insure that the contractor will pay for all the labor and materials used by the contractor, or any immediate or remote subcontractor under the contractor, in such contract, in lawful money of the United States.
|General Procurement Information:||615-741-1035|