The State of Oregon requires a surety bond to obtain a contractors license. The state requires ” anyone who works for compensation in any construction activity involving improvements to real property to be licensed with the Oregon Construction Contractors Board (CCB). This includes roofing, siding, painting, carpentry, concrete, on-site appliance repair, heating and air conditioning, home inspections, tree service, plumbing, electrical, floor covering, manufactured dwelling installations, land development and most other construction and repair services. :” . And, A CCB license is also required for:
- those who purchase homes, fix them up themselves and resell them.
- material suppliers that receive compensation for installing or arranging the installation of the materials.
This blog will concentrate on the surety bond requirement for residential contractors in Oregon and tomorrow we will take a look at the bond requirement for commercial contractors. Some States, like California for instance, require all licensed contractors to have a valid surety bond in the amount of $12,500 as one of the license requirements.
Oregon, however, requires a different contractors license bond depending on the type and scope of work the contractor is doing. Contractors with a residential endorsement on their license may perform work on
Residential Structures and Small Commercial Structures only. Residential structures are defined by the Oregon CCB as:
- Site built homes
- Structure with one or more dwelling units, four stories or less above grade
- Condominium, rental or other residential unit that is part of a larger separate structure or separate property interest
- Modular homes
- Manufactured dwelling or
- Floating home
The Oregon CCB defines small commercial construction as:
- Non-residential structure, area less than or equal to 10,000 square feet and not more than 20 feet high
- Non-residential unit part of larger structure, area less than or equal to 12,000 square feet and not more than 20 feet high
- Non-residential residential structure structure, any size, costs less than $250,000 for contract price of construction
The Surety Bond requirment for contractortrs with a residential enorsement are as follows:
- Residential General Contractor (RGC) – $20,000
- Residential Specialty Contractor (RSC) $15,000
- Residential Limited Contractor (RLC)$10,000
- Residential Developer (RD)$20,000
Surety1 provides all four of thees surety bonds at very competitive rates with approvals in as little as an hour. It is very easy to apply on line for an Oregon Contractors License bond.