§ 17-103
143 words·~1 min read·
/md/state-finance-and-procurement/17-103·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§17–103.
(1)Before a public body awards a construction contract exceeding the small procurement amount specified in § 13–109 of this article for construction, the contractor shall provide payment security and performance security that meet the requirements of § 17–104 of this subtitle.
(2)The security shall be:
(i)for performance security, in an amount that the public body considers adequate for its protection; and
(ii)for payment security, at least 50% of the total amount payable under the contract.
(b)A public body, other than the State or a unit of the State government, may require payment security or performance security for a construction contract if:
(1)the contract exceeds $100,000 but does not exceed the small procurement amount specified in § 13–109 of this article; and
(2)the amount of the security does not exceed 50% of the contract amount.