The contractors licensed by Montana at the state level do not have to purchase a bond as a condition for licensing. However, local contracting authorities that have their own licensing process may require a contractor license bond.
Montana’s “Little Miller Act,” requires contractors to furnish project owners with performance bonds and payment bonds before they can enter into a contract for a state-funded construction project valued above a certain threshold amount. Although privately funded construction projects aren’t subject to the Little Miller Act, many private project owners are requiring performance and payment bonds, particularly for higher value projects. When selecting a contractor through competitive bidding, any project owner can require a bid bond from each bidder.
Other construction bonds that may be required in Montana include:
- Maintenance bonds
- Subdivision/site improvement bonds
- Supply bonds
- Solar decommissioning bonds
- Right of Way bonds
