In Vermont, only electrical and plumbing contractors are licensed at the state level. Some municipalities license other types of contractors, which may carry a requirement for the purchase of a contractor license bond.
Vermont’s “Little Miller Act,” the state’s version of the federal Miller Act, requires performance bonds and payment bonds for all state-funded projects in an amount equal to the project’s value. However, the bond requirement can be waived for projects valued at less than $100,000. Private construction projects are not subject to Vermont’s Little Miller Act. But, it’s common for private project owners to require performance and payment bonds from their contractors. Public and private project owners alike may require contractors competing for a job through competitive bidding to furnish a bid bond.
Other construction bonds that contractors doing business in Vermont may need to purchase include:
- Maintenance bonds
- Subdivision/site improvement bonds
- Supply bonds
- Solar decommissioning bonds
- Right of Way bonds
- Contractor License bonds
