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California bonds

San Diego, CA — Improvement Agreement Bond

Prepare San Diego improvement agreement security from the city's project agreement and DS-402 form. The form has distinct faithful-performance and payment obligations, so the project identity and required sums must be confirmed before purchase.

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Recorded state
California
Bond type
Subdivision / Site Improvement Bond
Category
Contractors & construction

What this bond does

This offering supports an improvement agreement with the City of San Diego. The city's resource identifies the bond with subdivision or deferred improvement agreements, rather than a general contractor license.

Who needs it
A developer or other principal required to provide security for work under a City of San Diego improvement agreement.
Who it protects
DS-402 distinguishes the city's faithful-performance interest from payment interests involving contractors, subcontractors, equipment, labor, materials and the state's unemployment insurance interest where applicable. Read each obligation and its limit separately.

Your bond option

This is the option on record for this bond.

The bond amount describes the limit of the bond obligation, not the price. A listed amount does not establish what the requesting party requires. The premium is what you pay and must be confirmed for the actual option. An E&O limit, where listed, is separate errors and omissions insurance.

Match the city agreement and project

The form asks for the agreement date and project identification and incorporates the work and specifications described in that agreement. The principal must match the party undertaking those obligations.

Have the city-approved agreement and security calculation available. A grading permit, a building permit and an improvement agreement are not automatically the same obligation, even when they relate to one development.

Review performance and payment separately

The posted form displays separate 100% amount fields for faithful performance and payment. It does not provide a fixed dollar sum for every development or a provider premium.

Ask the city what calculation basis and figures belong in each field. The payment condition includes unpaid work, supplies and other listed obligations; the performance condition addresses carrying out the improvement agreement. Do not combine the printed percentages into an invented checkout amount.

Purchase and retain the completion records

Purchase Now opens the supplied improvement agreement offering. Provide the city's current form, agreement, principal name, and accepted sums for provider review.

File the executed security with the city and follow its completion and release process for each obligation. DS-402 includes a notice-of-completion-related payment release provision with conditions, so final construction work or a provider receipt should not be treated as automatic release of the whole bond.

Sources

Have these ready

  1. Collect the improvement agreement and project identification.
  2. Confirm the principal exactly matches the contracting party.
  3. Get the city's separate performance and payment sums.
  4. Keep accepted execution, completion and release documentation together.

Questions about this bond

Is this a San Diego contractor license bond?

No. This bond concerns a city improvement agreement. Licensing and unrelated permit obligations need their own matching security.

Why are there two amount fields?

DS-402 separately addresses faithful performance and payment interests. Have the city confirm each required figure and calculation basis.

Do the 100% fields show the provider's price?

No. They describe security in the city form, not the premium charged by the provider or the amount selected for an application.

Is the whole bond released when work is done?

Follow the city's conditions and separate release process. The form's payment provision refers to completion-related documentation and conditions, not unconditional release at the last day of work.

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