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Stimulus Law Opens the Door to More Bonding

Publication Date: 2/25/2009
Author: Bruce Buckley
Format: HTML

Small contractors may see expanded bonding opportunities as they pursue work under the American Recovery and Reinvestment Act of 2009. The measure temporarily increases guarantees in the Small Business Administration bond program and offers more enticing conditions for sureties to work with the program. The stimulus boosts SBA guarantee limits from $2 million to $5 million and gives SBA contracting agents authority to hike the limit up to $10 million. The changes are effective only through Sept. 30, 2010. The legislation also adds $15 million to SBA’s surety-bond revolving fund.

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