What are Bonding Levels?
A “Bond” is a written instrument executed by a bidder or contractor (the “principal”) and a second party (the “surety” or “sureties”) to assure fulfillment of the principal’s obligations to a third party (the “obligee” or “government”) identified in the bond. If the principal’s obligations are not met, the bond assures payment, to the extent stipulated, of any loss sustained by the obligee. Whether for service type contracts or construction, bonding levels assure the U.S. Government that prospective contractors are capable of fulfilling its requirements. Additional information about bonds may be found in the Federal Acquisition Regulation (FAR) Part 28: http://farsite.hill.af.mil/vffara.htm. If your company is from an industry that normally does not require bonding in order to bid on contracts, please leave the Bonding Level section blank. When entering Bonding Levels, you may enter any or all fields. They are not dependent on each other.
