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The Bonds That Tie: Will A Performance Bond Require That A Surety Deliver A Certified Green Building?, Darren Prum, Lorilee Medders

Darren A. Prum

In 2006, the city of Washington, D. C. passed landmark legislation that introduced green building requirements for various types of structures into the jurisdiction over a five-year period. A noteworthy aspect of the legislation directed construction projects within the district to purchase green performance bonds up to $3 million to guard against a privately owned project’s failure to meet its green building aspirations. In essence, this law placed the burden of guaranteeing compliance with the government’s policy upon the contractors and sureties of a green building project.

Following the passage of this act, confusion amongst the construction industry and sureties …