Bond guide

Public works bond laws: the Miller Act and state statutes

Public construction in the United States runs on bonds, required by federal and state law.

The federal Miller Act

The Miller Act, codified at 40 U.S.C. §§ 3131–3134, requires performance and payment bonds on federal construction contracts above the threshold in the Federal Acquisition Regulation. It also sets notice and suit deadlines for payment bond claimants.

State statutes in our ten states

StatePublic works bond statute
WashingtonRCW 39.08 (contractor's bond)
OregonORS 279C.380 (performance and payment bonds)
IdahoIdaho Code § 54-1926 (public works contractor bonds)
NevadaNRS 339.025 (contractor's bonds on public works)
ArkansasArkansas's public works bond requirements are set by state law; check the bid documents and the state code
ArizonaA.R.S. § 34-222 (performance and payment bonds)
South DakotaSDCL chapter 5-21 (bonds of contractors for public improvements)
PennsylvaniaPublic Works Contractors' Bond Law of 1967 (8 P.S. § 191 et seq.)
TexasTexas Government Code chapter 2253 (public work performance and payment bonds)
IndianaIndiana's public works bond requirements are set by state law; check the bid documents and the state code

Statute names are provided for reference; read the current text and your bid documents.

Thresholds, notice periods, and claim deadlines differ by state and sometimes by agency. Always read the bid documents and the statute, and consult a construction attorney about specific claims.

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Frequently asked questions

What is the Miller Act?

A federal law requiring performance and payment bonds on federal construction contracts above a threshold set in the Federal Acquisition Regulation.

What is a Little Miller Act?

A state law requiring bonds on state and local public works, modeled on the federal statute.

Do thresholds vary?

Yes, by state and sometimes by type of public entity. Check the statute and the bid documents.

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Last updated October 15, 2026 · How we research