Subdivision 1. Definition. For the purposes of this section and section 574.264, "natural resource development project" includes site preparation by discing, shearing, rock raking or piling, patch scarification, or furrowing; prairie restoration; creation of wildlife openings and other wildlife habitat improvements; landscape clearing; tree planting; tree seeding; tree pruning; timber stand improvement by thinning or clearing existing forest trees by manual, mechanical, or chemical techniques; or construction, reconstruction, and maintenance of Department of Natural Resources trails, public accesses, water control structures, fish barriers, sewage treatment systems, roads, and bridges.
Subd. 2. Contractor's bond. A contract with the state for a natural resource development project may require a performance bond at the discretion of the commissioner of natural resources. If the commissioner determines that a performance bond is required, it shall not be less than five percent of the contract price.
Subd. 3. Bid deposit in place of performance bond. For a contract made by the commissioner for a natural resource development project, the commissioner may require a bid deposit in place of a performance bond for charges that may accrue because of doing the specified work and to enforce the terms of the contract. The commissioner may set the amount of the bid deposit, but it may not be less than five percent of the contract price.
Subd. 4. Payment bond. A contract with the state for a natural resource development project may require a payment bond at the discretion of the commissioner of natural resources. If the commissioner determines that a payment bond is required, the commissioner also has the discretion to decide whether the bond may be in the form of securities in place of a bond as provided in section 574.264. If so, the securities cannot have less value than five percent of the contract price.
1985 c 112 s 3; 1994 c 419 s 4,5; 1999 c 231 s 189
Structure Minnesota Statutes
Chapters 570 - 583 — Postjudgment Remedies; Alternative Dispute Resolution; Bonds
Chapter 574 — Bonds, Fines, Forfeitures
Section 574.01 — Bonds, Requisites And Execution.
Section 574.03 — Payment Of Premium.
Section 574.04 — Surety Bonds To Federal Government.
Section 574.05 — Liberty Loan Bonds Security.
Section 574.06 — Deposit Of Securities.
Section 574.07 — Market Value.
Section 574.08 — Protection Of Pledge On Commencing Action.
Section 574.09 — Additional Security.
Section 574.10 — Notice Of Claim.
Section 574.11 — Receivers' Bonds To Run To State.
Section 574.12 — Modes Of Justification.
Section 574.13 — State And County Officers; Uniform Bond.
Section 574.14 — Bonds Executed Under Other Provisions.
Section 574.15 — Surety Companies.
Section 574.16 — Surety, Subrogation.
Section 574.17 — Sureties For Part Of Penalty.
Section 574.18 — Undertaking In Lieu Of Bond.
Section 574.19 — Cost Of Surety Bonds; Proper Expense Items.
Section 574.20 — Bonds, By Whom Approved.
Section 574.205 — Bonds; State Officials And Employees Excluded.
Section 574.21 — Place Of Filing Bonds.
Section 574.22 — Court Proceedings.
Section 574.23 — Examination Of Accounts Of Public Officers.
Section 574.24 — Official Bonds, Security To Whom; Actions.
Section 574.25 — Leave To Bring Action; Endorsement On Execution.
Section 574.26 — Contractors' Bonds For Public Work.
Section 574.261 — Public Work; Security.
Section 574.262 — Small Business.
Section 574.263 — Natural Resource Development Projects.
Section 574.264 — Natural Resource Project; Security.
Section 574.27 — Bidders To Have Right Of Action In Certain Cases.
Section 574.28 — Approval And Filing Of Bond.
Section 574.29 — Failure To Get Payment Bond.
Section 574.30 — Insolvent Or Insufficient Sureties.
Section 574.31 — Limit Of Time To Bring Action.
Section 574.32 — Application Of Payments.
Section 574.33 — Actions For Fines, Forfeitures, And Penalties; Collusion.
Section 574.34 — Fines, How Disposed Of.
Section 574.35 — Prosecution For Fines; Court; Commitment.