Bonding Assistance Program


To enhance and further the opportunity for Small and Disadvantaged Business Enterprises (SDBEs) to obtain bid, performance and payment bonds for transportation-related contracts emanating from the DOT, its grantees, recipients, their contractors and subcontractors.

General information about this opportunity
Last Known Status
Deleted 04/02/2020 (Archived.)
Program Number
Federal Agency/Office
Type(s) of Assistance Offered
Program Accomplishments
During the last 3 fiscal years, an average of 70 performance and payment bonds were issued annually, averaging a total of $15 million a year.
Public Law 97-449, 49 U.S.C. 332.
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
The recipient of a bond must be a certified DBE, minority-owned business enterprise or women-owned business enterprise. These certifications must be performed by an agency using DOT guidelines, 49 CFR Part 26. All firms certified by the Small Business Administration as 8(a) companies are eligible to participate in the DOT Bonding program.
Beneficiary Eligibility
Certified Minority, women-owned and disadvantaged business enterprises.
Application and supplemental information, including a certification letter from the recipient agency(s), using DOT guidelines 49 CFR Part 26.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Information and consultation is available from the Office of Small and Disadvantaged Business Utilization (OSDBU), Telephone: (202) 366-1169. This program is excluded from coverage under E.O. 12372.
Application Procedure
Completed applications should be submitted to Pilot Bonding Program Agents for underwriting and bonds are issued by one of DOT's Participating Sureties. Applicants may obtain a copy of the application and a list for the Pilot Bonding Agents on the OSDBU internet site at: or by contacting OSDBU.
Award Procedure
All bonds are approved and issued directly to the DBE by the Sureties.
Based upon bid or contract documents.
Approval/Disapproval Decision Time
Bonds are issued on-site by local agents as representatives of the Sureties.
Not applicable.
Bonds are issued on a project by project basis.
How are proposals selected?
Not applicable.
How may assistance be used?
The bonds are issued in support of transportation-related contracts. Transportation-related means a contract for the maintenance, rehabilitation, restructuring, improvement, or revitalization of any of the Nation's modes of transportation with any public or commercial provider of transportation or any Federal, State or local transportation agency.
What are the requirements after being awarded this opportunity?
Monthly, internal OSDBU reports; Reports to the Secretary of Transportation on all bond approvals.
DOT has the right to audit its accounts with the Participating Sureties.
OSDBU and the surety agents maintain records of current applicant files, such as approvals. Bond approvals will be maintained by the participating sureties, with a copy provided to DOT.
Other Assistance Considerations
Formula and Matching Requirements
Not applicable.
Length and Time Phasing of Assistance
Guarantees run to termination of bond (usually 1 year after completion of contract).
Who do I contact about this opportunity?
Regional or Local Office
Not applicable.
Headquarters Office
Office of Small and Disadvantaged Business Utilization, S-40, Office of the Secretary, Department of Transportation, 400 Seventh Street, SW., Washington, DC 20590. Contact: Bonding Manager. Telephone: (800) 532-1169 or (202) 366-2852. Website:
Website Address
Financial Information
Account Identification
(Guaranteed Surety Bonds) FY 02 $15,000,000; FY 03 est $15,000,000; and FY 04 est $15,000,000.
Range and Average of Financial Assistance
Average dollar amount of bonds issued is $330,000.
Regulations, Guidelines and Literature
Public Law 97-449, 49 U.S.C.332.
Examples of Funded Projects
Not applicable.


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