Originally called the Heard Act when first established back in the late 19th century, the current Miller Act was put into place in 1935 and serves to protect materials and service providers. It protects the Federal government from irresponsible contractors who bid on jobs and don’t fulfill their responsibilities. It requires all contractors to carry two types of bonds to ensure the contracted party (the government) and any subcontractors or suppliers used can file liens or bond claims should a job not get finished.

If you’re a contractor looking to bid on a government job, you’ll have to abide by this act. Additionally, when you’re bidding on a state contract in Nevada, you’ll be beholden to Nevada’s state “Little” Miller Act. Learn about the Nevada Little Miller Act, what it requires, how you can stay in compliance with these requirements and where to get bonded.

The Federal Miller Act

Under the Federal Miller Act, any business bidding on a construction, repair or alteration project involving buildings or public works under the Federal government, is required to be properly bonded. If the contract is more than $100,000 (or $150,000, in some cases), you will have to carry two types of bonds.

The first of these is a performance bond. This ensures that if the contractor abandons or fails to complete a job, the government can file a claim to recoup their losses from the failed work. The second is a payment bond. This bond covers subcontractors and material suppliers in the same way. They’re guaranteed they will be paid for their goods and services regardless of whether the job is completed.

State Little Miller Acts

At the state level, Little Miller Acts exist that are based on the Federal statute and require the same sort of bond coverage for projects at a certain value at the state level. In general, these tend to require coverage for projects at a much lower value than the Federal statute does, but contractors are required to abide by the more stringent of the two acts.

Nevada Little Miller Act

In Nevada, the Little Miller Act allows state agencies, subcontractors and suppliers with whom you are contracted to file a bond claim should you fail to complete the responsibilities for which you are contracted. It is found in the Nevada statutes, Title 28, Chapter 339.

The Nevada Little Miller Act is roughly the same as the Federal Act, requiring performance and payment bonds for all jobs exceeding $100,000 in value, covering construction, reconstruction or repair of public works, public buildings or public improvement projects. The bond is set by the contracting body, but will not be lower than 50% of the total contract amount.

Getting Bonded

If you’re a contractor in Nevada and you need help or more information about what it takes to abide by the Nevada Little Miller Act, National Surety Services, Inc., can help. Learn more about our fast and easy bonding process, and get in touch with us to get started today!