Town of Pinetop/Lakeside - Bond Certificates

Bond Certificates

The following are guidelines for compliance with ARS 42-1305.02. This law requires that building authorities obtain a certificate from the Department of Revenue to ensure that the bonding requirement has been met prior to issuing any building permit for projects of $50,000.00 or more in value.

For projects of more than $50,000.00 in value, contractors must present one of the following types of certificates prior to being issued a building permit: the annual bond exemption certificate, a bond certificate one-time exemption, or a receipt for a bond identifying the location of the project. For contractors with the annual exemption certificate, please make sure to verify that the expiration date has not passed. Copies of valid certificates are attached for reference.
If the bond exemption has expired or the contractor does not have an exemption certificate, the contractor shall be advised to call the Department of Revenue at (602)542-4576 or (800)634-6494 toll-free.
If the contractor qualifies for exemption, a one-time exemption will be issued for the specific project for which the building permit is being requested. The one-time exemption will be faxed to the building authority and/or be followed with a call to let the building authority know that the building permit can be issued. If qualified, the contractor will receive an annual exemption certificate within three (3) days.
When contractors do not qualify for the exemption, the Department of Revenue will let them know what to do next. The contractor may be requested to submit a copy of the contract for the project along with a Request for Bond Certificate. After the Department of Revenue either determines that the contractor is exempt or the contractor must submit a bond, a one-time exemption or receipt for bond identifying the project location will be issued. A copy of the certificate or receipt will be faxed to the building authority to let them know that the building permit can be issued.

For any questions regarding these procedures or assistance to contractors, please call the Bonding Compliance Officer, at (602)542-4576 or (800)634-6494 toll free.