This bill enacts a new provision under R.S. 38:2241(A)(3) that specifically addresses the financing structure for public works projects in Ascension Parish. It mandates that for any contract exceeding $250,000, the public entity must require the contractor to provide a performance bond. This bond must be at least 50% of the contract price and is intended to ensure payment to claimants as defined in R.S. 38:2242. The bill stipulates that the bond must be a statutory bond, and any modifications to the contract terms will not alter the obligations of the bond.

Additionally, the bill requires that the bond be executed by the contractor with surety approved by the public entity and recorded with the contract in the office of the recorder of mortgages in the parish where the work is performed, within thirty days of the work's commencement. This legislation aims to enhance the financial security and accountability of contractors engaged in significant public works projects in Ascension Parish.