The Arizona Revised Statutes have been updated to include the revised sections from the 56th Legislature, 1st Regular Session. Please note that the next update of this compilation will not take place until after the conclusion of the 56th Legislature, 2nd Regular Session, which convenes in January 2024.
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This online version of the Arizona Revised Statutes is primarily maintained for legislative drafting purposes and reflects the version of law that is effective on January 1st of the year following the most recent legislative session. The official version of the Arizona Revised Statutes is published by Thomson Reuters.
30-191 - Indemnity or performance bonds as security; collateral security in lieu of bond
30-191. Indemnity or performance bonds as security; collateral security in lieu of bond
A. Operating units may execute and deliver indemnity or performance bonds as required by the United States or the state as security or assurance for performance of or indemnity for liability under any contract made with them or either of them.
B. The operating units may at their election establish, tender and deliver collateral security in lieu of the indemnity or performance bond required. The amount or penalty of any indemnity or performance bond or pledge shall be the amount determined by the pledgee as sufficient for and proportionate to any contract undertaking involved.
C. The bond or pledge shall be in appropriate and effective form as the circumstances require. The pledge may consist of:
1. An uncommitted or unencumbered fund on hand or to be received or to be thereafter created.
2. Proceeds of any uncommitted or unencumbered district assessment.
3. Income or proceeds from any district, state agency or municipal operation not otherwise committed or encumbered.
4. Revenue bonds.
5. Real or personal property.
6. Any other valuable right or thing satisfactory to the pledgees or either of them.