Oregon Contractor License Bond— $15,000 - $80,000 | CCB Required

House Bill 2922, passed by the Oregon Legislature in 2023, increased all CCB contractor bond amounts by $5,000 effective January 1, 2024. The increases strengthen consumer protection by providing larger claim pools for homeowners and property owners harmed by contractor violations. The new amounts range from $15,000 (previously $10,000) to $80,000 (previously $75,000). Contractors who renewed after January 1, 2024 were required to obtain bonds at the new higher amounts.

Oregon Revised Statutes 701.068 establishes the surety bond requirements for all CCB-licensed contractors. It mandates that contractors maintain a surety bond in the amount specified for their license endorsement type, that the bond be issued by a surety authorized to do business in Oregon, and that the bond remain in force as long as the license is active. The statute also allows consumers to bring claims against the bond for contractor violations of ORS Chapter 701.

Commercial Level 1 licenses allow unlimited commercial project amounts and require higher bonds: $80,000 for general contractors and $55,000 for specialty contractors. Level 2 licenses have lower bonding requirements ($25,000 for both general and specialty) and are designed for smaller commercial contractors. The license level you choose depends on the size and value of projects you plan to undertake. Upgrading from Level 2 to Level 1 requires obtaining the higher bond amount.

Yes. Oregon requires contractors who hold both residential and commercial endorsements to maintain two separate surety bonds -- one for each endorsement type. However, you only need one general liability insurance policy meeting the higher coverage amount required by your endorsements. This dual-bond requirement was not changed by HB 2922.

Costs depend on the bond amount and your credit profile. A $15,000 residential limited bond costs $150-$450/year with good credit (1-3%). A $25,000 residential general bond costs $250-$750/year. The $80,000 commercial general L1 bond costs $800-$2,400/year with good credit. Contractors with credit challenges can still obtain bonds through specialized programs at rates of 5-15%, meaning the $80,000 bond could cost $4,000-$12,000 annually.

No. Oregon is one of the few states that does not require contractors to pass an examination for CCB licensing. However, Oregon does require 16 hours of continuing education every 2 years covering topics like building codes, business practices, and safety. Approved courses are listed on the CCB website. This no-exam policy makes Oregon one of the easier states to get initially licensed, but the CE requirement ensures ongoing competency.

In addition to the standard CCB license bond, contractors working on qualifying public works projects with a total project cost exceeding $100,000 must file a separate $30,000 public works bond with the CCB. This bond is distinct from -- and in addition to -- your license bond, performance bond, and payment bond requirements. It specifically covers wages and labor standards compliance on public construction projects.

No. Oregon has no reciprocity agreements with neighboring states. Washington requires a separate contractor license through the Department of Labor & Industries with its own bond ($30,000 as of July 2024) and registration requirements. California requires a CSLB license with a $25,000 bond and mandatory trade exam. You must obtain individual licenses in each state where you perform construction work. Learn more about how surety bonds work at /what-is-a-surety-bond/.

Yes. We offer Oregon CCB bonds for all credit profiles. With bad credit (below 600), expect rates of 5-15% of the bond amount. For a $15,000 residential limited bond, that means $750-$2,250 per year. For the $80,000 Commercial L1 bond, rates range from $4,000-$12,000 annually. No collateral is required and most applications are approved same-day. As your credit improves, your premium decreases at each renewal.

Your CCB surety bond is a financial guarantee that protects consumers. If a valid claim is filed for contractor violations, the surety pays the claimant up to the bond amount, but you must reimburse the surety through indemnity. Liability insurance, by contrast, protects you -- the insurer absorbs covered losses from property damage or bodily injury claims. Oregon requires both for CCB licensing: a surety bond under ORS 701.068 and workers compensation or GL insurance. For a detailed comparison, see our bond vs. insurance guide.