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Welcome to the Surety Bridge Fund Connection website. Explained here is
information on the conceptual development of a tool which provides financial
liquidity and resolution resources to public works. We hope it provides
enough information to enough people to turn a concept into reality.
The central element is the introduction of a third party resolution mechanism.
This mechanism is neutral and has financial incentive to succeed quickly.
To some extent, this mechanism will penalize participants the longer issues
remain unresolved. Completely opposite of the current system, where those
brought into resolve disputes have a financial incentive to prolong the
issue.
It is not easy or quick cash. It is also not a credit enhancement product.
It is an acknowledgment that at certain times a contractor will realize
that funds will be extended in the prosecution of a contract. When those
anticipated funds are significant, possibly triggering the default of the
contractor, the surety bridge fund provides an alternative option for resolution.
The facts of the situation and the recognition that funds will be expended
regardless, makes the option viable on a case by case basis. The success
of the option will rely on the resolution talents and efforts of the surety
bridge fund team, as well as the willingness of the project participants.
Therefore, the last option may be the best option.
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