{"data":{"id":"us-ca/pcc-10198.6","jurisdiction":"us-ca","citation":"PCC § 10198.6","heading":"","body":"(a) If the department elects to award a project pursuant to this article, retention proceeds withheld by the department from the design-build entity shall not exceed 5 percent if a performance and payment bond, issued by an admitted surety insurer, is required in the solicitation. Work performed to establish the guaranteed maximum price shall not be subject to retention.\n(b) In a contract between the design-build entity and a subcontractor, and in a contract between a subcontractor and any subcontractor thereunder, the percentage of the retention proceeds withheld shall not exceed the percentage specified in the contract between the department and the design-build entity. If the design-build entity provides written notice to any subcontractor that is not a member of the design-build entity, before or at the time the bid is requested, that a bond may be required, and the subcontractor subsequently is unable or refuses to furnish a bond to the design-build entity, then the design-build entity may withhold retention proceeds in excess of the percentage specified in the contract between the department and the design-build entity from any payment made by the design-build entity to the subcontractor.","path":["Public Contract Code - PCC","DIVISION 2. GENERAL PROVISIONS [1100. - 22355.]","PART 2. CONTRACTING BY STATE AGENCIES [10100. - 19150.]","CHAPTER 1. State Contract Act [10100. - 10285.5.]","ARTICLE 6.5. Progressive Design-Build Contracting [10198. - 10198.8.]"],"source_url":"https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zip","current_through":"2026-09-13","vintage":"","retrieved_at":"2026-09-14T05:56:33Z","sha256":"a9896962ec740c810f92f71de853c91be1b63afafbd8602adb58bc360bf5ff24","source_id":"us-ca","stale":false,"prev":"us-ca/pcc-10198.5","next":"us-ca/pcc-10198.7"},"notice":"GroundRules: Original legal text. Not legal advice."}