Iowa Payment Bond Claim — A Sworn Claim With the Public Body, 30 Days After Final Acceptance (Iowa Code Ch. 573, 2026)
✓ Verified against Iowa statutes · Reviewed October 2026 · By Michael Evan — Founder · 50 states · 799 rules
Iowa mechanics lien deadlines at a glance
Preliminary Notice
Post to MNLR — Mechanics Notice Registry
Mechanics Lien
90 days — From last date of furnishing (post-90)
Enforcement
2 years — From filing
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Iowa Pays Claims From a Fund First, the Bond Second
On a private Iowa job, an unpaid subcontractor or supplier posts its lien on the statewide Mechanics’ Notice and Lien Registry within 90 days of last furnishing, as the Iowa preliminary notice and MNLR guide explains. A Des Moines school addition, a Cedar Rapids water plant, a Davenport fire station or an Iowa City university building runs on different rules. Public property cannot be liened, and the claim goes through chapter 573. Chapter 573 is built differently from most Little Miller Acts. In most states the claimant sends a notice to the prime and the surety and sues the surety. In Iowa, the public body keeps back part of every payment, and that retained money is a fund for labor and material claims. Claimants file sworn claims with the public body, the court sorts out the fund, and the bond backs it up. Under Iowa Code § 573.6, the principal and surety are not liable to a claimant unless the claim against the retained portion of the contract price has been established as provided by law . That makes the filing with the public body the step that matters. The Mechanics Lien Management Method treats an Iowa public job as a final-acceptance file : the 30-day notice goes out at the start, the sworn claim is ready before the board accepts the project, and the suit date is calendared from the acceptance date, not from the last delivery.
The Bond and the Retained Fund
Under Iowa Code § 573.2, a contract for the construction of a public improvement must be accompanied by a bond with surety when the price is $25,000 or more , and the public body may require one on smaller jobs. Section 573.5 has the letting board or officer set the amount at not less than 75 percent of the contract price , or not less than 25 percent where nothing is paid until the improvement is complete. The retained fund is the first source of payment. Section 573.13 caps the retained percentage at 3 percent and makes it a fund for claims for materials furnished and labor performed on the improvement. The public body must hold that fund for 30 days after completion and final acceptance. If claims are on file at the end of those 30 days, it keeps back double the total of the claims on file (§ 573.14). Three percent of a job is rarely enough to pay a large default, which is why the bond matters. But the bond only answers for claims that were properly filed against the fund. A claimant that never filed has nothing for the surety to pay.
Step One: The 30-Day Notice From Second-Tier Claimants
Iowa Code § 573.15 applies to any person, firm or corporation that performs labor for, or furnishes materials, service or transportation to, a subcontractor . That party has no claim against the retainage or the bond unless it: The one notice covers later labor and deliveries to the same subcontractor on the same project. It does not apply to highway, bridge or culvert projects referred to in § 573.28. First-tier subcontractors and suppliers dealing directly with the principal contractor do not owe it. One group is cut out entirely. Section 573.7(2) says a person furnishing only materials to a subcontractor that is itself furnishing only materials has no claim against the retainage or the bond. A distributor selling to a material-only supplier needs a joint check agreement or other security before it ships.
Step Two: The Sworn Claim, Filed With the Public Body
Section 573.7 lets anyone who performed labor or furnished material, service or transportation under a contract with the principal contractor or a subcontractor file an itemized, sworn, written statement of the claim with the officer, board or commission authorized by law to let the contract . The officer endorses the date and hour of filing over an official signature (§ 573.9). Section 573.10 sets the window. A claim may be filed: The second route is not a plan. Once the public body pays out, or once another claimant has sued, the late door is closed. File inside the first 30 days, and earlier if you can: nothing in chapter 573 makes a claimant wait for acceptance before filing.
Step Three: The 30-to-60-Day Suit Window
The action is brought in equity in the county where the improvement is located, and it decides every claim against the fund at once (§ 573.18). Payments from the retained percentage go in a fixed order: costs of the action, then labor claims, then material claims, then the public body’s own claims. The contractor can shorten the clock. Under § 573.16(2), the contractor may serve a written demand, in the manner used for original notices, requiring the claimant to sue. The claimant then has 30 days to start the action, or the retained and unpaid funds are released to the contractor. After a suit is filed, the contractor can also get the withheld money paid out by filing a surety bond in double the amount in controversy. Iowa case law on what happens to a claimant that files a claim but lets the 60-day window pass is not summarized here. Treat day 60 after final acceptance as the deadline, and have a Iowa construction attorney on the file before the board votes to accept the project.
Every Iowa Public-Project Claim Deadline in One Table
The Mechanics Lien Management State System calendars the claim and suit windows from the final acceptance date you enter. Private-work rules are on the Iowa lien statutes page, with the calculator on the Iowa mechanics lien hub . The last row covers federal prime contracts in Iowa, such as Army Corps of Engineers lock and dam work on the Mississippi, VA medical centers and the Iowa Army Ammunition Plant. Those run under the federal Miller Act , which counts from the claimant’s last furnishing, not from the owner’s acceptance.
Build the Claim File Before Acceptance
Iowa Public Works Workflow Send the 30-day notice to the principal contractor at first delivery if you work for a subcontractor, keep proof of receipt, prepare the itemized sworn claim, and file it with the letting body before the 30 days after final acceptance run out. Pair it with these resources: For a disputed claim or a contractor’s demand to sue, connect with an Iowa construction attorney through the Mechanics Lien Management network, or request a formal attorney review of the claim file.
Final Acceptance Starts Two Clocks at Once
The Mechanics Lien Management deadline calculator tracks the 30-day first-furnishing notice, the 30-day claim window and the 60-day suit window on every Iowa public job. Miss the deadline and you lose your claim rights entirely.
Frequently Asked Questions
What is the deadline for an Iowa payment bond claim?
Thirty days after completion and final acceptance of the improvement. Under Iowa Code § 573.10, a claim may be filed at any time before the 30 days immediately following completion and final acceptance run out. A later claim is allowed only if the public body still has not paid the full contract price and no action is pending over the unpaid balance. The clock belongs to the project, not to the claimant's last day of work.
Where do you file an Iowa public project claim?
With the officer, board or commission authorized by law to let the contract, under Iowa Code § 573.7. For a school job that is usually the school board; for a city job, the city council or its designated officer; for a state building, the state agency that awarded the contract. The officer endorses the date and hour of filing on the claim under § 573.9. Mailing the claim only to the surety does not file it.
What must an Iowa chapter 573 claim contain?
Iowa Code § 573.7 requires an itemized, sworn, written statement of the claim for the labor, material, service or transportation furnished. Itemize by invoice or pay application, show payments and credits, state the balance, and sign it before a notary. A sub-subcontractor or a supplier to a subcontractor must also attach a certified statement that the principal contractor received its 30-day notice under § 573.15.
Who has to send the 30-day notice on an Iowa public job?
Anyone who performs labor for, or furnishes materials, service or transportation to, a subcontractor. Under Iowa Code § 573.15, that party must give the principal contractor a one-time written notice with its name, mailing address and telephone number and the name of the subcontractor it is working for, within 30 days of first furnishing. The notice covers later deliveries to the same subcontractor on the same project. It does not apply to highway, bridge or culvert projects referred to in § 573.28.
When do you sue on an Iowa public improvement bond?
Iowa Code § 573.16(1) allows the public body, the principal contractor, any claimant who has filed a claim, or the surety to bring an action in equity, in the county where the improvement is located, at any time after 30 days and not later than 60 days following completion and final acceptance. If the contractor serves a written demand that you sue, you must start the action within 30 days or the retained funds are released to the contractor under § 573.16(2).
Can a supplier to a supplier make an Iowa bond claim?
No. Iowa Code § 573.7(2) says a person furnishing only materials to a subcontractor who is furnishing only materials has no claim against the retainage or the bond and is not protected by it. A distributor selling to a material-only supplier is outside chapter 573 entirely and should get payment security another way, such as a joint check agreement or a direct purchase order with the installing subcontractor.
How big is the Iowa public improvement bond?
A bond is required on public improvement contracts of $25,000 or more under Iowa Code § 573.2, and may be required below that. Under § 573.5, the board or officer letting the contract fixes it at not less than 75 percent of the contract price, or not less than 25 percent where no part of the price is paid until after completion. Unlike most states, the bond backs up a retained fund: § 573.13 caps retainage at 3 percent and dedicates it to labor and material claims.