---
type: "Bill"
title: "Contracts; retainage bonds permitted in construction contracts, effective clause."
description: "Contracts; retainage bonds permitted in construction contracts. Allows, in any construction contract between an owner and a general contractor or between a general contractor and a subcontractor, such contractor or subcontractor to tender a retainage bond, defined in the bill, as a substitute for retainage withheld as security in such contracts. The provisions of the bill do not become effective unless reenacted by the 2027 Session of the General Assembly."
jurisdiction: "us/states/va"
legislature: "Virginia General Assembly"
session: "2026"
identifier: "SB 165"
citation: "Virginia SB 165 (2026)"
classification: ["bill"]
subjects: []
status: "enacted"
primary_sponsors: ["Jeremy S. McPike"]
version_count: 5
action_count: 28
vote_count: 6
first_action: "2026-01-07"
last_action: "2026-04-08"
source: "openstates"
source_identifier: "ocd-bill/3ab32a4e-b144-4f9c-894c-2ccbae2c826e"
source_url: "https://lis.virginia.gov/bill-details/20261/SB165"
source_hash: "6b6a0b6357196456cac96633b5972fae7215a85a0d96e60c2e0192e275342e77"
vintage: "2026-07-01"
source_snapshot: "https://data.openstates.org/daily/2026-07-01/public.pgdump"
retrieved_at: "2026-07-06"
confidence: "reported"
tags: ["legislation", "bill", "us-va"]
---

# Virginia SB 165 (2026) — Contracts; retainage bonds permitted in construction contracts, effective clause.

Contracts; retainage bonds permitted in construction contracts. Allows, in any construction contract between an owner and a general contractor or between a general contractor and a subcontractor, such contractor or subcontractor to tender a retainage bond, defined in the bill, as a substitute for retainage withheld as security in such contracts. The provisions of the bill do not become effective unless reenacted by the 2027 Session of the General Assembly.

## Version chain

The bill's text revisions, in order — the diff chain from filing to enrollment.

1. **Introduced** (filed) — [source](https://lis.blob.core.windows.net/files/1083616.PDF)
2. **Chaptered** (committee substitute) — [source](https://lis.blob.core.windows.net/files/1218206.PDF)
3. **Engrossed** (committee substitute) — [source](https://lis.blob.core.windows.net/files/1105605.PDF)
4. **General Laws and Technology Amendment** (committee substitute) — [source](https://lis.blob.core.windows.net/files/1102046.HTML)
5. **Enrolled** (enrolled) — [source](https://lis.blob.core.windows.net/files/1194858.PDF)

## Votes

- Constitutional reading dispensed R — **38–0** (pass) · upper
- Reported from General Laws — **21–0** (pass) · lower
- Subcommittee recommends reporting — **10–0** (pass) · lower
- Reported from General Laws and Technology with amendment — **15–0** (pass) · upper
- Passage R — **39–0** (pass) · upper
- H VOTE: — **97–0** (pass) · lower

## Sponsors

- Jeremy S. McPike — primary (person)

## Timeline

The legislative action history — every referral, reading, and vote.

- **2026-01-07** Prefiled and ordered printed; Offered 01-14-2026 26101912D `filing, introduction`
- **2026-01-07** Referred to Committee on General Laws and Technology `referral-committee`
- **2026-01-07** Introduced bill reprinted 26101912D
- **2026-01-28** Reported from General Laws and Technology with amendment (15-Y 0-N) `committee-passage`
- **2026-01-30** Rules suspended
- **2026-01-30** Constitutional reading dispensed Block Vote (on 1st reading) (38-Y 0-N 0-A)
- **2026-01-30** Passed by for the day Block Vote (Voice Vote)
- **2026-02-02** Read second time `reading-2`
- **2026-02-02** General Laws and Technology Amendment agreed to `amendment-passage`
- **2026-02-02** Engrossed by Senate as amended Block Vote (Voice Vote)
- **2026-02-03** Read third time and passed Senate (39-Y 0-N 0-A) `passage, reading-3`
- **2026-02-06** Placed on Calendar
- **2026-02-06** Read first time `reading-1`
- **2026-02-06** Referred to Committee on General Laws `referral-committee`
- **2026-02-23** Assigned HGL sub: Procurement/Open Government `referral-committee`
- **2026-02-24** Subcommittee recommends reporting (10-Y 0-N)
- **2026-02-26** Reported from General Laws (21-Y 0-N) `committee-passage`
- **2026-03-02** Read second time `reading-2`
- **2026-03-03** Read third time `reading-3`
- **2026-03-03** Passed House (97-Y 0-N 0-A) `passage`
- **2026-03-09** Enrolled `enrolled`
- **2026-03-09** Bill text as passed Senate and House (SB165ER) `passage`
- **2026-03-09** Signed by Speaker `passage`
- **2026-03-09** Signed by President `passage`
- **2026-03-10** Enrolled Bill communicated to Governor on March 10, 2026 `enrolled, executive-receipt`
- **2026-03-10** Governor's Action Deadline 11:59 p.m., April 13, 2026 `executive-receipt`
- **2026-04-08** Approved by Governor-Chapter485 (Effective -see bill) `executive-signature`
- **2026-04-08** Acts of Assembly Chapter text (CHAP0485)

## Source

OpenStates / OpenCivicData bulk snapshot [2026-07-01](https://data.openstates.org/daily/2026-07-01/public.pgdump); origin `ocd-bill/3ab32a4e-b144-4f9c-894c-2ccbae2c826e`. Confidence: reported (aggregated from official Virginia legislature records).