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| STATE |
LEGISLATION |
ALABAMA - AL
Legislature
Session Dates: 2/5/13 – 5/20/13 | Adjournment Date: 5/20/13 |
HB 10 – Preneed Funeral Contracts. Would revise the bond requirement for preneed funeral contracts, requiring the bond amount to be based on the liabilities of the previous quarter and the projected liabilities of the next quarter. Current law requires the bond amount to be based on an annual reporting of the contract seller's liabilities.
Status: 2-5-13: (H) read first time and referred to Insurance Committee
HB 31 – Preneed Funeral Contracts. Would revise the bond requirement for preneed funeral contracts, requiring the bond amount to be based on the liabilities of the previous quarter and the projected liabilities of the next quarter. Current law requires the bond amount to be based on an annual reporting of the contract seller's liabilities.
Status: 5-2-13: (S) read first time and referred to Banking and Insurance
HB 114 – Probation Services by Private Entities. Would authorize the presiding court or a district court in a county to enter into contracts with private entities for probation services for persons convicted of certain crimes. As a condition of the contract, the private entity's employees would have to be bonded.
Status: 5-7-13: (S) pending third reading on Day 29 favorable from Judiciary with 1 amendment
HB 265 – Master Plumbers and Master Gas Fitters. Would increase the bond required of master plumbers and master gas fitters from $2,000 to $15,000 and convert it into a statewide bond requirement. Also would eliminate a procedure for restoring a revoked license, which includes a requirement to post a $1,000 bond for the return of the license. Status: 2-28-13: (H) pending third reading on Day 10; favorable from Boards, Agencies and Commissions with 1 amendment
HB 319 – Title Lenders. Would require title lenders to be licensed and post a $50,000 bond for each location where the licensee will perform title pledge lending; $250,000 maximum. The bill specifies that no more than $150,000 could be payable or recoverable from the bond for each location. The bond would be payable to the state and conditioned on faithful performance of duties and the prompt payment of any judgment recovered against the licensee as a result of damages or other claims arising directly or collaterally from any violation of the proposed law. The bill would permit cash or other security to be posted in the amount of $25,000 per location, not to exceed a total of $250,000; the bond or security would be forfeited if the licensee is convicted for a failure to make a record of a title pledge transaction and then selling or disposing of the pledged property. Status: 2-21-13: (H) read first time and referred to Financial Services
HB 462 – Title Lenders. Would require motor vehicle title lenders to obtain a license for each title loan office and post a $100,000 surety bond for each license; $1 million maximum. The bond would be in favor of the State Banking Department for the use and benefit of consumers injured by any fraud, misrepresentation, breach of contract, financial failure or violation of the applicable law by the licensee. A CD or letter of credit would be permitted in lieu of the bond. Status: 3-20-13: (H) read first time and referred to Financial Services
HB 520 – Probate Judges. Would revise the liability of a probate judge and the surety(ies) of his/her official bond. Current law provides that the judge and the surety are liable to any person injured for the judge's neglect or omission for not taking a bond, or a new or additional bond, if required, or for taking an insufficient surety on the bond from a conservator, any executor or administrator. The bill strikes "neglect or omission" and provides instead that the judge and the surety only would be liable for the judge's wanton, fraudulent, or intentional misconduct with regard to the requirement of bonds for conservators, executors, administrators, fiduciaries, or someone serving in a similar capacity. Status: 5-7-13: (H) in Judiciary; indefinitely postponed
HB 540 – Athlete Agent. Would require an agent for a professional sport without a players' association to post a $25,000 surety bond in connection with registration. The bond would be in favor of the Alabama Athlete Agent Commission for the use and benefit of any academic institution in Alabama that is injured or damaged as a result of the agent's acts or omissions, including reasonable costs and attorneys' fees. Status: 5-7-13: (H) in Boards, Agencies and Commissions; indefinitely postponed
SB 10 – Athlete Agent. Would require an agent for a professional sport without a players' association to post a $25,000 surety bond in connection with registration. The bond would be in favor of the Alabama Athlete Agent Commission for the use and benefit of any academic institution in Alabama that is injured or damaged as a result of the agent's acts or omissions, including reasonable costs and attorneys' fees.
Status: 2-5-13: (S) read first time and referred to Judiciary
SB 64 – Probation Services by Private Entities. Would authorize the presiding court or a district court in a county to enter into contracts with private entities for probation services for persons convicted of certain crimes. As a condition of the contract, the private entity's employees would have to be bonded.
Status: 5-7-13: (H) read second time and placed on calendar with 1 amendment; pending third reading on Day 29; favorable from Public Safety and Homeland Security
SB 174 – Boxing/MMA Promoters. Would subject professional wrestling and tough man contests to the existing law for mixed martial arts and boxing, which requires promoters to furnish a bond. Status: 5-7-13: (H) motion to read a third time and pass adopted
SB 233 – Master Plumbers and Master Gas Fitters. Would increase the bond required of master plumbers and master gas fitters from $2,000 to $15,000 and convert it into a statewide bond requirement. Also would eliminate a procedure for restoring a revoked license, which includes a requirement to post a $1,000 bond for the return of the license. Status: 5-7-13: (S) in Job Creation and Economic Development; indefinitely postponed
SB 331 – Title Lenders. Would require motor vehicle title lenders to obtain a license for each title loan office and post a $100,000 surety bond for each license; $1 million maximum. The bond would be in favor of the State Banking Department for the use and benefit of consumers injured by any fraud, misrepresentation, breach of contract, financial failure or violation of the applicable law by the licensee. A CD or letter of credit would be permitted in lieu of the bond. Status: 3-12-13: (S) read first time and referred to Banking and Insurance
SB 340 – Regional Care Organizations - Medicaid Services. Would provide for the delivery of medical services to Medicaid beneficiaries through regional care organizations, and require such organizations entering into risk contracts with the AL Medicaid Agency to meet certain financial requirements: maintaining restricted reserves of $250,000 or an amount equal to 25% of the organization's total, actual or projected average monthly expenditures, whichever is greater, and a capital or surplus of $2.5 million. The organization could post a bond with the Agency instead. The bond would have to guarantee performance of the risk contract. Status: 5-7-13: delivered to Governor
SB 345 – Probate Judges. Would revise the liability of a probate judge and the surety(ies) of his/her official bond. Current law provides that the judge and the surety are liable to any person injured for the judge's neglect or omission for not taking a bond, or a new or additional bond, if required, or for taking an insufficient surety on the bond from a conservator, any executor or administrator. The bill strikes "neglect or omission" and provides instead that the judge and the surety only would be liable for the judge's wanton, fraudulent, or intentional misconduct with regard to the requirement of bonds for conservators, executors, administrators, fiduciaries, or someone serving in a similar capacity. Status: 3-14-13: (S) read first time and referred to Governmental Affairs
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| Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety Legal if you have information regarding legislative updates. |
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NEW LAW: HB 2172 – Motor Fuels Suppliers. Would increase the maximum amount of the bond from $1 million to $25 million. Existing law provides that the Director of the Department of Transportation fixes the bond amount, which must be equal to two times the Director's estimate of the supplier's monthly tax. Status: 4-11-13: Signed by Governor
NEW LAW: HB 2176 – Contractors - Bond Claims. Would revise the claims provisions. Current law permits direct actions against the bond. The bill would allow a claimant to make a claim by submitting it to the Registrar of Contractors first to seek recovery. If a claimant is seeking recovery from the bond based on a complaint filed against the contractor with the Registrar, the statute of limitations would be "tolled through the effective date of any order of the Registrar that results in the suspension or revocation of the contractor's license." Status: 5-7-13: Signed by Governor
NEW LAW: HB 2183 – Third Party Driver License Providers. Would exempt third party driver license providers from the general bond requirement for third parties providing services for the Department of Transportation. Current law requires a $100,000 bond. The bill amends this to require a $100,000 bond per location. For third party driver license providers, the bill provides that the bond would have to be for $300,000 for an initial application, plus $100,000 for each additional location providing driver license functions. If the provider is also authorized to perform certain title and registration functions at the same location, only a single $100,000 bond would be required for that location. The bond for driver license providers would be capped at $1 million. Status: 4-29-13: Signed by Governor; effective 6-30-14
NEW LAW: HB 2263 – MMA Promoters. Would subject mixed martial arts contests to the existing law for boxing contests, including the bond requirement for promoters. Status: 4-10-13: Signed by Governor
HB 2657 – Out-of-State Contractors. Would eliminate a tax bond requirement for out-of-state contractors; current law requires a minimum $2,000 bond to secure the payment of taxes due. Status: 2-18-13: (H) Ways and Means - do pass amended
NEW LAW: SB 1177 – Managing General Agents. Would rewrite the security requirements for an insurer's managing general agent; would require the agent to post a surety bond in an amount equal to 10% of the agent's total annual written premium nationwide during the prior calendar year -- $100,000 minimum, $500,000 maximum. Current law requires cash, securities or surety insurance, which may include a surety bond or blanket bonds. Status: 4-3-13: Governor signed; effective 90 days after adjournment
SB 1263 – Petition Circulators. Would revise existing law pertaining to paid petition circulators, persons who circulate petitions to collect signatures for ballot initiatives and referenda; would require an individual, company, committee, organization or other entity that employs a circulator to post a $100,000 surety bond or cash deposit as security for administrative penalties imposed for a violation of the law; would authorize the Secretary of State to collect penalties under the bond or deposit. Status: 4-16-13: Majority and Minority Caucus
NEW LAW: SB 1290 – Pest Control Businesses. Would revise the financial responsibility requirements for pest control businesses to specify that the damages covered are for property damage and for bodily injury as a result of the operations of the business. Status: 4-17-13: Signed by Governor
SB 1312 – Non-participating Tobacco Manufacturers. Would require a nonparticipating manufacturer to post a bond for the exclusive benefit of the state under certain circumstances as a condition of the manufacturer and its brand families being included in the state directory. The bond penalty would be in an amount equal to the greatest required escrow amount due from the nonparticipating manufacturer or its predecessor for any of the 12 preceding calendar quarters under the Master Settlement Agreement, or $50,000, whichever is greater. Status: 5-8-13: (H) passed third reading; transmitted to Senate |
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NEW LAW: HB 1808 – Polygraph Examiners. Would increase the amount of the bond or insurance required for polygraph examiners from $1,000 to $5,000. Status: 4-12-13: Approved by Governor; Act 1216
NEW LAW: HB 1809 – Voice Stress Analysis Examiners. Would increase the amount of the bond or insurance required for voice stress analysis examiners from $1,000 to $5,000. Status: 4-22-13: Approved by Governor; Act 1472
NEW LAW: SB 60 – Board of Cosmetology; Inspectors. Would establish the State Board of Cosmetology, and require the director to post a $5,000 bond to secure faithful performance of obligations. It also would require inspectors hired by the Board to post a $1,000 bond conditioned on compliance with the applicable law and regulations. Status: 4-10-13: Approved by Governor; Act 1023; effective 7-1-13
NEW LAW: SB 776 – Low-Speed Vehicle Dealers. Would subject new low-speed vehicle dealers to the existing bond requirements for new motorcycle dealers, new ATV dealers and motor vehicle lessors ($25,000 bond). Status: 4-2-13: Approved by Governor; Act 561
NEW LAW: SB 786 – Money Services. Would revise the license bond requirements for money service businesses. Current law provides that the bond must remain in place for five years after the licensee ceases to do business in the state. The bond can be reduced during this period, based on the licensee's payment instruments and stored value obligations. The bill provides that this also would be determined by the amount of the licensee's prepaid access obligations, defined as access to funds or the value of funds that have been paid in advance that can be retrieved or transferred in the future through an electronic device or vehicle, including without limitation, a card, code, electronic serial number, mobile identification number, or personal identification number. Status: 3-28-13: Approved by Governor; Act 531
NEW LAW: SB 897 – Time Share Developers. Revises current law on time shares and the registration of acquisition agents, sales agents, and managing agents. The Arkansas Real Estate Commission will determine the bond amount, but it cannot exceed $25,000. The law allows a $50,000 blanket bond to cover all agents. Status: 4-4-13: Approved by Governor; Act 710
NEW LAW: SB 934 – New RV Dealers. Would require dealers of new RVs to be licensed and post a $50,000 bond, plus a $25,000 bond for each branch. Status: 4-10-13: Approved by Governor; Act 1043
NEW LAW: SB 935 – Combative Sport Promoters. Increases the minimum amount of the bond or other security required for a promoter of a combative sports match or exhibition from $1,000 to $2,000, and specifies that the term of the bond must be six months. Status: 4-11-13: Approved by Governor; Act 1096 |
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AB 838 – Personal Representatives. Provides that the bond required of personal representatives of an estate would have to be sufficient to cover the reasonable amount for the cost of recovery to collect on the bond, including attorney's fees and costs, in addition to the other factors under existing law to determine the bond amount. Also, the attorney's fees and costs incurred in a successful action for surcharge against a personal representative for breach of his/her duties would be a surcharge against the personal representative, and if unpaid, would be recoverable under the bond. Status: 4-16-13: (A) in Judiciary; first hearing canceled at the request of the author
AB 988 – Motor Vehicle Dealers. Would require recreational off-highway vehicle dealers to be licensed and bonded. Status: 5-1-13: (A) in Appropriations; set, first hearing; referred to Appropriations suspense file
AB 1387 – Car Washes. Would increase the bond required of car washes from $15,000 to $150,000, but would exempt an employer from that requirement if the employer has a collective bargaining agreement in place that meets specified criteria. The bill also eliminates the repeal date (January 1, 2014), thus extending the bond requirement indefinitely. Status: 4-25-13: (A) from Labor & Employment, do pass and re-refer to Appropriations; re-referred to Appropriations
SB 516 – Foreign Labor Contractors. Would require foreign labor contractors to register and post a surety bond in an amount based on the contractor's annual gross receipts, as follows: up to $500,000 - $25,000 bond; $500,001 to $2 million - $50,000 bond; more than $2 million - $75,000 bond. The bond would be payable to the people of California and conditioned on the contractor's compliance with applicable law, payment of all damages occasioned to any person by failure to do so, or by any violations of the law, or false statements or misrepresentations made in the registration process. The bond also would cover interest on wages and any damages from a violation of applicable orders of the Industrial Welfare Commission, and any other monetary relief awarded to a foreign worker resulting from the contractor's violation of the law. Status: 5-7-13: (S) read second time and amended; re-referred to Appropriations
SB 662 – Pest Control Businesses. Would increase the license bond required from pest control operators from $4,000 to $12,500; would also increase the bond amount required to reinstate a license that was revoked or suspended from $8,000 to $25,000. The bill also repeals an option to post a $25,000 bond in lieu of the insurance policy required under current law, and a provision providing that indemnity bonds may be required in addition to the license bond. Status: 4-30-13: (S) read second time, ordered to third reading |
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| NEW LAW: HB 1034 – Farm Products Dealers and Commodity Handlers. Would amend the bond requirement provisions. Under current law, the bond runs to the State and covers fees due the people of the state. The bill revises this to make the bond payable to the Department of Agriculture and cover fees due to the Department. The bill also revises the claim procedures, eliminating the need for a judgment and requiring the claimant to request that the Department demand payment. Also, actions would have to be brought within 180 days after the date of the transaction or the date of loss, whichever is later. Current law provides that actions must be brought within 2 years of the transaction. The bill also deletes the provision that a bond is not required for credit sales contracts. Status: 2-27-13: Governor signed: effective 9-1-13
NEW LAW: HB 1051 – Public Officials - Trustee. Would eliminate the bond requirement for the public trustee of a county of the first class. Current law requires a $25,000 bond for trustees of first and second class counties. Status: 3-8-13: Governor signed; effective 8-7-13
NEW LAW: HB 1053 – Public Officials - District Court Clerks. Would repeal the bond requirement for clerks of the district courts. Status: 3-15-13: Governor signed; effective immediately
NEW LAW: HB 1062 – Public Adjusters. Would amend the licensing requirements for public insurance adjusters to require a $20,000 surety bond or letter of credit. The bond would be payable to the State and authorize the Insurance Commissioner to recover damages on behalf of persons injured as a result of the adjuster's acts, failure to act or conviction of fraud or unfair practices in the performance of their duties. Status: 3-22-13: Governor signed; effective 1-1-14
NEW LAW: HB 1072 – Public Officials. Would permit the public trustee for a county to obtain a crime insurance policy in lieu of the surety bond required under existing law. In counties of the first and second class, the bond amount is $25,000. In all other counties, the bond amount is $10,000 and is posted by the county treasurer, who serves as the trustee. Status: 3-8-13: Governor signed; effective 8-7-13
SB 125 – Preneed Funeral Contracts. Would revise current law for preneed funeral contract sellers, which requires a seller to be licensed and demonstrate a net worth of at least $10,000 or post a surety bond for exactly $10,000. The bill provides that the bond must be in an amount of at least $10,000. Status: 5-2-13: (S) Senate considered House amendments; concurred, repassed
NEW LAW: SB 171 – Money Transmitters. Would extend the time given to money transmitters to post the required license bond from within 90 days of approval of the license application to within 6 months of approval. Status: 5-8-13: sent to Governor
SB 259 – Private Investigators. Would require private investigators and private investigator apprentices to post or be covered by a surety bond. The Director of the Division of Professions and Occupations would determine the bond amount by rule. Status: 5-3-13: (H) Appropriations; postpone indefinitely |
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HB 5277 – MMA Promoters. Would regulate mixed martial arts matches and subject promoters to the existing bond requirement for boxing match promoters. Status: 5-9-13: Senate Calendar No. 554
HB 5637 – Appraisal Management Companies. A placeholder bill that would require real estate appraisal management companies to post a $1,000,000 bond payable to the Department of Consumer Protection, conditioned on reimbursement of certified or licensed appraisers for services rendered to the company for which they have not been paid. Status: 2-8-13: public hearing scheduled for 2-14
HB 6341 – Certificate of Title for Vessels. Would adopt the Uniform Certificate of Title for Vessels Act, which requires a bond, indemnity or other form of security in connection with an application for a transfer of ownership or a termination of security interest when a certificate of title cannot be produced for watercraft with a value exceeding $5,000. The bond or other security would be in an amount not to exceed twice the value of the watercraft. Status: 4-30-13: (H) tabled for the Calendar
HB 6495 – Leasing and Rental Car Businesses. Would revise the bond requirements for leasing and rental car businesses, under which current law provides that the $10,000 license bond requirement applies only when the licensee rents or leases cars for a period exceeding 30 days. The bill repeals this limitation so all licensees would have to comply with the bond requirement. Status: 5-1-13: (H) tabled for the Calendar
SB 911 – Money Transmitters and Mortgage Servicers. Would revise the bond requirements for money transmitters by changing the basis for the bond amount, revising the claims process to provide for a two-year statute of limitations instead of a two-year tail, and providing a condition for the bond to comply with the law and for the licensee to faithfully conduct its business as required. The bill also would create a $100,000 license bond for mortgage servicers. Status: 5-8-13: referred by Senate to Committee on Finance, Revenue and Bonding
SB 984 – Probate Courts. Would revise the current law for the probate court. For fiduciaries of an estate, the provides that the court may release and discharge the fiduciary and the surety from any further liability following the submission of a statement concerning the estate's expenses. The bill provides that if a fiduciary is permitted to submit a financial report in lieu of an account under the court's rules of procedure, and the court approves the financial report, the court may release the fiduciary and the surety from any further liability with respect to the items listed in the report. Status: 4-2-13: (S) Calendar No. 232; LCO File No. 267
SB 1071 – Firearm Manufacturers and Importers. Would require firearms manufacturers and firearms importers to be licensed and post a surety bond or other security. The bond amount would be determined by the Commissioner of Revenue Services, and conditioned upon payment of the taxes due. The bond would remain in effect for three years and one month, unless released by the Commissioner upon certification that all taxes have been paid. Status: 3-8-13: in Joint Committee on Public Safety and Security; public hearing on 3-14 |
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SB 38 – Appraisal Management Companies. Would require real estate appraisal management companies to register and post a $20,000 surety bond. Status: 4-16-13: (S) assigned to Sunset Committee in Senate |
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| Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety Legal if you have information regarding legislative updates. |
FLORIDA - FL Legislature
Session Dates: 3/5/13 – 5/3/13 | Adjournment Date: 5/3/13 |
HB 55 – Motor Vehicle Dealers. Would establish a requirement for consumers to file a demand letter when initiating a civil litigation action against a motor vehicle dealer, which may also include its employees, agents, principals, sureties, and insurers. The letter would have to be given to the dealer at least 30 days before initiating the litigation. The bill includes provisions permitting the dealer to pay the claim following receipt of the demand letter. Status: 4-26-13: in Messages; ordered enrolled
HB 87 – Lost Instruments. Would authorize the court to require a person filing a claim to enforce a mortgage in connection with a foreclosure to provide a form of security in the case of lost, stolen or destroyed mortgage notes. A bond is one of the acceptable financial instruments. The amount of the security would be set by the court and conditioned to indemnify and hold harmless the maker of the note against any loss or damage which might occur due to another person's claim to enforce the note. Status: 5-3-13: (H) ordered enrolled
HB 257 – Gaming Operators. Would require operators of game promotions that use electronic devices or computer terminals with video display monitors to post a surety bond in an amount equal to the total value of all prizes offered. The bond would be in favor of the Department for the use and benefit of any consumer who qualifies for the award of a prize, but does not receive it. Status: 5-3-13: (H) died in Select Committee on Gaming
HB 315 – Public Officials. Would authorize counties to establish a special district for senior services that would be governed by a council. The council chair and any other designee or officer authorized to sign checks would have to post a surety bond in the amount of $1,000 for every $1 million, or portion thereof, of the council's annual budget. The bond would be conditioned on the faithful performance of duties. Status: 5-3-13: (H) died in Healthy Families Subcommittee
HB 813 – Bad Faith. Would revise the law pertaining to civil claims that can be filed against an insurer to include "common law bad faith" actions. Existing law exempts a surety issuing a payment or performance bond on the construction or maintenance of a building or roadway project from this claims law. Status: 5-3-13: (H) died in Judiciary Committee
HB 833 – Estates. Would revise the bond amount for the assignee of an estate, requiring a bond amount of not less than $25,000 or double the liquidation value of the assets of the estate, whichever is greater. Status: 4-29-13: (H) ordered enrolled
HB 1109 – Transitional Living Facilities. Would require a license for transitional living facilities which provide health care services to brain-injured persons and spinal cord injured persons. The licensee would have to post a surety bond if it acts as a payee for a competent client for certain benefits; the bond amount would be equal to twice the average monthly aggregate income or personal funds due to the client, or expendable for the client's account that a licensee receives. Status: 5-3-13: (H) Died in Children, Families and Elder Affairs
HB 1143 – Motor Vehicle Dealers. Would require independent motor vehicle sales agents to be licensed, and it appears to subject such licensees to the existing $25,000 bond requirement for motor vehicle dealers. Status: 5-3-13: (H) died in Transportation & Highway Safety Subcommittee
HB 1267 – Charter Schools. Would require a person or entity seeking to open a charter school to provide a surety bond or letter of credit in an amount equal to one month of the school's projected budget, proof of accreditation by the Commission on Schools of the Southern Association of Colleges and Schools, proof that an educational program at the new charter school will substantially replicate the educational program at an existing high performing charter school, or proof that the new charter school with be part of an existing high-performing charter school system. Status: 5-3-13: (H) died in Choice & Innovation Subcommittee
HB 7023 – Amusement Ride Operators, Moving Brokers, etc. Would revise or repeal current law regulating several professions, many of which must be bonded. Status: 4-29-13: (H) ordered enrolled
HB 7105 – Taxes - Dealers. Would revise the existing law for dealers required to post a bond in connection with obtaining a dealer's certificate of registration in compliance with the state sales tax to clarify which persons would be subject to the bond requirement. Status: 4-30-13: (H) laid on table; refer to SB 1828
HB 7125 – For-Hire Transportation Providers. Would eliminate the option of posting a surety bond as financial responsibility for the owner or operator of a taxicab, limousine, jitney, or any other for-hire passenger transportation vehicle. Status: 5-2-13: (H) ordered engrossed, then enrolled
SB 502 – Gaming Operators. Would require operators of game promotions that use electronic devices or computer terminals with video display monitors to post a surety bond in an amount equal to the total value of all prizes offered. The bond would be in favor of the Department for the use and benefit of any consumer who qualifies for the award of a prize, but does not receive it. Status: 5-3-13: (S) died in Gaming
SB 514 – Public Officials. Would establish special districts for county wide school security and mental health referral services, which would be governed by a council. The chair and any other council member or CEO authorized to sign checks would be required to post a surety bond in an amount of at least $1,000 for each $1 million, or portion thereof, of the district's annual budget. Status: 5-3-13: (S) died in Appropriations Subcommittee on Finance and Tax
SB 1040 – Amusement Ride Operators, Moving Brokers, etc. Would revise or repeal current law regulating several professions, many of which must be bonded. Status: 4-25-13: (S) laid on table; refer to CS/ CS/HB 7023
SB 1116 – Vehicle Inspection Facilities. Would establish a rebuilt motor vehicle inspection program and provide for the establishment of vehicle inspection facilities in each county. The DMV would be directed to contract with private vendors to operate such a facility; vendors selected would be required to maintain a minimum $50,000 surety bond or letter of credit. Status: 5-3-13: (S) died in Transportation
SB 1138 – Title Insurance Agencies. Would eliminate a deposit of securities or surety bond required for title insurance agencies, which must be for at least $35,000 and is for the benefit of any appointing insurer damaged by the agency's violation of its contract with the appointing insurer. Existing law passed in 2012 requires a surety bond from the agency in addition to this requirement; the obligation for both bonds is the same. Status: 5-3-13: (S) died in Banking and Insurance
SB 1284 – Bad Faith. Would revise the law pertaining to civil claims that can be filed against an insurer to include "common law bad faith" actions. Existing law exempts a surety issuing a payment or performance bond on the construction or maintenance of a building or roadway project from this claims law. Status: 5-3-13: (S) died in Judiciary
SB 1396 – Charter Schools. Would require a person or entity seeking to open a charter school to provide a surety bond or letter of credit in an amount equal to one month of the school's projected budget, proof of accreditation by the Commission on Schools of the Southern Association of Colleges and Schools, proof that an educational program at the new charter school will substantially replicate the educational program at an existing high performing charter school, or proof that the new charter school with be part of an existing high-performing charter school system. Status: 5-3-13: (S) died in Education
SB 1458 – For-Hire Transportation Providers. Would eliminate the option of posting a surety bond as financial responsibility for the owner or operator of a taxicab, limousine, jitney, or any other for-hire passenger transportation vehicle. Status: 5-1-13: (S) laid on table; refer to HB 7125
SB 1666 – Lost Instruments. Would permit surety bonds, among other instruments, as a form of protection in the case of a lost, destroyed or stolen instrument in connection with a mortgage foreclosure. Status: 5-2-13: (S) laid on table; refer to HB 87
SB 1724 – Transitional Living Facilities. Would require a license for transitional living facilities which provide health care services to brain-injured persons and spinal cord injured persons. The licensee would have to post a surety bond if it acts as a payee for a competent client for certain benefits; the bond amount would be equal to twice the average monthly aggregate income or personal funds due to the client, or expendable for the client's account that a licensee receives. Status: 5-3-13: (S) died in Appropriations Subcommittee on Health and Human Services
SB 1726 – Motor Vehicle Dealers. Would require independent motor vehicle sales agents to be licensed, and it appears to subject such licensees to the existing $25,000 bond requirement for motor vehicle dealers. Status: 5-3-13: (S) died in Transportation
SB 1828 – Taxes - Dealers. Would revise the existing law for dealers required to post a bond in connection with obtaining a dealer's certificate of registration in compliance with the state sales tax to clarify which persons would be subject to the bond requirement. Status: 5-3-13: (H) died in returning Messages |
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NEW LAW: HB 226 – Scrap Tire Carriers and Processors. Would revise the bond amount for scrap tire carriers and scrap tire processors. Current law requires a bond of not more than $25,000. Under the bill, the bond amount would be not less than $10,000 or more than $20,000. Status: 4-30-13: Signed by Governor; Act 123; effective 4-30-13
NEW LAW: HB 268 – Agricultural Products Dealers; Grain Dealers. Would revise the bond requirement for agricultural products dealers; would eliminate the Commissioner's authority to determine the bond amount, and require the bond to be equal to the amount of the products purchased or sold, or an estimate thereof; would establish a $10,000 minimum and a $230,000 maximum (except for pecan dealers, whose maximum would be $500,000). Would increase the maximum bond amount for grain dealers from $150,000 to $300,000. Status: 5-6-13: Signed by Governor; Act 262; effective 7-1-13 |
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HB 144 – PEOs. Would amend the bond provisions for PEOs, making the amount based on the PEO's annual payroll as follows: $0 to $25 million - $25,000; $25 million to $150 million - $75,000; more than $150 million - $250,000. Status: 5-7-13: transmitted to Governor
HB 424 – Public Officials. Would establish the Time Share Commissioners of Deeds, and require each commissioner to post a $1,000 bond to secure the faithful performance of the duties of office. Direct actions against the bond would be permitted. Status: 5-7-13: transmitted to Governor
SB 46 – Postsecondary Proprietary Schools. Would rewrite current law concerning the Postsecondary Education Commission. The bill would require schools to demonstrate financial integrity by meeting certain financial requirements, receiving and maintaining full accreditation without sanction or by posting a surety bond if it cannot meet the other two requirements. The bond would have to be in the amount of $5,000 or an amount equal to an estimate of the school's maximum prepaid, unearned tuition and fees for the period or term during the applicable academic year for which instruction is offered. The period or term with the greatest duration and expense would be used to determine the bond amount. The bond would indemnify any student or enrollee or his/her parent or legal guardian that the Commission determines to have suffered a loss as a result of a violation of the proposed law, and be conditioned on providing alternative enrollment. Status: 5-7-13: (S) enrolled to Governor
SB 510 – PEOs. Would amend the bond provisions for PEOs, making the amount based on the PEO's annual payroll as follows: $0 to $25 million - $10,000; $25 million to $150 million - $50,000; more than $150 million - $250,000. The bond would remain in effect for six months following cancellation. Letters of credit would be permitted in lieu of posting a bond. Status: 3-22-13: (H) report adopted, referred to Finance as amended in HD 2
SB 914 – Public Officials. Would establish the Time Share Commissioners of Deeds, and require each commissioner to post a $1,000 bond to secure the faithful performance of the duties of office. Direct actions against the bond would be permitted. Status: 4-3-13: (H) Consumer Protection and Commerce/Judiciary recommends that the measure be deferred
SB 1067 – Escrow Depositories. Would increase the fidelity bond required for escrow depositories; current law requires a fidelity bond in a minimum amount of $25,000. The bill would increase the amount to not less than $100,000, and raise the deductible threshold at which the bond requires prior approval from $5,000 to $10,000. The bill also raises the net capital requirements from $50,000 to $100,000, and eliminates the provision permitting a bond to be posted in lieu of meeting the net capital requirements. Status: 5-7-13: (S) enrolled to Governor
SB 1068 – Money Transmitters. Would revise the bond requirement for money transmitters. Current law requires a $1,000 bond or other security in connection with licensure. The bill would require a licensee to post a $10,000 bond for the first 12 months of the license term. After that, the licensee may post a $5,000 bond if its transmissions are less than $10 million. If transmissions are more than $10 million, the $10,000 bond would be required. The bond amount would be reviewed annually. Status: 5-7-13: (S) enrolled to Governor
SB 1073 – Dental Service Corporations. Would require dental service corporations to obtain a fidelity bond or fidelity insurance for its employees, officers, directors and partners who receive, collect, disburse or invest funds in connection with the activities of an organization. The bond or insurance would have to be in an amount of not less than $250,000 for each dental service corporation or a maximum of $5 million in aggregate maintained on behalf of dental service corporations owned by a common parent corporation, or a sum prescribed by the insurance commissioner. The dental service corporation also would be required to provide a $300,000 deposit of cash, securities or other acceptable instruments with the insurance commissioner. The deposit could be reduced if the corporation deposits cash, acceptable securities or surety with an official in its state of domicile. Status: 5-7-13: (S) enrolled to Governor |
IDAHO - ID Legislature
Session Dates: 1/14/13 – 3/30/13 | Adjournment Date: 4/4/13 |
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NEW LAW: HB 28 – Service Companies - Manufactured Homes. Eliminates the provisions pertaining to service companies for manufactured homes, which includes a $5,000 bond requirement. Status: 3-12-13: reported signed by Governor; S.L. Ch. 57; effective 7-1-13
NEW LAW: HB 83 – Proprietary Schools. Would revise provisions relating to a condition of registration and eliminate language relating to a newly registered proprietary school; adds a provision to allow the filing of alternate security in lieu of the bond. Status: 3-1-13: reported signed by Governor; S.L. Ch. 31; effective 7-1-13
NEW LAW: HB 110 – Public Officials. Would eliminate the Office of the Administrator of the Idaho Dairy Products Commission along with the fidelity bond requirement; would revise the bond requirements for the agents and employees of the commission. Status: 3-29-13: reported signed by Governor; S.L. Ch. 176; effective 7-1-13
NEW LAW: HB 167 – Motor Vehicle Dealers. Would establish a recovery fund for motor vehicle dealers to pay claims for those who have obtained a judgment against the dealer. Claims made against a dealer with an existing bond will be paid first from the bond before claims are paid from the recovery fund. The bill provides that from July 1, 2013 through June 30, 2014, all dealers shall be required to maintain the bond required by law. Status: 3-22-13: reported signed by Governor; S.L. Ch. 136; effective 7-1-13 |
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HB 2927 – Certificates of Title - Manufactured Homes. Would subject manufactured homes to the existing law for mobile homes. For a certificate of title, the law provides that a surety bond may be posted if certain documentation cannot be obtained; such bond could be released after three years if the currently valid certificate of title is surrendered to the Secretary of State. Status: 4-19-13: (H) Rule 19(a), re-referred to Rules
SB 1194 – Insurance Navigators. Would regulate navigators, entities that are charged with assisting enrollees in the exchange under a federal grant program, through the federal Patient Protection and Affordable Care Act. A bond or other form of financial responsibility would be required in connection with licensure in an amount acceptable to the Director of Insurance. Status: 5-8-13: (H) placed on Calendar 2nd Reading - Short Debate
SB 1539 – Contractors - Home Repair Services. Would allow a contractor offering home repair services to post a bond which would guarantee that "full contract performance is completed and upon posting of a bond, full payment shall be rendered to the contractor." Status: 4-11-13: (H) first reading; referred to Rules
SB 1667 – Mortgage Loan Originators. Would establish state registration procedures for federally chartered depository institutions that are registered with the Nationwide Mortgage Licensing System and Registry and are otherwise exempt from the licensing requirements of Illinois law for mortgage professionals. Would subject such entities to post a blanket surety bond covering their mortgage loan originators as provided for under existing law. Status: 5-8-13: (H) placed on Calendar 2nd Reading - Short Debate |
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HB 1081 – Mortgage Professionals, Money Transmitters, Pawnbrokers and Debt Management Service Providers. Would revise the existing bond requirements for these entities and create a new bond requirement for pawnbrokers; adds several new provisions to existing law for the following bonds: small loan lenders, debt management service providers, money transmitters and the persons and entities that would not otherwise be subject to the mortgage lender or broker bond (persons acting as creditors in first lien mortgages, entities exempt from licensing who employ mortgage loan originators, and creditors licensed as supervised lenders and lenders who are exempt entities employing mortgage loan originators); adds a 2-year tail (5-year tail for money transmitters); adds cancellation language; sets the bond amount for debt management service providers at $100,000 and eliminates finance management services from the duties of a provider; sets the bond amount for money transmitters at $300,000 and eliminates the alternate security option. Status: 4-30-13: (S) signed by the President Pro Tempore
HB 1314 – Postsecondary Proprietary Schools. Would revise the bond requirement for postsecondary proprietary educational institutions. Current law requires a bond based on the amount of tuition that the school collects. Schools also must make a contribution to the Student Assurance Fund. Schools that make a contribution to the fund are not required to make further contributions or post a surety bond when the fund accumulates $1 million. The bill would reduce the accumulated amount for the fund to $500,000. Status: 4-30-13: (S) signed by the President Pro Tempore
NEW LAW: SB 433 – Tax Bond. Provides that a deposit or performance bond could be required in connection with the transfer of an abandoned property that did not sell in a tax sale for the purposes of repairing it. The bond would be in an amount not to exceed 25% of the delinquent taxes, special assessments, penalties, interest and costs of sale of the property. The bond would be forfeited for failure to satisfactorily repair and maintain the property. Status: 5-8-13: Signed by the Governor; effective 7-1-13
NEW LAW: SB 518 – Election Recounts. Would clarify the bond requirements for election recounts so that the bond amount cannot exceed the amount required under the existing law's formula for determining the bond. Status: 5-7-13: Signed by Governor; effective
NEW LAW: SB 537 – Vehicle Dealers. Reorganizes the existing law concerning motor vehicles under the administration of the Dealer Services Division (Division), which the bill would create in the Office of the Secretary of State. The Division would be charged with administering certain laws. The bill would transfer the existing law's licensing and bonding requirements to the Division without change. Current law requires a $25,000 license bond for various motor vehicle sales entities. The bill eliminates a license requirement for a distributor branch, which appears to eliminate the bonding requirement for this licensee. The bill also appears to eliminate a bonding exemption for transfer dealers, wholesale dealers, and automotive mobility dealers. Current law exempts such entities if they are licensed prior to July 1, 2009. Status: 4-26-13: Signed by the Governor; effective 7-1-13
NEW LAW: SB 559 – Transportation Suppliers - Medicaid. Would require transportation suppliers enrolling in Medicaid, changing the ownership of a Medicaid provider or those purchasing or transferring the assets or ownership interests of a Medicaid provider and enrolling as a provider in the Medicaid program to post a $50,000 surety bond. The bond would be continuous for a term of three years, and would have to provide that the surety is liable for a duplicate, erroneous or false Medicaid claim to the provider during the bond's term. The surety would be required to pay any such amounts paid to the provider, plus interest and penalties, within 30 days of receiving notice of its liability, not to exceed the bond amount. Status: 5-7-13: Signed by the Governor |
IOWA - IA
Legislature
Session Dates: 1/14/13 – 5/3/13 | Adjournment Date: 5/3/13 |
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HF 177 – Deer Hunting Preserves. Would require landowners keeping farm deer or white tail deer for a hunting preserve to register and provide a surety bond or a "cash performance bond" in an amount of not less than $100,000. The bond would indemify the state for any costs incurred in the event that a confirmed case of chronic wasting disease is found in the deer. Status: 2-28-13: (H) in Committee on Natural Resources; subcommittee reassigned
NEW LAW: HF 458 – Pesticide Applicators. Would increase the amount of financial responsibility required of a commercial applicator of pesticides. The bill would increase the current limits for a surety bond, insurance policy or letter of credit to $200,000, and allow an option to obtain liability insurance with limits of $100,000 per occurrence and $300,000 annual aggregate. Status: 3-28-13: Signed by Governor
NEW LAW: HF 488 – Public Officials - ABC. Would repeal the bond requirement for the administrator of the Alcoholic Beverage Division, and the bond requirement for the members of the Alcoholic Beverages Commission and certain Division employees who hold a position of trust. The bill also contains provisions for the electronic submission of wine and beer permits and bonds. Status: 4-10-13: Signed by Governor; effective 7-1-13
HF 565 – Mechanic's Liens. Would revise existing law on mechanics' liens. The bill provides that in a civil action by a subcontractor or owner against a general contractor or owner-builder, the bond that the general contractor or owner-builder furnishes would have to be approved by the Secretary of State, who serves as the administrator of this law. Current law says that the judge of the district court must approve the bond. Status: 5-6-13: sent to Governor
HF 596 – Public Officials. Would repeal the bond requirement for members of the county commissions of Veterans Affairs. Current law requires a $500 bond. Status: 4-5-13: (H) referred to Veterans Affairs
SF 244 – Public Officials. Would repeal the bond requirement for members of the county commissions of Veterans Affairs. Current law requires a $500 bond. Status: 3-5-13: (S) assigned to subcommittee in Veterans Affairs
SF 246 – Pesticide Applicators. Would increase the amount of financial responsibility required of a commercial applicator of pesticides. The bill would increase the current limits for a surety bond, insurance policy or letter of credit to $200,000, and allow an option to obtain liability insurance with limits of $100,000 per occurrence and $300,000 annual aggregate. Status: 3-12-13: (S) Amendment S-3012 filed
SF 360 – Mechanic's Liens. Would revise existing law on mechanics' liens. The bill provides that in a civil action by a subcontractor or owner against a general contractor or owner-builder, the bond that the general contractor or owner-builder furnishes would have to be approved by the Secretary of State, who serves as the administrator of this law. Current law says that the judge of the district court must approve the bond. Status: 4-24-13: (S) HF 565 substituted; withdrawn
NEW LAW: SF 427 – Contractors. Would subject sheet metal and mechanical contractors to the existing law's licensing and bonding requirements. Status: 4-26-13: Signed by Governor; effective upon enactment |
KANSAS - KS
Legislature
Session Dates: 1/14/13 – 4/30/13 | Adjournment Date: 5/22/13 |
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NEW LAW: HB 2024 – Roofing Contractors. Would require roofing contractors to obtain a registration certificate, and authorize the Attorney General to administer the proposed law and adopt rules to implement it. The rules could include requirements to obtain insurance, indemnity coverage or surety bonds. The Attorney General would determine the amounts. Status: 4-22-13: Approved by Governor; effective 7-1-13 |
KENTUCKY -
KY
Legislature
Session Dates: 1/8/13 – 3/26/13 | Adjournment Date: 3/26/13 |
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NEW LAW: HB 120 – Appraisal Management Companies. Replaces the bond requirement for real estate appraisal management companies with a recovery fund; directs the board to promulgate regulations to ensure the balance in the fund shall not fall below $300,000. Only Kentucky licensed or certified real property appraisers who have suffered a loss and received a final judgment from a court of competent jurisdiction may file a claim against the fund. Status: 3-21-13: Signed by Governor; Acts Ch. 46
NEW LAW: SB 13 – Liquor Bonds. Would repeal the existing tax bond requirements for brewers, distillers, rectifiers, bottling houses or vintners licenses; also would repeal the bond requirements for wholesale dealers. Status: 4-4-13: Signed by Governor; Acts Ch. 121
NEW LAW: SB 66 – Radon Mitigation Professionals and Radon Measurement Professionals. Would repeal the bond requirement that was enacted in 2012, leaving the insurance coverage provision intact. Status: 3-21-13: Signed by Governor; Acts Ch. 68 |
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HB 543 – Surplus Lines Insurers. Would eliminate the bond requirement for foreign surplus lines insurers. Current law requires these insurers to meet certain capital and surplus requirements or post a bond with the commissioner of insurance in the amount of $100,000. Status: 5-8-13: (S) Insurance Committee reported with amendments
HB 545 – Viatical Settlements. Would require viatical settlement providers entering into viatical settlement contracts with persons seeking certain Medicaid benefits to post a surety bond, an E&O policy, or a deposit of cash, CDs, or securities, or any combination thereof, in the amount of $500,000. Status: 4-8-13: (H) read by title, under the rules, referred to Insurance
HB 567 – Debt Relief Services Providers. Would require providers of debt relief services to be registered and provide evidence of a surety bond in the amount of $50,000 or the average daily balance of client funds under management for the preceding six months, whichever is greater, for the benefit of any individual who is damaged by the provider's breach of a contract or failure to directly or through a third party properly administer funds collected by a provider from an individual or disbursed by a provider on an individual's behalf. Status: 5-8-13: (H) read third time by title, amended, roll called on final passage; failed to pass, motion to reconsider tabled
HB 641 – Nonparticipating Tobacco Manufacturers. Would require all nonparticipating manufacturers to post a bond or cash equivalent for the benefit of the state. The bond amount for a nonparticipating manufacturer which has been listed on Louisiana's state directory for at least three years would be $50,000 or the highest amount owed for any quarter over the past three years, whichever is greater; for a manufacturer which has not been listed for at least three years, the bond amount would be determined by the attorney general based on any prior history in any state, as well as any other considerations deemed relevant, but not less than $100,000. Status: 5-8-13: (H) scheduled for Floor debate on 5-14-13 |
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LD 1092 (SP 374) – Viatical Settlements. Would establish procedures for the use of life insurance settlement providers in connection with a state long-term care benefits program. The provider would have to provide a form of security in connection with a settlement contract in the amount of $500,000, which could consist of one or a combination of a surety bond, E&O insurance and a deposit of cash, CDs or securities. Status: 3-26-13: (H) referred to Insurance and Financial Services; in concurrence; ordered sent
LD 1277 (SP 438) – Professional Solicitors. Would rewrite the bond requirement for professional solicitors and clarify that the liability under the bond is for malfeasance or misfeasance occurring during the license term. Status: 4-9-13: (H) receded and concurred to reference to the Committee on Insurance and Financial Services; ordered sent forthwith |
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NEW LAW: SB 305 – Employment Agencies. Would revise several laws pertaining to employment and wages, including eliminating the bond requirement for employment agencies. Current law requires a $7,000 bond conditioned on compliance with the law and payment of damages owed. Status: 5-2-13: Approved by Governor; Chapter 224; effective 7-1-13 |
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HB 18 – Blasting Permits. Would delete the specified bond amounts required for a permit in a city or town to use an explosive in blasting rock. Current law requires a maximum $10,000 bond for a single permit, and a $20,000 bond for permits in multiple cities or towns. Status: 2-14-13: (S) concurred in referral to Joint Committee on Public Safety and Homeland Security
HB 183 – Residential Sellers. Would require residential sellers, persons who sell goods door-to-door, to be licensed and post a $10,000 surety bond to secure the licensee's compliance with all municipal ordinances. Status: 1-22-13: (S) concurred in referral to Joint Committee on Consumer Protection and Professional Licensure
HB 276 – Vendors. Would require vendors conducting retail sales or services in a booth, tent, table, kiosk, or other space that is not the vendor's fixed building site to post a surety bond. The bond would guarantee repayment of a consumer's purchase price in the event of a return. The bond would remain in place for one year from the date of the vendor's sublease or from the issuance of the vendor's license. Of note, the bond would have to guarantee a minimum return amount of up to $1,000 for a single purchase. Status: 1-22-13: (S) concurred in referral to Joint Committee on Consumer Protection and Professional Licensure
HB 875 – Debt Management Services Providers. Would require debt management service providers to be licensed and post a surety bond in an amount to be determined by the Commissioner of Banks. Status: 5-6-13: (Joint) hearing scheduled for 5-14-13
HB 876 – Money Transmitters. Would rewrite the law for money transmitters handling foreign deposits. Current law requires a bond in an amount equal to twice the average weekly amount of money or equivalents thereof transmitted to foreign countries by such person. The bond could not be less than $50,000. If a licensee has more than one location, the bond amount would be $50,000 or twice the average total weekly amount of money or equivalents thereof transmitted to foreign countries from all locations, whichever is greater. Other security may be posted in lieu of the bond. Under the proposed law, the amount of the bond or other security would be $50,000 plus $10,000 per location, with a cap of $450,000. Status: 1-22-13: (S) concurred in referral to Joint Committee on Financial Services
HB 950 – Third Party Administrators. Would require third party administrators to be licensed and post a $100,000 surety bond. Status: 4-26-13: (J) hearing scheduled
HB 992 – Appraisal Management Companies. Would require real estate appraisal management companies to be licensed and post a $20,000 surety bond, payable to the state for the benefit of a claimant against the company. The bond would secure the company's faithful performance of its obligations under the proposed law. Status: 1-22-13: (S) concurred in referral to Joint Committee on Financial Services
HB 1270 – Conservators. Would establish legal protections for child performers and their families. The proposed law would require any conservator appointed for such children in certain probate procedures to post a bond. Status: 1-22-13: (S) concurred in referral to Joint Committee on Judiciary
HB 1632 – Cannabis Industry Taxes. Would regulate marijuana by taxing the cannabis industry. Cannabis processors would have to be licensed, and would be responsible for affixing the required tax stamps to the cannabis packages to demonstrate payment of the taxes. Processors could obtain the stamps on a credit basis if they post a surety bond to guarantee payment of the tax. Status: 1-22-13: (S) concurred in referral to Joint Committee on Judiciary
HB 3369 – Autonomous Vehicles. Would permit autonomous vehicles to be used on public roads. The proposed law outlines the requirements for testing such vehicles, and requires entities performing the testing to submit proof of insurance, a surety bond, or self-insurance that is acceptable to the Division of Highway Safety in the amount of $5 million. Status: 1-22-13: (S) concurred in referral to Joint Committee on Transportation
SB 125 – Second-Hand Dealers. Would require second-hand dealers to post a $300 license bond in the city or town where they are licensed. Status: 1-22-13: (H) concurred in referral to Joint Committee on Consumer Protection and Professional Licensure
SB 360 – Scrap Tire Transporters. Would require scrap or used tire transporters to post a minimum $100,000 surety bond, conditioned on compliance with the applicable laws and regulations. Status: 1-22-13: (H) concurred in referral to Joint Committee on Environment, Natural Resources and Agriculture
SB 715 – Uniform Trust Code. Would adopt the Uniform Trust Code. In the case of a testamentary trust, the trustee would be required to furnish a surety bond unless the terms of the trust waived the requirement, or the court determines that the bond is not necessary to protect the interests of the beneficiaries. The court would be authorized to excuse the bond requirement, reduce the amount of the bond, release the surety, or permit the substitution of another bond with the same or a different surety if the trustee or other interested person petitioned for it. Further, if the trust instrument exempts the trustee from furnishing a bond or limits the bond amount, or if the court determines that a bond is insufficient, the court would be authorized to require a bond or a larger bond. The bill also addresses the liability of the bond for resigning trustees. Status: 1-22-13: (H) concurred in referral to Joint Committee on Judiciary. |
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Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety Legal if you have information regarding legislative updates. |
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HF 131 – Estate Sale Conductors. Would require estate sale conductors to post a $20,000 surety bond to the county in which the estate sale will take place or in which the conductor resides. The bond would be conditioned that the conductor will pay all sums required by law or contract and comply with the applicable laws. Status: 5-8-13: (H) bill was repassed as amended by the Senate
HF 157 – Bullion Coin Dealers. Would require bullion coin dealers to register and post a surety bond in an amount not less than the total purchase and sales transactions the dealer made during the previous 12-month period. Direct actions would be permitted against the bond, and the Commissioner of Commerce and the AG also would be permitted to bring actions against the bond. Status: 4-19-13: (H) Committee Report, To Pass as Amended and re-refer to Rules and Legislative Administration
HF 578 – Combative Sport Promoters. Specifies that the license bond required under existing law for promoters must not be less than $10,000. Status: 3-6-13: (H) motion to recall and re-refer, motion prevailed; referred to Jobs and Economic Development Finance and Policy
HF 636 – Elevator Contractors. Would require elevator contractors to obtain a $25,000 license bond, conditioned on the faithful and lawful performance of all work contracted for or performed in the state. The bond would be for the benefit of persons suffering damages resulting from the contractor's failure to perform. Status: 2-18-13: (H) introduced, first reading; referred to Jobs and Economic Development Finance and Policy
HF 778 –Timber Permits. Would permit alternative forms of security to be posted in lieu of the bond required under existing law for timber permits. The bill would allow a permit holder to provide a cash deposit, certified check, cashier's check, a postal, bank or express money order, or an irrevocable letter of credit. Status: 3-20-13: (H) from Government Operations, To Pass and re-refer to Environment, Natural Resources and Agriculture Finance
HF 1118 – General Surety Bond Requirements. Would revise the general requirements for posting a surety bond; would delete the requirement that the surety be a resident and freeholder of the state; would revise the requirement that two or more sureties provide the bond to require that one or more sureties provide the bond instead. Status: 4-29-13: (S) Committee Report: Subst. for SF on General Orders, SF 832; second reading
HF 1214 – Motor Vehicle Dealers. Would revise the motor vehicle dealer bond requirement in existing law to provide that the bond is for the benefit of an owner of a motor vehicle for any monetary loss resulting from the licensee's failure to meet the obligations that the bond secures. Status: 5-3-13: (H) motion to re-refer to Commerce and Consumer Protection Finance and Policy; motion prevailed
HF 1233 – Durable Medical Equipment Providers. Would require all durable medical equipment, prosthetics, orthotics, and supplies suppliers operating in Minnesota to name the Department of Human Services (Department), in addition to the federal Centers for Medicare and Medicaid Services, as an obligee on all bonds required under federal law for Medicaid providers. The bill also would authorize the Department to require a provider to obtain a $100,000 performance surety bond or 10% of the provider's payments from Medicaid during the immediately preceding 12 months, whichever is greater. The bond would be required as a condition of initial enrollment, re-enrollment, reinstatement, or continued enrollment based on the certain conditions pertaining to the provider's history, risk, or other factors. The bill provides that these bonds must also allow for recovery of costs and fees. Status: 5-2-13: Conference Committee, author added
HF 1243 – Investment Brokers/Dealers. Would revise the amount of the bond that may be required of a broker-dealer or investment adviser that has custody of or discretionary authority over funds or securities of a customer or client. Current law requires a minimum $25,000 bond. The bill would cap the bond amount at not more than $100,000. Status: 4-16-13: (S) Committee Report: Rule 45 amend, substitute General Orders SF 1376; second reading
HF 1416 – Autonomous Vehicles. Would direct the Commissioner of Transportation to evaluate policies and develop a proposal for legislation governing regulation of autonomous vehicles; the proposal could include surety bond requirements. Status: 4-24-13: (H) HF indefinitely postponed; see SF 1270
SF 382 – Bullion Coin Dealers. Would require bullion coin dealers to register and post a surety bond in an amount not less than the total purchase and sales transactions the dealer made during the previous 12-month period. Direct actions would be permitted against the bond, and the Commissioner of Commerce and the AG also would be permitted to bring actions against the bond. Status: 5-2-13: (S) Finance Committee Report: to pass as amended; second reading
SF 656 – Combative Sport Promoters. Specifies that the license bond required under existing law for promoters must not be less than $10,000. Status: 2-28-13: (S) Committee Report, to pass as amended and re-refer to Finance 1
SF 832 – General Surety Bond Requirements. Would revise the general requirements for posting a surety bond; would delete the requirement that the surety be a resident and freeholder of the state; would revise the requirement that two or more sureties provide the bond to require that one or more sureties provide the bond instead. Status: 4-29-13: (S) HF substituted on General Orders, HF 1118
SF 934 – Motor Vehicle Dealers. Would revise the motor vehicle dealer bond requirement in existing law to provide that the bond is for the benefit of an owner of a motor vehicle for any monetary loss resulting from the licensee's failure to meet the obligations that the bond secures. Status: 4-2-13: (S) Judiciary Committee Report, to pass as amended; second reading
SF 1034 – Durable Medical Equipment Providers. Would require all durable medical equipment, prosthetics, orthotics, and supplies suppliers operating in Minnesota to name the Department of Human Services (Department), in addition to the federal Centers for Medicare and Medicaid Services, as an obligee on all bonds required under federal law for Medicaid providers. The bill also would authorize the Department to require a provider to obtain a $100,000 performance surety bond or 10% of the provider's payments from Medicaid during the immediately preceding 12 months, whichever is greater. The bond would be required as a condition of initial enrollment, re-enrollment, reinstatement, or continued enrollment based on the certain conditions pertaining to the provider's history, risk, or other factors. The bill provides that these bonds must also allow for recovery of costs and fees. Status: 4-24-13: (S) HF substituted on General Orders, HF 1233
SF 1236 – Education Institutions. Would permit the surety to cancel a performance bond required of certain educational institutions with 60 days' written notice. Status: 5-1-13: Conference Committee; conferees appointed
SF 1270 – Autonomous Vehicles. Would direct the Commissioner of Transportation to evaluate policies and develop a proposal for legislation governing regulation of autonomous vehicles; the proposal could include surety bond requirements. Status: 5-6-13: Conference Committee; conferees appointed
SF 1607 – Timber Permits, Elevator Contractors. Omnibus environment, natural resources, agriculture, commerce, energy, jobs, and economic development appropriations bill into which several other bills were incorporated. Status: 4-20-13: (H) received from Senate; first reading, referred to Ways and Means |
MISSISSIPPI
- MS
Legislature
Session Dates: 1/8/13 – 4/7/13 | Adjournment Date: 4/4/13 |
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Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety Legal if you have information regarding legislative updates. |
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HB 284 – Large Carnivore Owners. Would allow surety bonds to be posted to meet the insurance requirements for owning large carnivores. Current law requires a liability insurance policy. The bill also would establish permitting and insurance requirements for owning non-human primates for which surety bonds also would be accepted. Status: 5-1-13: (H) referred to Rules
HB 426 – Public Officials. Would revise the current bond requirements for state employees. The Commissioner of Administration would be authorized to require a surety bond from any officer, employee or agent of the state who has responsibility for or access to the State's money or property, and who is not otherwise required to be bonded. The Commissioner would determine the bond amount. In lieu of individual bonds, the Commissioner could obtain blanket bonds or a crime insurance policy, or elect to assume the risk for all state officers and employees. Status: 2-6-13: (H) read second time
HB 458 – Scholarship Funds - Special Needs Students. A school choice measure for students with special needs. The bill would create a scholarship and tax credit program. Participating scholarship granting organizations that received $50,000 or more in contributions would have to demonstrate financial viability. The organization could post a surety bond with the Department of Economic Development in an amount equal to the aggregate amount of contributions expected to be received during the school year. Status: 5-7-13: (H) perfected with amendments
HB 693 – Towing Companies. Would revise the bonding and insurance requirements for towing companies. Current law requires an insurance policy, bond or "other acceptable surety" that provides coverage for the death of or injury to persons and damage to property for each accident or occurrence in the amount of at least $500,000 per incident. The bill provides that the amount required would be what the U.S. Department of Transportation prescribes, and the company would be required to obtain a $25,000 surety bond or letter of credit. Status: 4-16-13: (H) Executive Session continued; action postponed
HB 701 – Insurance Navigators. Would establish a state health care exchange. Navigators for the exchange would be required to obtain a surety bond or other form of financial responsibility in an amount determined by the director of the Department of Insurance. The bond would protect persons against the wrongful acts, misrepresentations, errors, omissions, or negligence of the navigator. Status: 3-25-13: (H) Rules, reported Do Pass
HB 828 – Modular Unit Installers. Would require modular unit installers to be licensed and post a bond in an amount to be determined by the Public Service Commission. Status: 3-27-13: (H) in Utilities; public hearing completed
HB 979 – Motor Vehicle Dealers. Would subject ATV dealers, trailer dealers, and watercraft dealers to the existing $25,000 bond requirement for motor vehicle dealers acting as service agents who provide vehicle registration services. The bill also would increase the license bond for new motor vehicle franchise dealers, used motor vehicle dealers, power sports dealers, wholesale motor vehicle dealers, trailer dealers and boat dealers from $25,000 to $50,000. Status: 4-23-13: (H) public hearing scheduled; bill not heard
SB 13 – Solid Waste Facilities. Would eliminate a program concerning solid waste facilities that includes a performance bond requirement. Status: 5-9-13: S Informal Calendar S Bills for Perfection with SCS
SB 51 – Towing Companies. Would revise the amount of the insurance policy, bond or other acceptable surety required for tow truck companies; would require the bond or policy to be in the amount prescribed by the U.S. DOT. Status: 5-9-13: (H) calendar S bills for third reading w/HCS, as amended
SB 401 – Insurance Navigators. Would establish a state health care exchange. Navigators for the exchange would be required to obtain a surety bond or other form of financial responsibility in an amount determined by the director of the Department of Insurance. The bond would protect persons against the wrongful acts, misrepresentations, errors, omissions, or negligence of the navigator. Status: 5-8-13: referred to H Rules Committee
SB 403 – Insurance Navigators. Would establish a state health care exchange, and require navigators for the exchange to obtain a surety bond or other form of financial responsibility in an amount to be determined by the director of the Department of Insurance. The bond would protect persons against the wrongful acts, misrepresentations, errors, omissions or negligence of the navigator. Status: 5-9-13: S Informal Calendar S Bills for Perfection with SCS
SB 404 – Towing Companies. Would revise the bonding and insurance requirements for towing companies. Current law requires an insurance policy, bond or "other acceptable surety" that provides coverage for the death of or injury to persons and damage to property for each accident or occurrence in the amount of at least $500,000 per incident. The bill provides that the amount required would be what the U.S. Department of Transportation prescribes, and the company would be required to obtain a $25,000 surety bond or letter of credit. Status: 3-27-13: (S) hearing cancelled in Transportation and Infrastructure Committee
SB 484 – Motor Vehicle Dealers. Would increase the license bond for new motor vehicle franchise dealers, used motor vehicle dealers, powersports dealers, wholesale motor vehicle dealers, trailer dealers and boat dealers from $25,000 to $50,000. Status: 3-13-13: (S) second read and referred to Transportation and Infrastructure |
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NEW LAW: HB 116 – Deferred Deposit Lenders. Revises the bond requirement by specifying that a $10,000 bond is required for each location at or from which deferred deposit loan transactions are conducted. The bond also would cover the payment of civil penalties, restitution, and costs ordered by the Department of Administration as a result of a violation of the applicable law. Status: 4-24-13: Signed by Governor; Chapter 277; effective immediately
NEW LAW: HB 120 – Election Recounts. Would revise the bond requirement for candidates for public office who seek a recount of the election. The bond must be sufficient to cover all costs of the recount incurred by each county in which a recount is sought. Status: 4-30-13: Signed by Governor; effective 1-1-14
NEW LAW: HB 344 – Commodity Dealers. Would increase the maximum amount of the bond required for a commodity dealer from $1 million to $3 million. For new applicants, the bond amount would be based on the value of all agricultural commodities to be purchased during the coming 12-month period. The bill would increase the basis of the bond amount for all commodity dealers to 5% of the value used for determining the required amount. Status: 4-22-13: Signed by Governor; Chapter 247; effective 10-1-13
NEW LAW: SB 93 – Mortgage Professionals. Would include mortgage servicers in the existing provisions outlining which mortgage professional's acts may trigger a claim on the bond. Status: 3-29-13: Signed by Governor; Ch. 125; effective 10-1-13
NEW LAW: SB 116 – Special Fuel Users. Would repeal the special fuel user permit law in its entirety, which includes a bond requirement. Status: 4-12-13: Signed by Governor
NEW LAW: SB 251 – Uniform Trust Code. Would repeal the existing trust code and replace it with the Uniform Trust Code. Status: 4-22-13: Signed by Governor; Chapter 264; effective 10-1-13 |
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LB 568 – Insurance Navigators. Would establish a health insurance exchange to implement the requirements of the federal Patient Protection and Affordable Care Act. The bill provides that a bond or other form of financial responsibility would be required in connection with licensure as Status: 5-1-13: Harr Amendment 1218 filed
NEW LAW: LB 616 – Money Transmitters. Would require money transmitters to be licensed and to post a bond in the amount of $100,000, plus $5,000 for each location or additional authorized delegate. The bond would be capped at $250,000. Status: 3-20-13: Approved by Governor |
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AB 20 – Pest Control Businesses. Would increase the minimum amount of the insurance policy or bond required for a pest control business from $10,000 to $50,000. Status: 4-11-13: from printer, to engrossment; engrossed; to committee
AB 74 – Document Preparation Service Providers. Would require document preparation service providers to register and post a $50,000 bond. Such providers are non-attorneys who assist persons to prepare a legal document. The bond would indemnify the provider's clients and persons who have suffered damages as outlined. The bond also would be conditioned on payment to the Secretary of State for any unpaid civil penalty or award of attorney's fees or costs of suit. The surety is required to pay any final, non-appealable judgment of a court of the state that has jurisdiction. Status: 4-16-13: (A) from printer to engrossment, engrossed; exemption effective; to committee
AB 282 – Motor Vehicle Brokers. Would revise the existing bond requirement for motor vehicle brokers. Current law requires a $100,000 surety bond conditioned on the broker conducting his/her business without breaching a consumer contract or engaging in a deceptive trade practice, fraud or fraudulent representation, and without violation of the law. The bill specifies that the bond is for the use and benefit of the consumer for any loss or damage established, including without limitation actual damages, consequential damages, incidental damages, statutory damages, damages for noneconomic loss, and attorney's fees and costs. The bill also would repeal a provision that permits a person injured by the actions of a broker or an employee of a broker in violation of the law to apply to the Director of the Department of Motor Vehicles, for good cause shown, for compensation from the bond. As introduced, the bill did not substantively impact the bond requirement, but it was amended to include these provisions. Status: 4-19-13: (S) read first time and referred to Transportation
AB 404 – Time Share Developers. Would revise certain provisions concerning time shares. Current law requires the time share developer to place all money, negotiable instruments or other deposits pertaining to the sale of a time share to be placed in an escrow account. The bill would permit the developer to post a surety bond instead, in an amount equal to $25,000 or the highest monthly total of deposits received by a project broker, whichever would be greater. Status: 4-23-13: (A) referred to Ways and Means; exemption effective; to committee
SB 80 – Milk Distributors. Would revise the existing bond requirement for milk distributors to have the State Dairy Commission determine the amount required through regulations. The bond would be in favor of producers of fluid milk and fluid cream who sell directly to a distributor. Status: 3-13-13: (A) read first time; referred to Health and Human Services
SB 109 – Off-Highway Vehicle Dealers, Long- and Short-Term Lessors and Manufacturers. Would exempt off-highway vehicle dealers, long or short term lessors, or manufacturers from the current law's $50,000 bond or deposit requirement, if the licensee already has complied with the existing bond or deposit requirements for brokers, manufacturers, dealers, distributors, rebuilders or brokers of certain motor vehicles, and the bond already exceeds $50,000. Status: 4-17-13: (A) read first time; referred to Transportation
SB 321 – Mortgage Loan Servicers. Would direct the Commissioner of Mortgage Lending to adopt regulations for mortgage loan servicers to implement the bill's licensing requirements, which includes a surety bond or other security in an amount determined by the Commissioner. Status: 4-23-13: (A) read first time and referred to Judiciary |
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HB 594 – Financial Institutions - Fidelity Bonds. Would exempt certain institutions from the fidelity bond requirements for financial institutions, which would include motor vehicle sales finance companies, retail sellers of motor vehicles, non-depository first mortgage bankers and brokers, mortgage loan servicers, small lenders making loans of $10,000 or less, title lenders, payday lenders, debt adjustment service providers and money transmitters. Status: 4-4-13: (S) scheduled for hearing in Commerce
SB 162 – Postsecondary Career Schools. Would eliminate the student tuition guaranty fund. Status: 4-30-13: (H) proposed committee amendment #2013-1401h (new title) |
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AB 757 – Exchange Facilitators. Would regulate exchange facilitators -- persons who facilitate like-kind exchanges of property pursuant to federal tax law; would require facilitators to be licensed and obtain a fidelity bond in an amount of not less than $1 million, or post cash, securities or a letter of credit in an equal amount. Status: 2-14-13: (A) Floor Amendment passed
NEW LAW: AB 1968 – Municipal Treasurers and Tax Collectors. Would permit surety companies to issue blanket bonds for municipal treasurers and tax collectors, and municipal court judges and administrators. Status: 1-14-13: Approved by the Governor; effective immediately
AB 3900 – Court Bond - Confiscated Animals. Would establish minimum penalties for animal cruelty law violations in connection with the existing animal cruelty laws; persons subject to the forfeiture of an animal would be required to post a bond or make other arrangements to pay for the cost of caring for the animal while it is held. Status: 3-7-13: (A) introduced; referred to Agriculture and Natural Resources
SB 2614 – Scholarships. School choice measure with a scholarship program for all students. In order to participate in the program, non-public schools receiving $50,000 or more in scholarship funds would have to file a surety bond in an amount equal to the aggregate amount of the scholarships expected to be paid during the school year. In lieu of a bond, financial statements demonstrating the ability to pay such amounts would be permitted. Status: 3-4-13: (S) introduced; referred to Education
SB 2658 – Home Improvement Contractors. Would revise existing law to require registered contractors engaged in home improvement to post a bond in the amount of $25,000 or such other amount as the Director of the Division of Consumer Affairs may determine by regulation. Status: 4-15-13: (S) introduced; referred to Commerce |
NEW MEXICO
- NM
Legislature
Session Dates: 1/15/13 – 3/16/13 | Adjournment Date: 3/16/13 |
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NEW LAW: HB 45 – Superintendent of Insurance. Would authorize the Superintendent of Insurance to require the employees of the Office of the Superintendent to obtain performance bonds. This bill would implement a constitutional mandate to transfer insurance regulatory power away from the Public Regulation Commission. Status: 3-29-13: Signed by Governor; Ch. 74
NEW LAW: SB 181 – Hearing Aid Dispensers. Would require hearing aid dispensers to post a $10,000 bond in connection with the existing license requirements. Status: 4-2-13: Signed by Governor; Ch. 110
NEW LAW: SB 638 – Private and Proprietary Schools. Would subject regionally accredited private colleges and universities and proprietary schools to the existing law for career schools for which a $5,000 bond is required. Status: 3-28-13: Signed by Governor; Ch. 59; effective 6-14-13 |
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AB 77 – Immigration Service Providers. Would require immigration service providers to obtain a license from the Department of State, and direct the Secretary of State to enforce the existing law's surety bond and licensing application requirements. Status: 1-9-13: (A) referred to Economic Development
AB 78 – Immigration Service Providers. Would require immigration service providers to obtain a license from the Department of State, and direct the Secretary of State to enforce the existing law's surety bond and licensing application requirements. Status: 1-9-13: (A) referred to Economic Development
AB 189 – Title Insurance Agents. Provides for the licensing of title insurance agents. The bill currently does not contain a bond requirement. Status: 1-9-13: (A) referred to Insurance SFAA is pursuing the addition of a bond requirement.
AB 595 – Home Improvement Contractors. Would require home improvement contractors to register and post a bond in an amount based on the volume of the contractor's business in the 12 months prior to registering. The bonds range from $10,000 to $50,000. The bond would be conditioned on payment of judgments against the contractor resulting from a breach of the contract. Status: 1-9-13: (A) referred to Consumer Affairs and Protection
AB 597 – Debt Management Services Providers. Would require debt management service providers to post a $250,000 bond, which amount could be adjusted based on the provider's business practices and financial condition. Other forms of security could be accepted in lieu of the bond. Status: 1-9-13: (A) referred to Consumer Affairs and Protection
AB 633 – Process Servers. Would require process servers to be licensed and post a bond, contract of indemnity or letter of credit, the amount of which would be based on the number of employees: 1-4 employees - $10,000; 5-9 employees - $25,000; 10-19 employees - $50,000; and 20 or more employees - $75,000. The bond would be conditioned upon compliance with the applicable laws and regulations and the payment of any fines, fees, civil penalties, judgments and any related investigatory costs. Status: 1-9-13: (A) referred to Economic Development
AB 1081 – Home Improvement Contractors. Would establish penalties for subsequent violations for home improvement contractors who fail to comply with certain laws, including failure to provide an escrow deposit, bond, contract for indemnity or irrevocable letter of credit as provided under the lien law. Status: 1-9-13: (A) referred to Judiciary
AB 1512 – Roadside Farm Markets. Would require roadside farm markets selling wine to be licensed and post the bond required in connection with alcoholic beverage licenses. Status: 2-28-13: (A) reported, referred to Codes
AB 2571 – International Marriage Brokers. Would require international marriage brokers to post a $50,000 license bond conditioned on the broker's compliance with the law and any rules and regulations, and payment of fines, penalties and judgments issued against the broker. The bond would have to be maintained for the duration of the business and for 3 years succeeding the dissolution of the business. Status: 1-16-13: (A) introduced and referred to Economic Development
AB 3184 – Vehicle Booting. Would require persons engaging in the business of placing boots on a parked vehicle to post a $5,000 bond in connection with licensure. The bond would be furnished to the local authority of a political subdivision, and conditioned on compliance with the proposed law and local ordinances, and would secure payment to the local authority of any penalty, fine or other obligations, or any final judgments awarded from damages resulting from any misrepresentation, fraud or deceit or any unlawful act or omission of the licensee, his agents or employees while engaging in the business of booting. The bond amount could not exceed $20,000. Status: 1-24-13: (H) introduced and referred to Transportation
AB 4208 – Employment Agencies. Would increase the bond for employment agencies from $5,000 to $20,000, and increase the bond amount required for employment agencies that recruit domestic or household employees from outside the continental U.S. and for modeling agencies from $10,000 to $40,000. Status: 4-23-13: (S) referred to Consumer Protection
AB 4520 – Financial Depositories. Would authorize savings banks, savings and loan associations and credit unions to be depositories for public funds. A credit union would be required to furnish a form of security or pledge assets that are satisfactory in form and amount to the depositor to guarantee repayment of the depositor's funds, when required to be secured by the applicable law, decree or regulation. Status: 2-5-13: (A) referred to Banks
AB 5250 – Construction Contractors. Would establish a new law to regulate construction contractors under the general city laws; would authorize the Contractors License Board to require general contractors and specialty contractors to post a minimum $5,000 surety bond. The bond would be conditioned on the payment of wages to the contractor's employees or other persons entitled to such wages, and the contractor's honest conduct of the business. Direct actions would be allowed against the bond for wage claims and for persons injured or damaged as a result of the contractor's wrongful act; wage claims would have priority. Status: 2-21-13: (H) introduced and referred to Assembly Cities
AB 5695 – Private Air Ambulance Services. Would regulate private air ambulance services that have membership subscriptions; the service would be required to post a surety bond as a condition of obtaining a certificate of operation. The bond would be payable to subscribers to refund unearned subscription fees paid to the air ambulance service. Status: 3-6-13: (A) referred to Insurance
AB 5925 – Prescription Drug Wholesalers. Would require wholesalers of prescription drugs to register and post a performance or surety bond of not less than $100,000 to secure compliance with the proposed law; certain nonprofit groups and others would be exempt. Status: 3-8-13: (A) referred to Higher Education
AB 5984 – Mobility Vehicle Dealers. Would subject mobility vehicle dealers to the existing licensing and bond requirements for motor vehicle dealers. Status: 3-12-13: (A) referred to Transportation
AB 6093 – Pawnbrokers. Would require pawnbrokers to be licensed and maintain a net worth of $50,000 or post a surety bond for $10,000 for each license; a CD or ILOC would be accepted in lieu of the bond. The bond would be for the benefit of consumers injured by any fraud, misrepresentation, breach of contract, financial failure, or violation of the applicable law by the pawnbroker. Status: 3-14-13: (A) referred to Economic Development
AB 6506 – MMA/Combative Sports Promoters. Would authorize mixed martial arts matches to be conducted in the state, and require persons applying for a license to conduct such matches to post a bond conditioned on compliance with the applicable laws and regulations. An additional bond would be required to secure the payment of professional combative sports participants' purses, salaries of club employees licensed by the State Athletic Commission and the legitimate expenses of printing tickets and all advertising material. The Commission would determine the amount required for both bonds. Status: 4-4-13: (A) referred to Tourism, Parks, Arts and Sports Development
SB 219 – Debt Collection Agencies. Would require debt collection agencies to be licensed and post a surety bond, contract of indemnity, or an irrevocable letter of credit. The security must be payable to the State of New York. The bond amount would be based on the number of employees of the licensee: 1-4 employees - $10,000; 5-9 employees - $25,000; 10-19 employees - $50,000; and 20 or more employees - $75,000. The bond would be conditioned upon compliance with the law and payment of all costs and penalties. Status: 1-9-13: (S) referred to Consumer Protection
SB 267 – Roadside Farm Markets. Would require roadside farm markets selling wine to be licensed and post the bond required in connection with alcoholic beverage licenses. Status: 5-7-13: (A) passed Senate and delivered to Assembly; referred to Codes
SB 709 – Immigration Service Providers. Would require immigration service providers to obtain a license from the Department of State, and direct the Secretary of State to enforce the existing law's surety bond and licensing application requirements. Status: 1-9-13: (S) referred to Consumer Protection
SB 1705 – Immigration Service Providers. Would require immigration service providers to obtain a license from the Department of State, and direct the Secretary of State to enforce the existing law's surety bond and licensing application requirements. Status: 1-9-13: (S) referred to Consumer Protection
SB 1719 – Fuel Distributors, etc. Would regulate fuel distributors, importing transporters of motor fuel, terminal operators and LP gas fuel businesses; would require distributors and LP gas fuel businesses to register and post a bond or other security to secure payment of any sums due under the proposed law. The bill would allow for the waiver of the bond requirement for LP gas fuel businesses. Importing transporters and terminal operators would have to be licensed and post a bond to secure the performance of duties. Status: 1-9-13: (S) referred to Energy and Telecommunications
SB 1724 – International Marriage Brokers. Would require international marriage brokers to post a $50,000 license bond conditioned on the broker's compliance with the law and any rules and regulations, and payment of fines, penalties and judgments issued against the broker. The bond would have to be maintained for the duration of the business and for 3 years succeeding the dissolution of the business. Status: 1-9-13: (S) referred to Consumer Protection
SB 2755 – MMA/Combative Sports Promoters. Would authorize mixed martial arts matches to be conducted in the state, and require persons applying for a license to conduct such matches to post a bond conditioned on compliance with the applicable laws and regulations. An additional bond would be required to secure the payment of professional combative sports participants' purses, salaries of club employees licensed by the State Athletic Commission and the legitimate expenses of printing tickets and all advertising material. The Commission would determine the amount required for both bonds. Status: 3-7-13: (A) referred to Tourism, Parks, Arts and Sports Development
SB 3161 – Financial Depositories. Would authorize savings banks, savings and loan associations and credit unions to be depositories for public funds. A credit union would be required to furnish a form of security or pledge assets that are satisfactory in form and amount to the depositor to guarantee repayment of the depositor's funds, when required to be secured by the applicable law, decree or regulation. Status: 1-31-13: (S) introduced and referred to Local Government
SB 4052 – Private Air Ambulance Services. Would regulate private air ambulance services that have membership subscriptions; the service would be required to post a surety bond as a condition of obtaining a certificate of operation. The bond would be payable to subscribers to refund unearned subscription fees paid to the air ambulance service. Status: 3-6-13: (S) referred to Insurance
SB 4115 – Pawnbrokers. Would require pawnbrokers to be licensed and maintain a net worth of $50,000 or post a surety bond for $10,000 for each license; a CD or ILOC would be accepted in lieu of the bond. The bond would be for the benefit of consumers injured by any fraud, misrepresentation, breach of contract, financial failure, or violation of the applicable law by the pawnbroker. Status: 3-8-13: (S) referred to Consumer Protection
SB 4144 – Prescription Drug Wholesalers. Would require wholesalers of prescription drugs to register and post a performance or surety bond of not less than $100,000 to secure compliance with the proposed law; certain nonprofit groups and others would be exempt. Status: 3-12-13: (A) referred to Higher Education
SB 4280 – Fireworks Displays. Would revise the permit bond requirement for fireworks displays in state parks. Current law requires the bond to run to the state park, county park, city, village, or town in which the permit is granted. This bill would revise this for state parks so that the bond runs to the state if the permit is granted for a display on the state's property. Otherwise, the bond runs to the local entity granting the permit. Status: 3-19-13: (S) referred to Finance |
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HB 661 – Landscape Contractors. Would rewrite current law for landscape contractors; contractors would need to be licensed and post a $10,000 surety bond or letter of credit conditioned on compliance with the law. Status: 4-10-13: (H) referred to Commerce and Job Development; if favorable, to Finance
HB 725 – Medicaid Providers. Would authorize the Department of Health and Human Services to require Medicaid-enrolled providers to obtain a performance bond or letter of credit in an amount not to exceed $100,000. The bond or LOC could be required if the provider fails to demonstrate financial viability, if there is significant potential for fraud and abuse, or if the Department "otherwise finds it is in the best interest of the Medicaid program to do so." The Department would be authorized to waive or limit the bond requirements for individual Medicaid-enrolled providers or for one or more classes of providers based on certain factors pertaining to the provider's volume of billings, business practices and length of operation, among other factors. The Department would have to consider the potential fiscal impact of the waiver or limitation of the bond requirement on the State Medicaid Program. Status: 4-18-13: (S) referred to Appropriations/Base Budget
HB 779 – Subdivisions. Would require a surety bond in connection with certain activities in a subdivision, including the installation of a retaining system, soil disturbing activities, and private streets. These bonds would have to remain in force for 10 years. Status: 5-9-13: (S) referred to Rules and Operations |
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NEW LAW: HB 1026 – Livestock Dealers. Would rewrite the existing livestock dealer laws, which require livestock dealers and wool dealers to post a minimum $10,000 surety bond in connection with licensure. The bill would allow letters of credit or cash to be posted in lieu of the bond. Status: 4-15-13: Signed by Governor; filed with Secretary of State on 4-16-13
NEW LAW: HB 1389 – Appraisal Management Companies. Would require real estate appraisal management companies to be licensed, and authorize the Real Estate Appraiser Qualifications and Ethics Board to require a bond through regulations. Status: 4-12-13: Signed by Governor
NEW LAW: SB 2317 – Manufactured Home Dealers. Would subject manufactured home dealers to the existing license bond requirement for mobile home dealers. Current law requires a $10,000 bond. Status: 4-1-13: Signed by Governor; effective 8-1-13 |
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HB 59 – Public Officials. This is the Ohio budget bill, and it contains several surety issues. Status: 4-23-13: (S) introduced and referred to Finance
HB 80 – Mortgage Servicers. Would require mortgage servicers to post a surety bond in the amount of $250,000 for the first location, plus $10,000 for each location that is registered separately. Status: 2-26-13: (H) assigned to Financial Institutions, Housing and Urban Development
SB 6 – Public Officials. Would establish procedures for filing suit against a county auditor, a township fiscal officer, or a village or municipal fiscal officer and their surety. The suit would be for recovering the amount due plus a 10% penalty. The existing procedure for filing suit against a county treasurer would be revised to conform with the new procedure. The bill also would require community schools to post a $50,000 surety bond or cash deposit. Status: 2-13-13: (S) referred to Public Safety, Local Government and Veterans Affairs. |
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HB 1512 – Insurance Brokers. Would repeal the $5,000 bond requirement in connection with obtaining a life or accident and health insurance broker's license. Status: 5-9-13: sent to Governor
NEW LAW: HB 1828 – Mortgage Lenders. Would require mortgage lenders to post a $100,000 surety bond in connection with the existing law's licensing requirements. The bond would secure the lender's faithful performance of all duties and obligations under the license. The bill provides for a continuous bond that must remain in effect for the license term. The bond would cover expenses, civil penalties and fees assessed under the law, and for losses or damages that the Administrator determines to have been incurred by any borrower or consumer as a result of the licensee's failure to comply with the law. The licensee would have to have a minimum net worth of $25,000. Status: 4-22-13: Approved by Governor; effective 11-1-13
HB 1884 – Real Estate Settlement Agents. Would require real estate settlement agents to obtain a blanket fidelity bond covering all settlement agents employed at an agency in an amount of not less than $150,000 and that would run concurrently with the license term. The bond's deductible could not exceed 15% of the bond penalty. The bond would provide coverage to the buyer, seller, lender and title insurance underwriter, insuring against loss due to employee dishonesty, defalcation or embezzlement. Status: 4-17-13: (H) Senate amendments received
NEW LAW: HB 2068 – Motor Vehicle Salesmen. Would repeal the current requirement for used motor vehicle salesmen to post a $1,000 bond in connection with licensure. Status: 4-26-13: Approved by Governor; effective 11-1-13
HB 2100 – Pharmacy Benefit Managers. Would require pharmacy benefit managers to be licensed. The bill provides for the adoption of regulations to outline the licensing requirements, which would have to include a surety bond. Status: 4-2-13: (S) in Business and Commerce, then to Appropriations; coauthored by Perryman
SB 792 – Vehicle Crushers. Would require vehicle crushers to post a $25,000 bond for each license. Status: 5-6-13: (H) conference granted, naming Conference Committee on Economic Development and Financial Services
SB 911 – Insurance Brokers. Would repeal the $5,000 bond requirement in connection with obtaining a life or accident and health insurance broker's license. Status: 5-8-13: (S) Conference Committee; remove Sen. Sparks as coauthor; remove Sen. Brown as author; authored by Sen. Sparks
SB 1053 – Roofing Contractors. Would amend the existing registration requirements for roofing contractors to require a $30,000 bond. The bond would require the availability of prompt and full warranty services by the roofing contractor to comply with all warranties expressed or implied in connection with each roofing project performed in the state in addition to all other registration requirements. The bond would be conditioned on the contractor not misrepresenting his/her qualifications and experience or any roofing-related service or product to the property owner, or violating any of the provisions of the Roofing Contractor Registration Act. The bond would have to provide reimbursement for any loss or damage suffered by any person by reason of any roofing-related services performed by the contractor or persons acting on the contractor's behalf. Status: 5-2-13: (S) conferees named
NEW LAW: SB 1062 – Workers' Compensation Plans. As originally introduced, the bill did not impact bonding. The bill was amended to rewrite the current workers' compensation law. Employers would be required to secure their workers' compensation plans through several financial instruments, including a surety bond, to be in an amount determined by the Insurance Commissioner but at least equal to an average of the yearly claims for the last three years. The bill also would establish a Workers' Compensation Self-Insurance Guaranty Fund for self-insurers that become impaired. Status: 5-6-13: Approved by Governor; effective 2-1-14 |
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HB 2123 – Pharmacy Benefit Managers. Would require pharmacy benefit managers to be licensed. The bill provides for establishing licensing qualifications through regulations, which would include a surety bond requirement. Status: 5-8-13: (H) assigned to subcommittee on Human Services
HB 2801 – Home Energy Performance Score Contractors. Would establish a licensing endorsement for contractors, authorizing the holder to operate a business assigning home energy performance scores. These contractors would have to comply with the surety bond requirements under existing law and post a $10,000 bond. Status: 5-6-13: (S) public hearing held
HB 2976 – Employment Agencies. Would increase the amount of the bond required for employment agencies from $5,000 to $20,000. Status: 3-13-13: (H) public hearing held; in Business and Labor
HB 2977 – Labor Contractors. Would expand existing law relating to farm labor contractors to include construction labor contractors. Current law requires farm labor contractors to post a bond or cash deposit to secure the payment of wages and other obligations. The bond amount is $10,000 if the labor contractor has no more than 20 employees, and $30,000 for more than 20 employees, unless the Commissioner of the Bureau of Labor and Industries authorizes a lower bond amount. Status: 4-30-13: (H) assigned to Subcommittee on Transportation and Economic Development; public hearing scheduled for 5-15-13
HB 3074 – Sales and Use Tax. Would establish new procedures for a sales and use tax. The bill would authorize the Department of Revenue to require sellers collecting sales taxes through vending machines to post a bond to secure the payment of the tax. Status: 2-27-13: (H) referred to Revenue
HB 3180 – Alcoholic Beverage Producers. Would expand the types of alcoholic beverage producers that can obtain a self-distribution permit. Current law only permits wine and cider manufacturers to obtain a self-distribution permit. The bill would expand this to include malt beverages. Current law requires such permit holders to post a surety bond in an amount determined by the Oregon Liquor Control Commission. The bill also would subject special events brewery licenses to the existing law's requirement for a $300,000 surety bond or a liquor liability insurance policy. Status: 4-10-13: (H) public hearing held
HB 3188 – Sales and Use Tax. Would establish new procedures for a sales and use tax. The bill would authorize the Department of Revenue to require sellers collecting sales taxes through vending machines to post a bond to secure the payment of the tax. Status: 2-27-13: (H) referred to Revenue
HB 3495 – Exchange Facilitators. Would require an exchange facilitator to furnish one or more fidelity bonds in an aggregate amount of not less than $1 million, deposit in a financial institution moneys, securities or irrevocable letters of credit, deposit with a financial institution funds used in an exchange in a qualified escrow account or trust, or be listed as a named insured on one or more fidelity bonds. Status: 5-8-13: (H) public hearing held; Work Session scheduled for 5-14-13
SB 207 – Residential Locksmiths. Would require residential locksmith services contractors and home inspector services contractors to post a $10,000 surety bond in connection with licensure. These provisions were added through an amendment to the original bill. Status:
5-6-13: (H) public hearing held; Work Session scheduled for 5-13-13
SB 803 – Forest Products. Would revise the bonding requirements for forest product sales. Current law requires a bid bond for 10% of the minimum price of the products to be sold. The bill provides that the bid bond would have to be for 10% of the minimum price of the products or $500,000, whichever is less. The law also authorizes the state forester to require a bond or other security from a successful purchaser. The bill provides that this bond would be capped at $500,000, and provides procedures for returning any unexpended amount of the bond or other security. Status: 3-12-13: (S) referred to Rural Communities and Economic Development |
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HB 113 – Private Postsecondary Schools. Would repeal the bond requirement in favor of a recovery fund. Status: 1-15-13: (H) referred to Education
HB 325 – Auctioneers and Trading Assistants. Would amend the act imposing regulations and licensing requirements on auctioneers, apprentice auctioneers, auction houses, auction companies and trading assistants; would repeal the license requirement for auction houses effective February 28, 2014, after which time such licensees will be required to obtain either an auction company license or an auctioneer's license in order to continue in the business and profession of auctioneering in the state. The bill also repeals sections of the law pertaining to trading assistants and combines it with the auction license sections, thus retaining the $5,000 bond requirement. Status: 4-3-13: (S) referred to Consumer Protection and Professional Licensure
HB 1124 – Mortgage Professionals. Would revise the basis for the bond requirement for mortgage professionals by changing the specification for what type of loans are used for determining the bond amount. Current law bases the amount on the licensee's loan origination volume for real property; the bill provides that it would be based on loans for residential real estate or dwellings. Status: 5-7-13: (S) referred to Banking and Insurance
HB 1128 – Motor Vehicle Sales Finance Companies. Would rewrite the law, which currently requires a $5,000 surety bond in connection with licensure as a sales finance company or a collector-repossessor. The bill would increase the bond amount for sales finance companies to $10,000. Status: 5-7-13: (S) referred to Banking and Insurance
SB 316 – Service Contract Providers. Would establish financial requirements for providers of service contracts, requiring a reimbursement insurance policy and a funded reserve account, as well as financial security in the form of a surety bond, cash deposit, securities, letter of credit or another form of acceptable security. The financial security would have to be in an amount of not less than $25,000 or 5% of the gross consideration the provider received from consumers from the sale of all service contracts issued and outstanding in the state, less any claims paid, whichever is greater. The provider or its parent company could maintain a net worth or stockholder's equity of at least $100 million in lieu of the other financial instruments. Status: 1-25-13: (S) referred to Banking and Insurance
SB 497 – Public Officials. Would revise several public official bond requirements, as well as the bonding requirements for city contracts. Status: 2-13-13: (S) referred to Local Government
SB 616 – Notaries. Would require notaries who notarize deeds for the conveyance of real property to post a $100,000 surety bond, conditioned on faithful performance of duties and the delivery of the notary's register and seal to the county office of the recorder of deeds in the event of the death, resignation or disqualification of the notary within 30 days of its occurrence. Status: 3-6-13: (S) referred to State Government
SB 622 – Debt Settlement Services Providers. Would require debt settlement service providers to be licensed and post a $25,000 bond. The bill provides for forfeiture of the bond and allows direct actions against the bond. Status: 3-6-13: (S) referred to Banking and Insurance |
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SB 388 – Alarm Service Businesses. Would repeal current law concerning alarm service businesses in which a $10,000 license bond is required. Status: 4-9-13: (S) in Commerce Committee; hearing postponed at request of sponsor |
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HB 3077 – Surety Claims - Local Magistrate Courts. Would increase the amount at which magistrate courts have concurrent jurisdiction on certain issues from $7,500 to $25,000, including actions on surety bonds where the penalty does not exceed this amount. Status: 1-8-13: (H) referred to Judiciary
HB 3423 – Manufactured Home Professionals. Would revise the circumstances in which a manufactured home professional's bond could be increased. Current law provides that the bond amount may be increased for a violation of the applicable law. The bill provides that the bond also could be increased if the licensee fails to meet the law's financial responsibility requirements. Status: 2-20-13: (S) introduced, read first time; referred to Labor, Commerce and Industry
HB 3444 – Wholesale Drug Distributors. Would require wholesale drug distributors to post a $100,000 surety bond or letter of credit. Status: 4-16-13: (S) referred to Medical Affairs
SB 47 – Surety Claims - Local Magistrate Courts. Would increase the amount at which local magistrate courts have concurrent jurisdiction on certain issues from $7,500 to $10,000, including actions on surety bonds where the penalty does not exceed this amount. Status: 1-8-13: (S) referred to Judiciary
SB 61 – Insurance/Bond Coverage Limits for Taxi Drivers. Would increase the amount of the insurance coverage or bond that taxi drivers must carry to a minimum of $100,000 for personal injury and a minimum of $50,000 for property damage per incident. Status: 1-8-13: (S) referred to Transportation
SB 143 – Personal Representatives. Would authorize the court to dispense with the bond required of a personal representative for a will in probate court upon application by the personal representative or another interested person. Status: 4-30-13: (H) debate adjourned until Tues., 5-14
SB 153 – Surety Claims - Local Magistrate Courts. Would increase the amount at which local magistrate courts have concurrent jurisdiction on certain issues from $7,500 to $15,000, including actions on surety bonds where the penalty does not exceed this amount. Status: 1-8-13: (S) referred to Judiciary
SB 310 – Manufactured Home Professionals. Would revise the financial responsibility requirements for manufactured home professionals; provides that licensees would have to comply with the same financial requirements as dealers. If an applicant fails to meet the financial requirements, the Manufactured Housing Board may require the applicant to post an increased surety bond or other security. Current law requires a manufacturer to post a $75,000 bond per location, retail dealers must post a $30,000 bond per location, retail salesmen to post a $15,000 bond, and manufactured home contractors, installers and repairers to post a $5,000 bond. Status: 3-19-13: (H) introduced and read first time; referred to Labor, Commerce and Industry
SB 349 – Appraisal Management Companies. Would require real estate appraisal management companies to be registered and post a $25,000 surety bond or other form of security. Status: 4-30-13: (H) referred to Labor, Commerce and Industry |
SOUTH DAKOTA
- SD
Legislature
Session Dates: 1/8/13 – 3/25/13 | Adjournment Date: 3/25/13 |
NEW LAW: HB 1056 – Trust Companies. Would reduce the period in which a bonding or an insurance company must give notice of cancellation or nonrenewal of the fidelity bond required under existing law for trust companies from 90 days to 60 days. Status: 3-12-13: signed by Governor; effective 7-1-13
NEW LAW: SB 1 – Oil and Gas Wells. Would increase the amount of the performance and plugging bond from $5,000 per well to $50,000 per well, and increase the amount of the blanket bond that may be posted from $20,000 to $100,000 to cover all wells. The bill also would repeal the surface restoration bond that could be required from a landowner or lessee that is not a party to the oil or gas leasing agreement. Status: 3-12-13: signed by Governor; effective 7-1-13
NEW LAW: SB 146 – Gaming Activities. Would impose a tax on certain gaming activities. If the corporate officers, member-managers or managers of limited liability companies, or partners of partnerships of a corporation, limited liability company, limited partnership, limited liability partnership, or limited liability limited partnership subject to tax who have control, supervision of, or are charged with the responsibility for making the returns and payments would be personally liable in the event of a failure for any reason to pay the tax. In lieu of personal liability, such entities could post a surety bond or CD as security to guarantee the payment of the taxes. The bond would have to be in an amount equal to the estimated annual taxes due. Status: 3-6-13: Signed by the Governor; effective immediately |
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NEW LAW: SB 135 – County Public Officials. Would make changes to several bond requirements for various county officials (county trustees, emergency communications districts board members, executive committee members, and employees, officers or other authorized persons who receive public funds, have authority to make expenditures from public funds, or have access to any public funds), for which current law provides that the bond amount is based on the amount of revenues. Status: 4-29-13: Signed by Governor; effective upon passage |
TEXAS - TX
Legislature
Session Dates: 1/8/13 – 5/27/13 | Adjournment Date: 5/27/13 |
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HB 292 – Poker Gaming Operators. Would require poker gaming operators to be licensed and post security for payment of gross receipts taxes; a surety bond is an option. Failure of the licensee to pay the tax would authorize the Commission to order the forfeit of all or part of the security to pay the amount due. Each employee of a licensed operator who handles cash must be covered by a fidelity bond. Status: 2-11-13: (H) read first time and referred to Licensing & Administrative Procedures
HB 385 – Public Officials. Would allow counties to self-insure rather than bond their officers and employees. Status: 5-2-13: (H) Laid on the table subject to call
HB 1542 – Public Official - Sheriff. Would provide that the sheriff's bond would cover the faithful performance of duties of the proposed law regarding the seizure of unlawfully possessed weapons in certain cases pertaining to military arms or property. Status: 4-11-13: (H) left pending in Defense & Veterans' Affairs Committee
HB 1584 – Scrap Tire Transporters. Would require scrap tire transporters to be registered and post a minimum $100,000 surety bond to be conditioned on compliance with the applicable law and regulations. Status: 2-25-13: (H) read first time and referred to Environmental Regulation
HB 1601 – Mortgage Originators. Would revise existing law to provide that financial services companies shall meet the financial requirements for a mortgage originator's license by participating in a recovery fund. An exclusive agent of a financial services company may meet the agent's financial requirements for holding a residential mortgage loan originator license by obtaining surety bond coverage in an amount equal to $1 million. The law already requires financial services companies to furnish a $1 million bond to cover its exclusive agents, and mortgage loan originators already have the option to post a bond or pay into a recovery fund. Status: 5-8-13: (H) laid on the table subject to call
HB 1954 – Notaries. Would require notaries to provide satisfactory proof to the secretary of state that he/she has completed a course of study of not less than three hours on notary laws, procedures, and ethics. The secretary of state would establish the standards of, and procedures for approving, courses of study required. Status: 3-5-13: (H) read first time and referred to Licensing & Administrative Procedures
HB 2148 – Motor Fuel Tax - Compressed Natural Gas and Liquefied Natural Gas. Would authorize the Comptroller to require licensees for natural gas to post a bond if he determines it is necessary to protect the revenues of the state; $30,000 minimum, $600,000 maximum. Status: 5-9-13: (H) read third time and passed
HB 2532 – Propane Distribution System Retailers. Would require propane distribution system retailers to post "financial surety" in the form of a letter of credit or cash in an amount equal to $3 multiplied by the number of gallons of aggregate storage capacity in all of the propane gas systems operated by the retailer or $250,000, whichever is less. The amount would be reviewed/adjusted annually. Status: 5-9-13: (S) referred to Natural Resources
HB 2597 – Debt Collectors. Would increase the bond required for third-party debt collectors from $10,000 to $500,000. The bill also would establish new licensing procedures, and the bond would be a condition of obtaining the license. Status: 4-22-13: (H) scheduled for public hearing in Investments & Financial Services; no action taken in committee
HB 2741 – Titling and Registration Services - DMV. Would authorize the DMV to permit deputy collector accessors to provide titling and registration services in an automated system; would authorize the DMV to lease equipment to the deputy for operating the automated system. The DMV may require the deputy to post a bond in an amount equal to the value of the equipment. The bill also would prohibit a county or municipality from requiring a permit, bond, fee or license for the movement of a vehicle or combination of vehicles or any load that they carry that exceeds the weight or size limits on the state highway system within the county or municipality. Status: 5-7-13: (S) referred to Transportation; scheduled for public hearing on 5-13-13
HB 3556 – Ambulance Transportation Services Providers. Would require a person applying for a license to provide only non-emergency ambulance transportation services to post a $50,000 surety bond and a $100,000 letter of credit. Status: 5-7-13: (S) referred to Health & Human Services; scheduled for public hearing on 5-9-13
SB 265 – Public Officials. Would allow counties to self-insure rather than bond their officers and employees. Status: 5-9-13: sent to Governor
SB 459 – Scrap Tire Transporters. Would require scrap tire transporters to be registered and post a minimum $100,000 surety bond to be conditioned on compliance with the applicable law and regulations. Status: 4-22-13: (H) referred to Environmental Regulation
SB 1004 – Mortgage Originators. Would revise existing law to provide that financial services companies shall meet the financial requirements for a mortgage originator's license by participating in a recovery fund. An exclusive agent of a financial services company may meet the agent's financial requirements for holding a residential mortgage loan originator license by obtaining surety bond coverage in an amount equal to $1 million. The law already requires financial services companies to furnish a $1 million bond to cover its exclusive agents, and mortgage loan originators already have the option to post a bond or pay into a recovery fund. Status: 5-9-13: (S) House passage reported
SB 1005 – Money Transmitters. Would eliminate a provision in current law for the condition of the security required of money service businesses which provides that the security is conditioned on the faithful compliance of the license holder or the principals, responsible individuals, employees and authorized delegates of the license holder with the applicable law and regulations. Surety bonds are accepted to meet the security requirement. Status: 4-16-13: (H) read first time and referred to Investments & Financial Services
SB 1037 – Notaries. Would require notaries to provide satisfactory proof to the secretary of state that he/she has completed a course of study of not less than three hours on notary laws, procedures, and ethics. The secretary of state would establish the standards of, and procedures for approving, courses of study required. Status: 3-12-13: (S) read first time and referred to Jurisprudence
SB 1093 – Estates. Would amend the estate law to provide that in a county where there is no statutory probate court, a matter related to a guardianship proceeding includes proceedings occurring after a guardianship of the estate of a ward is required to be settled as required by law. This would include an action calling on the surety of a guardian or former guardian to perform in place of the guardian or former guardian, which may include the award of a judgment against the guardian or former guardian in favor of the surety. It also would include an action against a former guardian of the former ward that is brought by a surety that is called on to perform in place of the former guardian. Status: 5-9-13: (H) Senate concurs in House amendment(s) - reported
SB 1296 – Real Estate Inspectors. Would require real estate inspectors to post a surety bond or other security in a minimum amount of $100,000. The bond would have to be convertible to cash for the benefit of persons who contract with an inspector in the state, without resort to the courts, if the inspector has committed a violation of the applicable law. Status: 5-7-13: (H) Committee Report sent to Calendars
SB 1648 – Motor Fuel Tax - Compressed Natural Gas and Liquefied Natural Gas. Would authorize the Comptroller to require licensees for natural gas to post a bond if he determines it is necessary to protect the revenues of the state; $30,000 minimum, $600,000 maximum. Status: 5-8-13: (S) Committee Report printed and distributed
SB 1803 – Medicaid Providers. Would direct the Texas Health and Human Services Commission's Office of the Inspector General to adopt rules to establish criteria for initiating a full-scale fraud or abuse investigation of Medicaid providers. The rules would have to include procedures for accepting and approving a Medicaid provider's request to post a surety bond to secure potential recoupments in lieu of a payment hold or another asset or payment guarantee. Status: 5-7-13: (H) reported favorably as substituted |
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NEW LAW: HB 160 – Insurance Navigators. Would establish a state health care exchange. The bill would require navigators for the exchange to obtain a surety bond in an amount determined by the insurance commissioner. The bond would cover the navigator's legal liability as the result of an erroneous act or failure to act in his or her capacity as a navigator. The bill would exempt navigators from the bond requirement if their scope of practice is limited to assisting individuals with enrollment in public programs and qualification for premium and cost sharing subsidies. Status: 4-1-13: Governor signed; S.L. Ch. 341; effective 4-1-13
NEW LAW: HB 245 – Immigration Consultants. Would add a 1-year tail to the bond required under existing law for immigration consultants. Status: 3-26-13: Governor signed; effective 5-14-13
NEW LAW: SB 153 – Developers. Would revise the existing law to specify that the bond or other security that a land use authority may require of a developer for a landscaping or infrastructure improvement, and for the duration of each improvement warranty period, would have to be in the amount of up to 10% of the engineer's original estimated cost of completion or the applicant's reasonable proven cost of completion, whichever is less. Status: 3-28-13: Governor signed; effective 5-14-13 (?) |
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NEW LAW: HB 71 – Nonparticipating Tobacco Manufacturers. Would require nonparticipating tobacco manufacturers to post a surety bond to secure the payment requirements under existing law in connection with the Master Settlement Agreement. Status: 5-3-13: Signed by Governor; effective upon passage
HB 287 – Pawnbrokers. Would require pawnbrokers and persons who deal in precious metals and who purchase or sell $50,000 or more of used precious metal, coins, jewelry or similar items to be licensed; increases the pawnbroker bond from $500 to $5,000 and subjects precious metal dealers to the requirement. The bill appears to convert a local bond requirement into a statewide bond requirement. Status: 2-19-13: (H) in Judiciary Committee
SB 118 – Pawn Shops. Would require pawnbrokers and persons engaged in the business of a precious metal dealer, and who purchases or sells $50,000 or more of used precious metal, coins, jewelry or similar items, to be licensed. The bill would increase the pawnbroker bond from $500 to $5,000, and subject precious metal dealers to the bond requirement. The bill also appears to convert a local bond into a statewide bond. Status: 2-20-13: (S) read first time and referred to Economic Development, Housing and General Affairs |
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NEW LAW: HB 2077 – Motor Carriers. Would make technical changes to the language regarding the term of the bond for motor carriers and transportation service providers. Status: 3-20-13: Approved by Governor; Chapter 582; effective 7-1-13
NEW LAW: HB 2219 – Wholesale Cigarette Dealers. Would revise the bond amount required for wholesale cigarette dealers in connection with purchasing cigarette tax stamps. The bill provides that the bond or letter of credit would have to be in the face amount that the Tax Commissioner determines to be satisfactory to cover possible losses resulting from the failure to remit taxes due. The bond amount cannot exceed two times the anticipated average monthly amount in purchases of Virginia revenue stamps by the wholesale dealer. Status: 3-13-13: Approved by Governor; Chapter 311; effective 7-1-13
NEW LAW: HB 2246 – Health Insurance Exchange Navigators. Would establish a health insurance exchange to implement the requirements of the federal Patient Protection and Affordable Care Act. The bill provides that a bond or other form of financial responsibility would be required in connection with licensure as a navigator of the State's health care insurance exchange. Such entities are charged with assisting enrollees in the exchange under a federal grant program through the new federal law. Status: 3-20-13: Approved by Governor; Chapter 595; effective 7-1-13
NEW LAW: SB 759 – Trustees of Incapacitated Persons. Would authorize the court to determine whether to require a bond from a trustee for an incapacitated person when the court is determining certain issues regarding the handling of such person's estate. Status: 3-18-13: Approved by Governor; Chapter 523; effective 7-1-13
NEW LAW: SB 1092 – Wholesale Cigarette Dealers. Would revise the bond amount required for wholesale cigarette dealers in connection with purchasing cigarette tax stamps. The bill provides that the bond or letter of credit would have to be in the face amount that the Tax Commissioner determines to be satisfactory to cover possible losses resulting from the failure to remit taxes due. The bond amount cannot exceed two times the anticipated average monthly amount in purchases of Virginia revenue stamps by the wholesale dealer. Status: 3-14-13: Approved by Governor; Chapter 389; effective 7-1-13
NEW LAW: SB 1117 – Certificate of Title for Vessels. Repeals the existing watercraft titling law and replaces it with the Uniform Certificate of Title for Vessels Act; requires a bond, indemnity, or other form of security in connection with an application for a transfer of ownership or a termination of security interest when a certificate of title cannot be produced for watercraft with a value exceeding $5,000. Status: 4-3-13: Approved by Governor; Chapter 787; effective 7-1-14
NEW LAW: SB 1219 – Motor Carriers. Would revise the bond requirements for motor carriers providing transportation services to clarify that the existing bond term, so the bond would be in effect for the first three years of licensure for entities providing transportation to passengers, and the first five years of licensure for brokers of transportation services. Status: 3-12-13: Approved by Governor; Chapter 165; effective 7-1-13
NEW LAW: SB 1261 – Health Insurance Exchange Navigators. Would establish a health insurance exchange to implement the requirements of the federal Patient Protection and Affordable Care Act. The bill provides that a bond or other form of financial responsibility would be required in connection with licensure as a navigator of the State's health care insurance exchange. Such entities are charged with assisting enrollees in the exchange under a federal grant program through the new federal law. Status: 4-3-13: Approved by Governor; Chapter 791; effective 7-1-13 |
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NEW LAW: HB 1012 – Appraisal Management Companies. Would increase the amount of the bond required of real estate appraisal management companies from $25,000 to $100,000. The 1st substitute bill added a provision for a cash bond or other security if a surety bond is not readily available to AMCs. Status: 5-1-13: Governor Signed; Ch. 90; effective 7-28-13
NEW LAW: HB 1034 – Escrow Agents. Would increase the amount of the fidelity bond required in connection with licensure as an escrow agent from $200,000 to $1,000,000. Status: 4-25-13: Governor Signed; effective 7-28-13
HB 1328 – Mortgage Loan Originators. Would revise the bond requirement for MLOs to eliminate the statute of limitations on claims, which provides that an action for a claim must be brought within one year from the violation of the law incurring damages occurred. Status: 4-28-13: (S) by resolution, returned to House Rules Committee for third reading
HB 1552 – Scrap Metal Processors. Would require scrap metal processors and recyclers to be licensed and post a $10,000 bond which would run to the state and be conditioned on compliance with the law. Direct actions against the bond would be permitted. Status: 4-27-13: delivered to Governor
HB 1883 – Fuel Licenses. Would rewrite the law concerning fuels, making bond requirements mandatory instead of discretionary or in response to a failure to pay taxes. Status: 4-25-13: delivered to Governor
HB 1888 – Hemp Growers. Would require industrial hemp growers to be licensed and post a $2,000 surety bond or ILOC. Status: 4-4-13: (H) public hearing in Appropriations Subcommittee on General Government
SB 5082 – Exchange Facilitators. Would clarify the fidelity bond requirement in existing law to specify that the bond secures against the facilitator's dishonest acts as outlined in current law at RCW 19.310.100. Under current law, the specification for what constitutes a dishonest act is not provided in connection with the bond requirement. Status: 4-27-13: delivered to Governor
NEW LAW: SB 5210 – Mortgage Loan Originators. Would revise the bond requirement for MLOs to eliminate the statute of limitations on claims, which provides that an action for a claim must be brought within one year from the violation of the law incurring damages occurred. Status: 4-22-13: Governor signed; Ch. 30, 2013 Laws; effective 7-28-13
SB 5312 – Small Consumer Installment Loan Providers. Would require lenders providing small consumer installment loans to post a bond of not less than $30,000 or more than $250,000, based on the annual dollar amount of loans originated. The bond would be conditioned on compliance with the law and payment of any money due or owing the state or any person. Status: 4-28-13: (H) by resolution, returned to Senate Rules Committee for third reading |
WEST VIRGINIA
- WV
Legislature
Session Dates: 1/9/13 – 4/14/13 | Adjournment Date: 4/13/13 |
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NEW LAW: HB 2608 – Appraisal Management Companies. Would require persons or firms offering real estate appraisal management services to post a surety bond in an amount not to exceed $100,000. The amount would be determined through regulations. The bond would run to the state for the benefit of any claimant against the registrant to secure the faithful performance of the registrant's obligations. The bill would permit direct actions on the bond, and consumer claims would have priority. The bond amount would have to be restored upon renewal if a claim has reduced the face amount of the bond. Status: 4-30-13: Approved by Governor; effective 90 days from passage (approx. 7-11-13)
NEW LAW: HB 3003 – Nonparticipating Tobacco Manufacturers. Provides that a newly qualified nonparticipating manufacturer seeking to be listed in the state's directory of tobacco manufacturers, or a nonparticipating manufacturer the attorney general determined to pose an elevated risk for noncompliance with the Master Settlement Agreement, would be required to post a bond in the amount of $25,000 or the amount of escrow the manufacturer was required to deposit as a result of its sales in the previous year in the state, whichever is greater. Status: 4-22-13: Approved by Governor; effective 7-9-13
NEW LAW: SB 454 – Fuel Taxes. Would subject fuel producers and manufacturers, alternative fuel bulk end-users, providers of alternative fuel and retailers of alternative fuel to the existing law's licensing requirements; however, a bond would only be required if the licensee fails to pay the taxes due or to file its tax return. Status: 5-3-13: Approved by Governor; effective 1-1-14 |
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Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety Legal if you have information regarding legislative updates. |
WYOMING - WY
Legislature
Session Dates: 1/8/13 – 3/1/13 | Adjournment Date: 2/27/13 |
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NEW LAW: HB 26 – Appraisal Management Companies. Would require real estate appraisal management companies to post a $25,000 bond or letter of credit in connection with licensure. The bond would be conditioned on the payment of all amounts due to persons performing appraisal services for the company, and the payment of all amounts due as a result of a judgment against the company for negligent or improper real estate appraisal services or appraisal management services or breach of contract in performing real estate appraisal services or appraisal management services. Status: 3-13-13: signed by Governor; Ch. 180; effective 7-1-13
NEW LAW: HB 77 – Lottery Retailers. Would authorize a lottery in Wyoming, and require vendors to post a performance bond or other security for contracts with the obligee. Status: 3-13-13: signed by Governor; Ch. 200; effective 7-1-13 |
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