Lance Surety Bond Associates, Inc.

This house bill will rewrite the existing law for wholesale potato dealers. Under current law the dealers must be licensed, and a form of financial security is sometimes required by the State Seed Commissioner. A surety bond is an example of a financial security accepted by the State Seed Commissioner. The new bill will make the financial security requirement mandatory as a condition of licensure instead.

A bond would be required to be posted in connection with review processes for tax assessments made by local authorities on the sale of tickets for sporting events. Vendors selling the tickets would be responsible for the tax. If there are disputes against the tax or people seek a refund will be required to deposit an amount equal to the tax and any penalties due, along with a surety bond for the costs of the proceeding. The surety bond company must be licensed in that particular state as well.

HB 313: License Bond – Debt Management Services

The Uniform Debt Management Services Act of the National Conference of Commissioners of Uniform State law will be adopted through this bill. A $50,000 surety bond will be required to be posted by debt management service providers. Sureties will be required to be “A” rated by this bill from a nationally recognized rating service and licensed in that state.

A program will be established through SB 398 to provide scholarships to special needs students to attend qualified public and non-public schools. Scholarship granting organizations would then be required to demonstrate their financial viability if they have been receiving more than $50,000 in donations during the school year. This can either be shown through the submission of financial information demonstrating such viability or they will be allowed to post a surety bond. The surety bond that would need to be posted must be in equal to the aggregate amount of contributions that the school expecting to receive during the school year. A bond will also be required by SB 433 from scholarship organizations as described above, but the program is for low-income students.

Debt management service providers will be regulated by this bill. This would require licensure and a $50,000 surety bond to be posted. The Commissioner of the Department of Financial Institutions will be allowed to require a larger bond through regulations of this bill.

This bond would establish a permit system for intercity bus passenger services. This would be installed in cities that have a population of one million or more. A surety bond in the amount of $5,000 would be required in connection with the permit. The bond would be posted to ensure the payment of all civil penalties imposed on the permitted for violations of any permit requirements or restrictions.

The Commissioner of Financial Institutions will now be allowed to increase the $20,000 license bond that is required under existing law for collection agencies. The bond increase will be at the Commissioner’s discretion and is based on his or her determination that would protect the public’s interest. Also under this bill a minimum net worth requirement of $25,000 will be added.

Pre-paid calling services would be regulated under this bill requiring such providers of this service to post a surety bond or other security in the amount of $50,000. They must also obtain a certificate to operate in the state with this bond requirement. Distributors of prepaid calling cars must also post a surety bond. The bond must be in the amount of at least $10,000. Sales exceeding $50,000 by the distributors are then required to post a bond in the amount of $25,000.

Through this bill contaminated industrial sites will now have the use of site specific remediation standards. Financial assurance will be required by the person conduction the remediation project. This will be required in order to insurance the completion of the cleanup project according to the remedial action plan. A surety bond may be posted as a form of financial assurance.

HB 1191: Miscellaneous Bond – Trailer License Plates

This will eliminate a procedure where license plates for a trailer can be issued for a period of six years. If the bill is past the bond requirement will be eliminated as well.