Lance Surety Bond Associates, Inc.

HB 297: Financial Assurance – Oil and Gas Wells

Under this bill the maximum amount of financial assurance for permit tees operation an oil gas or service well in the state will be increased. Surety bonds can be accepted to meet this requirement, and the law caps the assurance for a blanket bond covering multiple wells at 50K. The new bill would increase this cap to 500K.

SB 288: Tax Bond – Soda

An excise tax would be imposed on “sweetened beverages” that is defined in the bill and any syrup used to produce them. Distributors of these beverages would have to file tax returns by the 25th of each month after the month in which the beverages were sold. A bond must be posted by any persons subject to the tax. This would be conditioned on the filing of the reports and the payment of the tax and any applicable penalties and interest. The amount of the bond is determined by being equal to at least twice the amount of the taxpayer’s estimated monthly tax liability. The bond can be no less than $1,000, cash and other security would be accepted in lieu of the tax bond.

SB 2627: Court Bond – Custody Cases

This bond would be required in child custody cases if the court determined there is a risk that a noncustodial parent would flee with the child. The surety bond needed to be posted would be in an amount determined by the court. This would be for the security of the child’s return from the noncustodial parent to the custodial parent at the end of any visitation period.

HB 262: License Bond – Process Server Companies

This House Bill will regulate all process server companies. This will also require licensure and a surety bond to be posted in the amount of 10K from a bonding company authorized to do business in the State. Individual process serves that are not covered under a company’s blanket bond would have to post their own bond for $10,000 in connection with licensure.

SB 1439: License Bond – Debt Collection Agencies

Debt collection agencies would be required to be licensed and post a surety bond, indemnity agreement, or an irrevocable letter of credit. This must be payable to the people of New York, and the bond would be based on the number of persons employed by the licensee. The bond requirement would allow for a 10K bond to be posed for one to four employees; a 25K bond for five to nine employees; 50K bond for 10 to 20 employees and a 75K bond for 20 or more employees. The liability of the surety would be limited to the face amount of the bond. This would be regardless of the number or nature of claims made against the bond for the number of years the bond remains active.

HB 66: Public Officials

This bill would repeal the bond requirement for the Secretary of Finance and Administration and for the Secretary of General Services. Under current law a surety bond is required for each secretary and authorizes each of them to require their officers/employees to provide a fidelity bond as deemed necessary.

SB 15: Public Officials

The Health Policy and Finance Department would be created under this bill and would be run by the Secretary of Health Policy. A $25,000 surety bond will be required to be posted by the Secretary. Also each director of division of the Department would have to post a $10,000 bond that will secure the faithful performance of their duties.

SB 235/HB 345: Public Officials

This would repeal the public official bond requirements for all secretaries, appointed directed of cabinets and the employees of a cabinet department. Under current law for New Mexico their executive cabinet provides that each secretary of a cabinet must post a bond in the amount of 25K and each director of a cabinet department must post a 10K bond. The new bill would eliminate any references to bond requirements for cabinet officials and employees for the following departments:

• Children
• Youth and Families
• Corrections
• Department of Finance and Administration
• Department of Health
• Department of Environment
• Human Services
• Economic Development
• Tourism
• Regulation and Licensing
• General Services
• Public Safety

AB 3438: License Bond – Exchange Facilitators

Under this bill exchange facilitators will be regulated. These are people who facilitate like kind exchanges or property that is pursuant to federal tax law. This new bill would require facilitators to be licensed and to obtain a fidelity bond that would be in the amount no less than $1 million. Another option would be to post cash or a letter of credit in an equal amount.

AB 3408: Professional Employer Organizations

This Assembly Bill would revise the current law for employee leasing companies, including the financial requirements. Under existing law companies need to maintain a minimum net worth of $100,000. Under the new bill to be passed the $100,000 net worth requirement will be substituted for a surety bond in the amount of $75,000. Now instead of meeting the minimum net worth requirement the bill would require the company to maintain a positive working capital. If the company fails to do that then it could post a bond, irrevocable letter of credit or securities with a minimum market value that is equal to the amount required for achieving a positive working capital, plus $100,000.