NEWS
CNA Government Relations, with the help of surety industry and producer associations, takes an active role in surety and fidelity bond legislative issues at the federal, state and local level.
Use the drop-down menu below to review recent legislative developments specific to your state.
The mission of our Government Relations Department is to promote and defend our products and business practices at all levels of government.
CNA Government Relations works with lawmakers on legislation that improves the effectiveness of surety bonding and guards against adverse legislative developments. For example, every year 125,000 bills are introduced in state legislatures across the country. CNA's Government Relations Department has the responsibility of identifying those that affect the surety and fidelity industry. Our team of professionals reviews and analyzes legislation and directs lobbying efforts to ensure a positive outcome.
The Government Relations Department also works with local governments on Licence and Permit Bond issues. Many professions are required to post a bond at the local level. Government Relations works to ensure that local communities receive information and support to obtain the kind of public protection afforded by bonds.
Need more specific information? Please contact our Government Relations Department at 800-CNA-2000 (800-262-2000).
COMMERCIAL SURETY
HB 47 – Preneed Funeral and Cemetery Merchandise and Services Providers. Would transfer the powers, duties and functions of the Department of Insurance relating to the regulation of endowment care, preneed sales contracts and the licensing of preneed sales agent to the Alabama Board of Funeral Service, creating a new article known as the Alabama Preneed Funeral Cemetery Act of 2022. The bond requirement would not change aside from the regulating authority.
Status: 4/7/22: Failed on adjournment.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 2153 – Restricted Driver License Monitor Installers. Would add persons who install a restricted driver license monitor to the ignition interlock device law, which requires installers to provide a $200,000 bond. A restricted driver license monitor is a separate device that is capable of two-way, wireless, real-time reporting, that has a camera to capture a digital image of a motor vehicle's driver and passenger compartments and that includes the global positioning system location of the device when the vehicle's ignition is started, periodically during the drive and when the vehicle's ignition is disengaged.
Status: 1/26/22: (H) Referred to Transportation; additionally referred to Rules.
HB 2627 – Liquor Wholesalers - Ready-to-Drink Spirits. Would amend AZ Stat. § 42-3351, bonds required of liquor wholesalers, to add wholesalers of ready-to-drink spirits products to the requirement. Existing law requires wholesalers to post a bond in an amount equivalent to twice the wholesaler's estimated monthly tax, but not less than $2,000.
Status: 3/15/22: (H) From Committee of the Whole, do pass as amended.
NEW LAW: SB 1580 – Money Transmitters. Repeals and reenacts the law with amendments to be consistent with the NMLS licensing provisions. The alternate security options will be eliminated; the bond amounts will not change. The bond statute will change from 6-1205 to 6-1228. A person who is currently licensed will not be subject to the new act if there are conflicts between the two articles until the person renews their license or until six months after the effective date of the new act, whichever is later.
Status: 5/20/22: Signed by the Governor; Chapter 236; effective 90 days after adjournment.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
AB 1093 – Remote Online Notaries. Would authorize a notary public or an applicant for appointment as a notary public to apply for registration with the Secretary of State to be a remote online notary public by submitting an application that meets certain requirements. Would require an entity to register with the Secretary as an online notarization platform before providing an online notarization system to an online notary public.
Status: 6/13/22: (S) Read second time, amended, and re-referred to Judiciary.
AB 1742 – Nonparticipating Tobacco Manufacturers. Would transfer the responsibilities for the California Cigarette Fire Safety and Firefighter Protection Act: Tobacco Master Settlement Agreement from the State Fire Marshal to the Attorney General and replaces the State Board of Equalization with the Department of Tax and Fee Administration. The bill also would expand the criteria for when a nonparticipating manufacturer may be deemed to pose an elevated risk, including when, as of January 1, 2023, a nonparticipating manufacturer's cigarettes are sold in or into California by distributors that have not reported their last 12 months of California sales electronically, as prescribed.
Status: 5/31/22: (S) In B., P. & E.D. and JUD. From committee chair with author's amendments. Read second time, amended and re-referred to committee.
SB 1287 – Electric Service Providers. Would require the posted bond amount, or demonstrated insurance amount, at the time of registration by an electric service provider or a community choice aggregator to be no less than $500,000, and require the commission to update the financial security requirements for electric service providers and community choice aggregators to instead include costs for no less than 12 months of incremental procurement incurred by the provider of last resort, upon the customers' involuntary return.
Status: 3/2/22: (S) Referred to Energy, Utilities & Communications.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB22-1228 – Preneed Funeral Contracts. Among other things, the bill would continue the regulation of preneed funeral contracts for another 7 years, to September 1, 2029, and remove from the statute the surety bond or net worth requirements for a license applicant and require the commissioner of insurance to establish the requirements in rule.
Status: 6/2/22: Signed by the Governor.
HB22-1242 – Manufactured Homes - Tiny Homes. Current law regulates the manufacturers, sellers and installers of manufactured homes. The bill adds tiny homes, which are typically manufactured, to the regulation on substantially similar terms.
Status: 5/16/22: (H) Sent to the Governor.
NEW LAW: SB22-058 – Administering Entities of Dental Hygienist Peer Health Assistance Programs. Would create a peer health assistance program for dental hygienists to assist them with physical, emotional or psychological problems that may be detrimental to the hygienist's ability to practice. The program would be funded by a fee each dental hygienist would be required to pay upon renewal of their license. The bill would require an administering entity of a peer health assistance program to be a qualified, nonprofit foundation that is dedicated to providing support for charitable, benevolent, educational and scientific purposes that are related to dental hygiene, oral health education, oral health research and science and other oral charitable purposes. The administering entity would collect the required fees, directly or through the board; verify to the board the names of dental hygienist applicants who have paid the fee; distribute money collected, less expenses, to the designated provider as directed by the board; provide an annual accounting of all amounts collected, expenses incurred and amounts disbursed; and post a surety performance bond in an amount specified by the board to secure performance under the requirements of this section.
Status: 6/8/22: Signed by the Governor.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 5365 – Online Used Motor Vehicle Dealers - Electronic Certificates of Title. Would require an online used motor vehicle dealer licensed in another state to furnish at the time of delivery to the buyer a valid certificate of title; would permit the Commissioner of Motor Vehicles to implement electronic certificates of title.
Status: 4/5/22: Reported out of LCO. Favorable report, tabled for the calendar, House. House Calendar No. 228. Reissued by LCO with File No. 298.
SB 99 – Remote Notarizations. Would establish a working group to examine and make recommendations regarding whether to adopt the Revised Uniform Law on Notarial Acts and whether remote notarial acts should be permitted in connection with real estate and trusts and estates transactions.
Status: 5/3/22: (H) Favorable report, tabled for the calendar.
NEW LAW: SB 333 – Motor Vehicle Repairers, Dealers and Lessors/Rentals. Would increase the bond required of repairers from $5,000 to $25,000 and require limited repairers to furnish a $10,000 bond. The bill also would increase the bond for new and used vehicle dealers from $50,000 to $60,000. Applicants for a leasing or rental license would have to furnish a $15,000 bond (currently $10,000).
Status: 5/17/22: Signed by the Governor; Public Act 22-44; effective 7/1/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates
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HR 1537 – Labor Contractors. Would require any employer that is a labor contractor who seeks to employ H-2A workers to maintain a surety bond in an amount determined by the Secretary of Labor annually, payable to the Secretary.
Status: 5/18/21: (H) In Judiciary. Referred to the Subcommittee on Immigration and Citizenship.
Identical Bill: HR 1603
Related Bills: HR 1728 and HR 1882
HR 1996 – Financial Institution Protections. Would create protections for financial institutions that provide services to cannabis-related legitimate businesses and service providers. Under the bill, the cannabis industry would be allowed to utilize the U.S. banking system by no longer associating the moneys of these businesses as unlawful proceeds.
Status: 4/20/21: (S) Received; read twice and referred to Banking, Housing and Urban Affairs.
Related Bill: S. 910
S. 910 – Financial Institution Protections. Would create protections for financial institutions that provide services to cannabis-related legitimate businesses and service providers. Under the bill, the cannabis industry would be allowed to utilize the U.S. banking system by no longer associating the moneys of these businesses as unlawful proceeds.
Status: 3/23/21: (S) Read twice and referred to Banking, Housing and Urban Affairs.
Related Bill: HR 1996
S. 4040 – Ship Agents. Would enact the Ship Agent Licensure Act of 2022, under which a person engaged in the business of representing a ship's owner, operator, or charterer ("principal") in performing carriage while in a port of the United States would be required to obtain a license and post a bond, proof of insurance, or other surety in a form and amount determined by the Federal Maritime Commission to insure financial responsibility. The bond shall be available to pay any penalty assessed or any order for reparation issued; may be available to pay any claim against a ship agent arising from its ship agency services (A) with the consent of the insured ship agent and subject to review by the surety company; or (B) when the claim is determined valid by the surety after the ship agent has failed to respond to adequate notice to address the validity of the claim; and shall be available to pay any judgment for damages against a ship agent arising from its ship agency services, if the claimant has first attempted to resolve the claim and the claim has not been resolved within a reasonable period of time. The Commission shall prescribe regulations for the purpose of protecting the interests of claimants, ship agents, and surety companies with respect to the process of pursuing claims against ship agent bonds, insurance, or sureties through court judgments. The regulations shall provide that a judgment for monetary damages may not be enforced except to the extent that the damages claimed arise from the ship agency services of the insured ship agent.
Status: 4/7/22: (S) Read twice and referred to the Committee on Commerce, Science, and Transportation.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 273 – Money Services Businesses. Would provide requirements for money transmitters that receive virtual currency. The bill revises the definition of money transmitter to include virtual currency provisions, and adds a definition of virtual currency. Existing law requires a minimum $50,000 bond.
Status: 5/12/22: Approved by the Governor; Chapter 113; effective 1/1/23.
NEW LAW: HB 959 – Insurance Professionals. Would require a title insurance agent and a title insurance agency to have a separate appointment as to each insurer by which they are appointed as agents. The bill also would require a nonresident public adjuster bond to remain in effect for one year after the expiration or termination of the license.
Status: 5/25/22: Approved by the Governor; Chapter 138; effective 7/1/22.
NEW LAW: SB 546 – Consumer Finance Loans. Would authorize an applicant for a license to make and collect loans under the Florida Consumer Finance Act to provide a surety bond, certificate of deposit or letter of credit in lieu of the current $25,000 liquid asset requirement. The applicant (or licensee) may provide a surety bond in the amount of at least $25,000, plus $5,000 for each additional licensed location up to $100,000. The bond would be for the use and benefit of any borrower who is injured by acts of a licensee involving fraud, misrepresentation or deceit, including willful imposition of illegal or excessive charges; or misrepresentation, circumvention or concealment of any matter required to be stated or furnished to a borrower, where such acts are in connection with a loan. The State or any claimant may bring an action in a court of competent jurisdiction on the bond. Aggregate liability; 30-day cancellation sent by certified mail; surety must notify the State within 10 days of making a payment. Upon payment(s) from the bond, the principal must file a new or additional bond or provide an endorsement executed by the surety reinstating the required bond amount. The bond must remain in place for 2 years after the licensee ceases operations; the State may allow for a reduction or elimination of the bond during the 2-year period to the extent the licensee's outstanding loans in the state are reduced.
Status: 5/20/22: Approved by the Governor; Chapter 130; effective 10/1/22.
NEW LAW: SB 914 – Vehicle Dealers. Would require licensed mobile home dealers, RV dealers, mobile home manufacturers and RV manufacturers, distributors and importers to deliver to the Department a copy of the renewed, continued, changed or new surety bond, cash bond or irrevocable letter of credit within 10 calendar days after any renewal or continuation of or material change in such instruments.
Status: 6/8/22: Approved by the Governor; Chapter 175; effective 7/1/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 620 – Guardians and Wards. Would amend the conservator bond provisions to add a new section which provides that when the assets of an estate consist only of one or more choses in action of indeterminate value, no bond shall be required until the value of any such chose in action is able to be determined by settlement or judgment, whereupon bond shall be set in an amount to be determined in accordance with subsection (c). However, a conservator appointed without bond shall have no authority to receive assets of the minor's estate, other than a chose or choses in action, until the conservator has posted a bond. The same provision also would be applicable to a personal representative or temporary administrator.
Status: 5/2/22: (H) Signed by the Governor; Act 745; effective 5/2/22.
NEW LAW: HB 891 – Installment Loan Servicing and Mortgage Loan Originators and Brokers. Would update requirements for certain exemptions from licensing by the Department as a mortgage loan originator, mortgage broker or mortgage lender, and amend provisions relating to installment loans to include servicing of installment loans to the activity regulated under Chapter 3 of Title 7. The bill provides that a natural person who is under an exclusive written independent contractor agreement with any person that is a licensed mortgage broker would be exempt from licensing, so long as the broker continuously provides a surety bond as required by sec. 7-1-1003.2 in the amount of $150,000 plus $50,000 per exempt natural person, not to exceed a maximum of $2 million to cover its activities as well as the activities of all of its exempt natural persons. The licensee would have full and direct financial responsibility for the mortgage activities and proper education of the natural person, the handling of consumer complaints related to a natural person, and the supervision of the mortgage activities of a natural person on an ongoing and regular basis. As to installment loans, the bill amends the definition of installment lender to mean any person that advertises, solicits, offers, or makes installment loans or services installment loans made by others, excluding loans made by affiliated entities. Also, sec. 7-3-21, relating to bonds, is amended to read: "(c) Payments due under the bond shall include money owed to the department for fees and related interest and penalties under Code Section 7-3-16; . . ." The word "taxes" would be deleted.
Status: 5/2/22: (H) Signed by the Governor; Act 748; effective 7/1/22.
NEW LAW: SB 333 – Private Postsecondary Educational Institutions - Agents. Would amend the law relating to nonpublic postsecondary educational institutions by removing provisions related to agents and agents' permits and bonds, and repeal sec. 20-3-250.10 relating to the bond requirement for authorized institutions. The bill also would revise Tuition Guaranty Trust Fund participation requirements to provide for expanded opportunities for reimbursements from the fund. Schools authorized prior to July 1, 2022, shall participate in the fund and shall not be required to provide surety bonds; provided, however, that any surety bond posted before July 1, 2021, shall remain in effect for one full year after the effective date of the bond.
Status: 5/2/22: (S) Signed by the Governor; Act 789; effective 7/1/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 2108 – Digital Currency. Would add a new chapter to Title 22 designated as the Special Purpose Digital Currency Licensing Act. The licensing process would be through NMLS. An applicant would have to file and maintain a surety bond in a minimum amount of $500,000, based on the annual U.S. dollar equivalent of digital currency as reported in the annual renewal report. The bond would run to the State for the use and benefit of the State and any person who may have a cause of action against the licensee. The bond would be conditioned that the licensee would faithfully conform to and abide by the chapter and all rules adopted, and pay to the State and any person all moneys that may become due and payable to them under and by virtue of this chapter. A licensee must maintain at all times a tangible net worth of not less than $500,000 or an amount determined by the commissioner necessary to ensure safe and sound operation.
Status: 4/28/22: (S) Conference Committee.
HB 2111 – Third-Party Administrators. Would amend the definition to exclude dental insurers and dental service corporations, increase the surety bond threshold amount for consistency with requirements for other entities, and add audited financial statements as part of required annual report filings. Existing law requires an administrator to have a bond of at least $100,000. The bill would amend this to $100,000 for the first two years, and at least $300,000 from the third year. So at the third renewal, and each subsequent renewal, the surety bond amount would be at least $300,000.
Status: 5/4/22: (H) Transmitted to Governor.
HB 2115 – Mortgage Servicers. Would amend sec. 454M-4 to allow the commissioner of Financial Institutions to modify or waive, in whole or in part, by rule or order, any or all of the requirements in this chapter to implement modernization processes, efficiencies and improvements made to the NMLS. As explained, this change would obviate the need to make repeated requests to the Legislature for changes to the chapter when NMLS modifies or modernizes its processes. Currently, for example, applicants for mortgage servicer licenses are required to submit the bond to the commissioner. This bill will allow the commissioner to authorize submission of a variety of required documents, including surety bonds, directly through NMLS by applicants, licensees and third parties.
Status: 4/22/22: (H) Transmitted to Governor.
NEW LAW: SB 2376 – Cigarette/Tobacco Tax - Deferred Payment Purchases. Would eliminate the option to purchase stamps by deferred payment, which would also eliminate the bond requirement.
Status: 4/27/22: Signed by the Governor; Act 15; effective 1/1/23.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 610 – Collection Agencies. Would amend the collection agency law to reflect the transfer of licensing to NMLS which would change the license/bond expiration date to December 31.
Status: 3/28/22: Signed by the Governor; Chapter 286; effective 7/1/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 4639 – Manufactured Home Dealers. Would repeal and create a new article concerning the regulation of manufactured home dealers within the chapter of the code concerning the licensing of dealers, transporters, wreckers, and rebuilders. The bill would add provisions governing applications, fees, bonding, insurance, business requirements, term of license, etc.
Status: 5/27/22: Signed by the Governor; Public Act 102-0941; effective 7/1/22.
NEW LAW: HB 4973 – Electric and Gas Suppliers and Alternative Suppliers. Would amend the bond requirements to allow the State to make a claim against the bond for any penalties imposed by the commission and not paid by the principal.
Status: 5/27/22: Signed by the Governor; Public Act 102-958; effective 1/1/23.
NEW LAW: SB 1099 – Consumer Legal Funding Companies. Would provide for the regulation of consumer legal funding companies. An applicant for a license would be required to provide proof that they have and will maintain a positive net worth of a minimum of $30,000, and maintain a surety bond of $25,000. The bond would run to the director of the Division of Financial Institutions and be for the benefit of any consumer who incurs damages as a result of any violation of the law or rules. If the director finds that a bond is of insufficient size, is insecure, is exhausted, or is otherwise doubtful, an additional bond in an amount determined by the director must be filed by the licensee within 30 days of receipt of such demand. Not more than one place of business shall be maintained under the same license, but the director may issue more than one license to the same licensee. The annual license term runs from January 1 to December 31. "Consumer legal funding" means a nonrecourse transaction in an amount that does not exceed $500,000 in which a company purchases and a consumer transfers to the company an unvested, contingent future interest in the potential net proceeds of a settlement or judgment obtained from the consumer's legal claim; if no proceeds are obtained from the consumer's legal claim, the consumer is not required to repay the funding amount or charges.
Status: 5/27/22: Signed by the Governor; Public Act 102-987; effective immediately.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 2568 – Mortgage Companies. Would amend the Kansas Mortgage Business Act by authorizing certain mortgage business to be conducted at remote locations; establishing procedures and requirements for license and registration renewal or reinstatement; and adjusting the surety bond requirements. Under the bill, the license term would expire on December 31, and each applicant or licensee would be required to file a bond in the amount of not less $100,000. The bill also would require each applicant or licensee to submit evidence that establishes, to the commissioner's satisfaction, that the applicant or licensee is solvent and shall at all times maintain a positive net worth.
Status: 4/7/22: (H) Approved by the Governor; effective 7/1/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 282 – Health Care Services Agencies. Would enact a new law requiring health care services agencies to be registered with the Cabinet for Health and Family Services and carry an employee dishonesty bond in the amount of $10,000. Registrations would be valid for one year from the date of issuance.
Status: 4/8/22: Signed by the Governor; Chapter 110; effective 7/14/22.
NEW LAW: HB 494 – Student Loan Servicers. Would create a new law for the regulation of student loan servicers. A student education loan servicer would have to maintain the minimum net worth requirements prescribed by the commissioner in administrative regulation or order, which may include applicable reserves consisting of high-quality investments and a surety bond.
Status: 4/7/22: Signed by the Governor; Chapter 88; effective 7/14/22.
NEW LAW: HB 506 – Professional Employer Organizations (PEOs). Would create a new law for the regulation of PEOs. A PEO would be required to register with the Department of Workers' Claims and to either maintain positive working capital or provide a bond, letter of credit, or securities with a minimum market value equaling the deficiency plus $100,000 if the PEO or PEO group does not have positive working capital. The bond would secure payment of all taxes, wages, benefits, or other entitlement due to or with respect to covered employees.
Status: 3/29/22: Signed by the Governor; Chapter 50; effective 7/14/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 769 – Ignition Interlock Devices. Provides that a camera shall be required on ignition interlock devices on any new device installation beginning August 1, 2022, and all devices by January 31, 2023. Existing law requires that devices be manufactured by a business entity that will provide product liability insurance and a bond against malfunction of the device.
Status: 4/28/22: (H) Read by title, amended, ordered engrossed, recommitted to Appropriations. Died on adjournment.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 29 – Surety Bonds. Would amend certain sections of the General Laws by adding "or acceptable bond documentation" after the words "sufficient bond".
Status: 10/26/21: (J) Hearing held in Joint Committee on Financial Services.
HB 377 – Used Motor Vehicle Dealers. Would increase the amount of the bond required of dealers in secondhand vehicles from $25,000 to $50,000, and amends the claim provisions. Any person, or the attorney general, may make a claim against the bond for an act or omission on which the bond is conditioned if it occurred during the bond term. Claimants must submit claims within one year after the event giving rise to the claim. The attorney general may recover from the bond on behalf of claimants.
Status: 3/9/22: (H) Reported favorably from Joint Committee on Consumer Protection and Professional Licensure; referred to Ways and Means.
Related Bill: SB 2323
HB 1051 – Debt Management Services Providers. Would add a new chapter to the General Laws concerning debt management services. Any person applying for an annual license would be required to file a surety bond in an amount and form that the commissioner determines before conducting business in the Commonwealth. The commissioner would be required to promulgate rules and regulations for the administration and enforcement of the new chapter (255G). The bill includes provisions for licensing through NMLS.
Status: 10/26/21: (J) Hearing held in Joint Committee on Financial Services.
HB 1908 – Occupational Licensing. Would encourage and enhance employment and licensure opportunities for persons previously prosecuted or convicted of one or more criminal offenses.
Status: 4/19/22: (H) Reporting date extended to 6/30/22. Senate concurred on 6/9/22.
HB 4550 – Money Transmitters. Would add a new chapter to the General Laws concerning the licensing and supervision of money transmitters; licensing would be through NMLS. Section 18(a) of the bill states that, except as otherwise provided in subsection (b), a surety bond, letter of credit, or other similar security acceptable to the commissioner in the amount of $50,000 plus $10,000 per authorized delegate location, not to exceed a total addition of $450,000, shall accompany the license application. Subsection (b) would require the bond to be in a form satisfactory to the commissioner, payable to the Commonwealth, and delivered to the state treasurer for the benefit of any claimant against the licensee to secure the faithful performance of the obligations of the licensee with respect to money transmission. The aggregate liability of the surety may not exceed the principal sum of the bond. A claimant may maintain an action on the bond, or the commissioner may maintain an action on behalf of the claimant. The bond shall cover claims for so long as the commissioner specifies, but for at least 5 years after the licensee ceases to provide money services; provided, however, that the commissioner may permit the amount of security to be reduced or eliminated earlier, to the extent the amount of the licensee's payment instruments or prepaid access obligations outstanding in the Commonwealth is reduced. The commissioner may allow a licensee to substitute another form of security.
Status: 3/24/22: (H) Reported from Financial Services, new draft of HB 1166. Reported favorably and referred to Ways and Means.
SB 217 – Student Tuition Recovery Fund. Would establish a student tuition recovery fund for students from for-profit schools if they collect prepaid tuition to pay claims in the event that the school ceases operations. The recovery fund would be in addition to the license bond required for these schools. The bill provides that if funds become available from the surety bond or other security, any unencumbered funds from that bond or other security would have to be used to reimburse the fund for payments previously made to persons injured by the school's ceasing operations. PREVIOUS SESSION BILL NO. SB 164.
Status: 2/7/22: (S) Accompanied a study order, SB 2666, an order relative to authorizing the Joint Committee on Consumer Protection and Professional Licensure to make an investigation and study of certain current Senate documents concerning such matters.
SB 932 – Occupational Licensing. Would provide for certificates of rehabilitation, second chances, increased success, and community prosperity.
Status: 4/14/22: (S) Reporting date extended to 4/15/22. House concurred.
SB 2323 – Used Motor Vehicle Dealers. Would increase the amount of the bond required of dealers in secondhand vehicles from $25,000 to $50,000, and amends the claim provisions. Any person, or the attorney general, may make a claim against the bond for an act or omission on which the bond is conditioned if it occurred during the bond term. Claimants must submit claims within one year after the event giving rise to the claim. The attorney general may recover from the bond on behalf of claimants.
Status: 3/9/22: (S) Reported favorably from Joint Committee on Consumer Protection and Professional Licensure; referred to Ways and Means.
Related Bill: HB 377
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 4527 – Carnival or Amusement Rides. Eliminates "operator" so owner must comply with the law; bond requirements don't appear to be impacted at this time. This requirement is not in MBDB.
Status: 6/14/22: Approved by the Governor; P.A. 22; effective immediately.
HB 4542 – Notaries Public. Would establish requirements for education and exams to be effective 1/1/22.
Status: 3/18/21: (H) Read first time and referred to Judiciary.
HB 4696 – Required Inspections. Would require state agencies and local units of government to provide an option to submit a bond in place of a required inspection. The state agency or local unit of government would be required to promulgate rules to implement the act, including, but not limited to, rules for determining the appropriate amount and type of bond acceptable.
Status: 4/22/21: (H) Read first time and referred to Regulatory Reform.
HB 4802 – Providers of Electric Vehicle Charging Services. Would create the Electric Vehicle Charging Services Registration Act. Providers would be required to register with the Department of Agriculture and Rural Development and post a bond or provide a letter of credit or other financial guarantee in a reasonable amount established by the commission of not less than $40,000, if the commission finds after an investigation and review that the requirement of a bond would be in the public interest.
Status: 10/21/21: (S) Referred to Energy and Technology.
Related Bill: HB 4801
HB 4898 – Estates. Would amend the Estates and Protected Individuals Code to increase certain threshold amounts for different assets of a decedent and require those amount to be adjusted for inflation for the calendar year in which the decedent dies. Under Sec. 3605, which provides for interest in or claim against estate for which a bond demand may be made, the current threshold is over $2,500; it would increase to over $25,000.
Status: 6/15/22: (S) Received and referred to Judiciary and Public Safety.
HB 5055 – Occupational Licensing. Would provide for licensing reciprocity for certain occupations of individuals who hold an out-of-state license.
Status: 6/17/21: (H) Read first time and referred to Regulatory Reform.
HB 5533 – Fireworks Businesses. Would require an applicant who applies for a consumer fireworks certificate for a retail location that is not a permanent building or structure and who does not hold a consumer fireworks certificate for a permanent building or structure to obtain a bond to secure the collection of estimated sales tax and fireworks safety fees in the lesser of the following amounts: (A) $5,000 for each location; or (B) $25,000 for each applicant. Certificates expire annually on April 30.
Status: 11/4/21: (H) Read first time and referred to Regulatory Reform.
SB 526 – Professional Guardians. Would amend the Estates and Protected Individuals Code to prohibit a court from appointing a person as a professional guardian unless he/she has filed the required bond and would serve as professional guardian to not more than 200 legally incapacitated individuals.
Status: 6/9/21: (S) Introduced and referred to Judiciary and Public Safety.
SB 527 – Professional Guardians and Conservators. Would amend the law relating to the appointment of professional guardian or professional conservator. Existing law requires a professional guardian or conservator to file a bond in an amount and with the conditions as determined by the court. For a professional conservator, the surety(ies) and liabilities of the bond are subject to sections 5410 and 5411. The bill would add a subsection that would limit the number of wards or protected individuals they could serve to not more than 12.
Status: 6/9/21: (S) Introduced and referred to Judiciary and Public Safety.
SB 585 – Motor Vehicle Dealers. Would amend the Vehicle Code to allow a dealer to provide services specified in the bill, including applying for a new title on behalf of a purchaser of a vehicle that was not sold by that dealer; processing the renewal of a vehicle registration; or processing the renewal of a lost, mutilated, or illegible registration certificate, plate, or certificate of title and charge a service fee. Would not impact the bond requirements.
Status: 6/30/21: (S) Introduced and referred to Regulatory Reform.
SB 720 – Tobacco Products. Would amend the Tobacco Products Tax Act by updating and repealing sections, making technical changes, and modifying the licensing provisions. The bond requirements would remain unchanged.
Status: 4/19/22: (S) Reassigned to Regulatory Reform.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HF 89 – Election Recounts. Would require a candidate for office requesting a recount to file a bond, cash or other surety with the filing officer, in an amount set by the filing officer for the payment of the recount expenses.
Status: 3/10/21: (H) In State Government Finance and Elections. Referred by Chair to Local Government Division.
Related Bill: SF 218
HF 767 – Sports Wagering-Bookmakers. Would establish the Sports Wagering Commission to regulate wagering on sporting events. Under the new law, a bookmaker would be required to be licensed and to post a bond, securities or an irrevocable letter of credit in an amount the Commission deems necessary to protect the financial interests of the State and of people wagering on sporting events. The Commission would adopt regulations that would, among other things, provide the specifics for the bond.
Status: 2/4/21: (H) Introduction and first reading, referred to Commerce, Finance and Policy.
Related Bill: SF 410
HF 2969 – Grain Buyers. Would increase the minimum threshold for cash-only grain buyers. The bill says a grain buyer who purchases grain immediately upon delivery solely with cash, a certified check, a cashier's check, or a postal, bank or express money order is exempt from the bond requirements if the grain buyer's gross annual purchases are $250,000 or less (currently $100,000).
Status: 2/1/22: (H) Introduction and first reading, referred to Agriculture Finance and Policy.
NEW LAW: HF 3768 – Structured Settlement Purchase Companies. Would require structured settlement purchase companies to register and provide a surety bond.
Status: 5/19/22: Signed by the Governor; effective 1/1/23.
SF 218 – Election Recounts. Would require a candidate for office requesting a recount to file a bond, cash or other surety with the filing officer, in an amount set by the filing officer for the payment of the recount expenses.
Status: 2/11/21: (S) In State Government Finance and Policy and Elections. Four authors have been added.
Related Bill: HF 89
SF 410 – Sports Wagering-Bookmakers. Would establish the Sports Wagering Commission to regulate wagering on sporting events. Under the new law, a bookmaker would be required to be licensed and to post a bond, securities or an irrevocable letter of credit in an amount the Commission deems necessary to protect the financial interests of the State and of people wagering on sporting events. The Commission would adopt regulations that would, among other things, provide the specifics for the bond.
Status: 1/28/21: (S) Introduction and first reading, referred to State Government Finance and Policy and Elections.
Related Bill: HF 767
SF 3463 – Structured Settlement Purchase Companies. Would require structured settlement purchase companies to register and provide a surety bond.
Status: 2/24/22: (S) Referred to Civil Law and Data Practices Policy.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 1527 – Private Security Professionals. Would add a new registration and bond requirement for private security professionals, defined as individuals who perform as their primary responsibility, private security services for consideration regardless of whether, while performing the private security services, they are armed or unarmed or wear a uniform or plain clothes, and regardless of whether they are employed part-time or full-time to perform private security services. A person is eligible to register as a private security professional if he/she is certified under the peace officer standards and training requirements under Chapter 590, and provides proof of current certification to the Division of Professional Registration of the Department of Commerce and Insurance. An applicant also must provide proof of a bond or other acceptable surety in an amount to be determined by the Division for all claims of injury, loss or damage arising from the practice of the private security professional. A registration would expire one year from the date of issuance of the certificate unless renewed.
Status: 5/13/22: (H) Referred to Professional Registration and Licensing. Died on adjournment.
HB 2050 – Statewide Mechanical Contractor Licensing Act. Would create the Office of Mechanical Contractors within the Division of Professional Registration, which would regulate mechanical contractors. A company that wants to engage in mechanical contracting is required to employ at least one statewide license holder, who may represent only one company at a time. Political subdivisions may establish their own local mechanical contractor license, but shall recognize a statewide license in lieu of a local license. Mechanical contractor licenses would be biennial. An applicant for a statewide license would have to provide proof of liability insurance in the amount of $1,000,000, and post bond with each political subdivision in which he or she will perform work as required by that political subdivision. This legislation appears to follow the electrical contractor law enacted in 2018.
Status: 5/9/22: (H) Placed on the Informal Perfection Calendar.
Related Bill: SB 867
HB 2051 – Motor Vehicle Dealers. Would create the Missouri Motor Vehicle Commission within the Department of Revenue, and transfer to it the Department's powers and duties regarding the licensing of vehicle dealers. The bond provisions would not be impacted except to substitute "commission" for "department".
Status: 5/13/22: (H) Referred to Transportation. Died on adjournment.
Related Bill: SB 971
SB 867 – Statewide Mechanical Contractor Licensing Act. Would create the Office of Mechanical Contractors within the Division of Professional Registration, which would regulate mechanical contractors. A company that wants to engage in mechanical contracting is required to employ at least one statewide license holder, who may represent only one company at a time. Political subdivisions may establish their own local mechanical contractor license, but shall recognize a statewide license in lieu of a local license. Mechanical contractor licenses would be biennial. An applicant for a statewide license would have to provide proof of liability insurance in the amount of $1,000,000, and post bond with each political subdivision in which he or she will perform work as required by that political subdivision. This legislation appears to follow the electrical contractor law enacted in 2018.
Status: 5/11/22: (S) Placed on Informal Calendar-Senate Bills for Perfection.
Related Bill: HB 2050
SB 883 – State Legal Expense Fund - Blanket Bond or Crime Insurance Policy. Provides that the Commissioner of Administration may direct that any or all of the moneys appropriated to the state legal expense fund be expended to procure one or more policies of insurance to insure against all or any portion of the potential liabilities of the State or its agencies, officers and employees. After consultation with the state courts administrator, the Commissioner shall procure a blanket bond or crime insurance policy as the Commissioner deems necessary to protect the state against loss from the acts or omissions of any person within the judiciary that receives compensation from the state. No other bond for such person shall be required for the protection of the state. A copy of the bond or policy is filed with the secretary of state. The Commissioner may require a bond of any officer, employee or agent of the state who has responsibility for or access to any money or property belonging to the state, or in which the state may have an interest and who is not otherwise required by law to give a bond. The bond amounts would be fixed by the Commissioner. In lieu of individual bonds, the Commissioner may procure one or more blanket bonds, or suitable crime insurance policies endorsed to include faithful performance, or may assume the risk for any or all officers and employees of the state. Any blanket bond or crime policy procured shall contain such coverages, terms, and conditions, and such coverage limits and deductibles as the Commissioner deems adequate to protect the interests of the state, but not less than the aggregate coverage limits otherwise prescribed by law.
Status: 2/16/22: (S) From Judiciary and Civil and Criminal Jurisprudence: voted Do Pass
SB 971 – Motor Vehicle Dealers. Would create the Missouri Motor Vehicle Commission within the Department of Revenue, and transfer to it the Department's powers and duties regarding the licensing of vehicle dealers. The bond provisions would not be impacted except to substitute "commission" for "department".
Status: 3/1/22: (S) Hearing conducted in Transportation, Infrastructure and Public Safety Committee.
Related Bill: HB 2051
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
AB 957 – Third-Party Disbursement Service Organizations. Would require all third-party disbursement service organizations that contract with local government units and boards of education to make payments and execute financial transactions for those purposes to post a bond, in an amount and with sureties approved by the Local Finance Board, with the local government unit or board of education. The bond would be forfeited in the event that the third-party disbursement service organization fails to make payments or execute financial transactions, including federal or state tax deposits, on behalf of the local government unit or board of education.
Status: 1/11/22: (A) Introduced and referred to State and Local Government.
AB 1548 – Used Motor Vehicle Dealers. Would provide for the licensure of used motor vehicle dealers and establish an 8-member State Board of Used Motor Vehicle Dealers in the Division of Consumer Affairs in the Department of Law and Public Safety to oversee their licensure. The bill provides for three types of licensure: retail used motor vehicle dealer, wholesale used motor vehicle dealer, and retail-wholesale used motor vehicle dealer. The bill also makes changes to several statutes relating to the licensure of motor vehicle dealers by the Motor Vehicle Commission. In amending these statutes, the bill clarifies that the MVC will no longer license used motor vehicle dealers on or after the bill's date of enactment.
Status: 1/11/22: (A) Introduced and referred to Consumer Affairs.
AB 1551 – Home Improvement Contractors. Would require all home improvement contractors to register with the Division of Consumer Affairs every two years and, as of December 31, 2018, maintain in effect during the entire period of registration a bond, irrevocable letter of credit, or securities, moneys or other security acceptable to the director. The principal sum of the bond would be a minimum of $50,000, payable to the State of New Jersey for the use and benefit of any consumer who, after entering into a home improvement contract, incurs damages or suffers any loss arising out of a violation of the act. The bond would cover restitution and penalties. Any person making a claim against the bond may maintain an action at law against the contractor and the surety, or the director may make a claim against the bond on behalf of a consumer. Aggregate liability. The bond must provide that any consumer who may be claiming against the bond shall notify the director and the surety of the amount and nature of the claim prior to initiating any action against the contractor. The surety may not pay a claim without prior authorization from the director. There is a 10-day cancel or nonrenew notice requirement.
Status: 1/11/22: (A) Introduced and referred to Regulated Professions.
Related Bill: SB 2101
Similar Bills: AB 2138 and SB 1890
AB 2138 – Home Improvement and Home Elevation Contractors. Would create the New Jersey State Board of Home Improvement and Home Elevation Contractors within the Division of Consumer Affairs and require contractors to be licensed, insured and bonded. Contractors would have to maintain commercial general liability insurance in a minimum amount of $500,000 per occurrence; however, home elevation contractor also must secure and maintain cargo or other insurance that specifically covers home elevation activities in a minimum amount of $1,000,000 per occurrence to cover damages or other losses to the homeowner, lessee, tenant or other party resulting from a home elevation. Contractors would be required to a surety bond, irrevocable letter of credit or other security acceptable to the board in the minimum amount of $100,000. The bond would be payable to the State of New Jersey for the use or benefit of any consumer who, after entering into a home improvement or home elevation contract, incurs damages or suffers any loss arising out of a violation by the contractor. The bond would cover restitution and penalties. Claimants could maintain an action at law against the contractor and surety, or the director could make a claim against the bond on behalf of a consumer. The bill contains aggregate liability and cancellation clauses. The surety could not pay a claim without prior authorization from the director. The new law also would apply to out-of-state contractors. If enacted, the effective date would be the first day of the 25th month next following enactment.
Status: 6/2/22: (A) In Consumer Affairs. Amended but not reported.
Related Bill: SB 1890
Similar Bills: AB 1551 and SB 2101
SB 1890 – Home Improvement and Home Elevation Contractors. Would create the New Jersey State Board of Home Improvement and Home Elevation Contractors within the Division of Consumer Affairs and require contractors to be licensed, insured and bonded. Contractors would have to maintain commercial general liability insurance in a minimum amount of $500,000 per occurrence; however, home elevation contractor also must secure and maintain cargo or other insurance that specifically covers home elevation activities in a minimum amount of $1,000,000 per occurrence to cover damages or other losses to the homeowner, lessee, tenant or other party resulting from a home elevation. Contractors would be required to a surety bond, irrevocable letter of credit or other security acceptable to the board in the minimum amount of $100,000. The bond would be payable to the State of New Jersey for the use or benefit of any consumer who, after entering into a home improvement or home elevation contract, incurs damages or suffers any loss arising out of a violation by the contractor. The bond would cover restitution and penalties. Claimants could maintain an action at law against the contractor and surety, or the director could make a claim against the bond on behalf of a consumer. The bill contains aggregate liability and cancellation clauses. The surety could not pay a claim without prior authorization from the director. The new law also would apply to out-of-state contractors. If enacted, the effective date would be the first day of the 25th month next following enactment.
Status: 3/3/22: (S) Introduced and referred to Commerce.
Related Bill: AB 2138
Similar Bills: AB 1551 and SB 2101
SB 2101 – Home Improvement Contractors. Would require all home improvement contractors to register with the Division of Consumer Affairs every two years and, as of December 31, 2018, maintain in effect during the entire period of registration a bond, irrevocable letter of credit, or securities, moneys or other security acceptable to the director. The principal sum of the bond would be a minimum of $50,000, payable to the State of New Jersey for the use and benefit of any consumer who, after entering into a home improvement contract, incurs damages or suffers any loss arising out of a violation of the act. The bond would cover restitution and penalties. Any person making a claim against the bond may maintain an action at law against the contractor and the surety, or the director may make a claim against the bond on behalf of a consumer. Aggregate liability. The bond must provide that any consumer who may be claiming against the bond shall notify the director and the surety of the amount and nature of the claim prior to initiating any action against the contractor. The surety may not pay a claim without prior authorization from the director. There is a 10-day cancel or nonrenew notice requirement.
Status: 3/3/22: (S) Introduced and referred to Commerce.
Related Bill: AB 1551
Similar Bills: AB 2138 and SB 1890
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
AB 1270 – Consumer Litigation Funding Companies. Would require companies entering into consumer litigation funding transactions to be registered and to post a bond satisfactory to the Department of State in an amount not to exceed $50,000. The bond would be conditioned that the registrant will faithfully conform to and abide by the provisions of the article and all rules adopted by the administrator, and pay to any person(s) any and all moneys that may become due or owing to the State or such person.
Status: 5/17/22: (A) Defeated in Codes Committee.
Related Bill: SB 705
AB 1932 – Automobile Brokers. Would increase the amount of the bond required of automobile brokers from $100,000 to $250,000.
Status: 5/31/22: (A) Recalled from Senate. Returned to Assembly. Vote reconsidered - restored to third reading. Amended on third reading.
Related Bill: SB 4332
AB 2307 – Appearance Enhancement Businesses - Nail Salons. Would impose additional rules and requirements for the licensing of nail salons, including the addition of a training program. The bond requirement is unchanged.
Status: 1/5/22: (A) Referred to Economic Development.
AB 3041 – Debt Collection Agencies. Would provide for the licensure of debt collection agencies and require them to have a surety bond, contract of indemnity, or an irrevocable letter of credit as security. The bond amount would be tiered based on the number of employees, ranging from $25,000 for agencies with 1 to 4 employees to $75,000 for agencies with 20 or more employees.
Status: 1/5/22: (A) Referred to Consumer Affairs and Protection.
AB 3315 – Consumer Litigation Funding Companies. Would require companies entering into consumer litigation funding transactions to be registered and to post a bond satisfactory to the Department of State in an amount not to exceed $50,000. The bond would be conditioned that the registrant will faithfully conform to and abide by the provisions of the article and all rules adopted by the administrator, and pay to any person(s) any and all moneys that may become due or owing to the State or such person.
Status: 1/5/22: (A) Referred to Consumer Affairs and Protection.
AB 3380 – Towing Services. Would increase the amount of the bond required of towing licensees from $5,000 to $25,000. The maximum amount of a bond that the commissioner may require would increase from $25,000 to $250,000. Existing law allows an applicant to, in lieu of a bond or cash equivalent, make contributions to a fund to satisfy the security requirement. The bill would add language providing that any licensee who prior to the effective date of this paragraph was authorized by the commissioner to make a contribution to the fund and who has been found guilty of a violation of sections 19-169.1 and 20-515 of the code twice within a 12-month period shall be required to furnish a surety bond in an amount determined by the commissioner.
Status: 1/5/22: (A) Referred to Cities.
Related Bill: SB 1610
AB 3525 – Debt Settlement Services Providers. Would amend the Banking Law by adding a new article XII-CC - Debt Settlement Companies. As a condition for the issuance and retention of a license, applicants would have to file with the superintendent a surety bond (or other alternatives listed in the bill) in the amount of $250,000. The superintendent may (i) require a larger bond if he or she determines, in his or her sole discretion, that a licensee has engaged in a pattern of conduct resulting in bona fide debtor complaints of misconduct, and that such increased bond is necessary for the protection of debtors; or (ii) increase or decrease the amount of the bond based on the applicant's or licensee's financial condition, business plan, business experience, or any other factor the superintendent considers appropriate. The proceeds of the bond shall constitute a trust fund to be used exclusively: (i) to reimburse fees that have been improperly charged to or collected from debtors; (ii) to reimburse amounts that have not been properly distributed to creditors or properly returned to debtors; and (iii) to pay outstanding banking department examination costs and assessments.
Status: 1/5/22: (A) Referred to Consumer Affairs and Protection.
AB 4473 – Process Servers. Would require each process server applicant who is applying for a license to obtain and continue in full force and effect a bond, contract of indemnity, or irrevocable letter of credit in an amount based on the number of employees, ranging from $10,000 for 1 to 4 individuals to $75,000 for 20 or more individuals. The bond would be conditioned that the applicant will comply with the applicable laws and pay all civil penalties, fines, or other obligations imposed by the secretary or a court of law, investigatory costs required to be paid, or any final judgment. The total liability of the surety for all breaches of the bond condition is limited to the bond amount, and is limited to the amount of the penalty or investigatory costs; aggregate liability; 30-day cancellation clause; direct third-party liability.
Status: 1/5/22: (A) Referred to Economic Development.
AB 4606 – Occupational Licensing. Would amend the definition of "natural hair styling" to eliminate the services of twisting, wrapping, weaving, extending, locking or braiding; would add definitions of "natural hair braiding" and "threading" and exempt them from the provisions of the article, including the bond or insurance requirement.
Status: 1/5/22: (A) Referred to Economic Development.
AB 4723 – Election Recounts. Would require the person requesting a recount to file a cash or surety bond in an amount set by the jurisdiction conducting the recount for the payment of the recount expenses.
Status: 1/5/22: (A) Referred to Election Law.
AB 7770 – Immigration Bond Businesses - Licensing. Would add a new section to the Insurance Code to provide for the licensing and bonding of immigration bond businesses. Applicants would be required to file a qualifying bond in the penal sum of $5,000, conditioned upon the faithful performance of the duties of the licensee. Such bond would have a 60-day cancellation clause, and an action shall not be brought more than 6 years after the occurrence of the act, method or practice which is the subject of the action or more than one year after the last payment in a transaction involving the method, act or practice which is the subject of the action, whichever is later.
Status: 6/3/22: (A) Substituted by SB 7475.
Related Bill: SB 7475
SB 331 – Voting Machine Vendors. Would revise the existing requirement for vendor contracts for voting machines by increasing the minimum number of years from five years to ten years during which the contract must guarantee that a contractor will keep the machines and systems maintained in good working order without additional cost and to perform satisfactorily its training and service obligations under the contract. A bond is required to secure that the vendor will meet this obligation.
Status: 1/5/22: (S) Referred to Elections.
SB 705 – Consumer Litigation Funding Companies. Would require companies entering into consumer litigation funding transactions to be registered and to post a bond satisfactory to the Department of State in an amount not to exceed $50,000. The bond would be conditioned that the registrant will faithfully conform to and abide by the provisions of the article and all rules adopted by the administrator, and pay to any person(s) any and all moneys that may become due or owing to the State or such person.
Status: 1/5/22: (S) Referred to Consumer Protection.
Related Bill: AB 1270
SB 1058 – Public Officials. Would establish communication union districts and grant the board of each district the authority to require the officers of each district to be bonded for faithful performance of duties.
Status: 1/5/22: (S) Referred to Energy and Telecommunications.
SB 1610 – Towing Services. Would increase the amount of the bond required of towing licensees from $5,000 to $25,000. The maximum amount of a bond that the commissioner may require would increase from $25,000 to $250,000. Existing law allows an applicant to, in lieu of a bond or cash equivalent, make contributions to a fund to satisfy the security requirement. The bill would add language providing that any licensee who prior to the effective date of this paragraph was authorized by the commissioner to make a contribution to the fund and who has been found guilty of a violation of sections 19-169.1 and 20-515 of the code twice within a 12-month period shall be required to furnish a surety bond in an amount determined by the commissioner.
Status: 1/5/22: (S) Referred to Cities 1.
Related Bill: AB 3380
SB 3121 – Debt Collection Agencies. Would provide for the licensure of debt collection agencies and require them to have a surety bond, contract of indemnity, or an irrevocable letter of credit as security. The bond amount would be tiered based on the number of employees, ranging from $25,000 for agencies with 1 to 4 employees to $75,000 for agencies with 20 or more employees.
Status: 1/5/22: (S) Referred to Banks.
SB 4332 – Automobile Brokers. Would increase the amount of the bond required of automobile brokers from $100,000 to $250,000.
Status: 5/25/22: (S) Amend and recommit to Consumer Protection.
Related Bill: AB 1932
SB 4668 – Immigrant Assistance Services Providers. Would provide for the regulation of the licensure and practice of immigration providers by the Department of State in order to protect immigrants from exploitation. Would add a new section to section 460-l to Article 28-C providing that the Department shall issue licenses to immigration providers and, upon application, to issue renewal licenses every two years. The secretary of state would enforce the law governing the filing and maintenance of surety bonds and the application for licensure and/or renewal. Essentially, the bill would provide more specifics related to the application for license. The bill also would add language stating that a person claiming to be aggrieved by any violation by a licensee may bring a civil action for injunctive relief, damages, or both. The court shall grant a prevailing plaintiff reasonable attorney fees and costs; minimal recovery for the plaintiff shall be $5,000.
Status: 1/5/22: (S) Referred to Consumer Protection.
SB 5735 – Consumer Litigation Funding Companies. Would require companies entering into consumer litigation funding transactions to be registered and to post a bond satisfactory to the Department of State in an amount not to exceed $50,000. The bond would be conditioned that the registrant will faithfully conform to and abide by the provisions of the article and all rules adopted by the administrator, and pay to any person(s) any and all moneys that may become due or owing to the State or such person.
Status: 1/5/22: (S) Referred to Consumer Protection.
Related Bill: AB 3315
SB 7475 – Immigration Bond Businesses - Licensing. Would add a new section to the Insurance Code to provide for the licensing and bonding of immigration bond businesses. Applicants would be required to file a qualifying bond in the penal sum of $5,000, conditioned upon the faithful performance of the duties of the licensee. Such bond would have a 60-day cancellation clause, and an action shall not be brought more than 6 years after the occurrence of the act, method or practice which is the subject of the action or more than one year after the last payment in a transaction involving the method, act or practice which is the subject of the action, whichever is later.
Status: 6/3/22: (A) Substituted for AB 7770; ordered to third reading; passed. Returned to Senate.
Related Bill: AB 7770
SB 7654 – Sales Tax on Beer. Would provide for prepayment of sales tax on beer to be sold at retail for consumption off premises. This tax would be paid at the same time and in the same manner as the excise tax imposed on distributors on beer. The commissioner may, in his/her discretion, permit a distributor to pay the tax at any other time, and may require the distributor to file a bond or other security acceptable to the commissioner in an amount fixed by the commissioner, to secure the payment of any sums due from the distributor. Any bond required under this section shall secure payment of the sums due under any other provision relating to the tax upon beer and under this section.
Status: 1/5/22: (S) Referred to Budget and Revenue.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 865 – Private Commercial Inspectors. Would create a new registration requirement for private commercial inspectors which would include a "payment bond" OR proof of insurance coverage in the amount of 125% of the local government's estimated cost to inspect an entire project itself. The purpose of the bond or insurance policy would be to provide a means of compensating the local government for the costs of any inspections it must conduct if, for any reason, a private commercial inspector ceases inspecting or otherwise abandons a project. A local government required to take over inspecting commercial projects may claim against the payment bond for the costs of inspecting the project, or may seek payment from the permit holder for whom the local government conducted the inspections. Private commercial inspectors would be immune from suit and liability for any claim for damage to or loss of property or personal injury or other civil liability caused by or arising out of any actual or alleged act, error, or omission from a private commercial inspection or issuance of a certificate of compliance with the State Building Code unless the damage, loss, injury, or other liability was caused by the intentional or willful and wanton misconduct of the private commercial inspector.
Status: 6/17/21: (H) Committee Substitute adopted. Rereferred to Finance.
SB 40 – Fireworks Retailers. Would add a provision that the secretary may require a fireworks retailer to furnish a bond in an amount that adequately protects the state from loss if the retailer fails to pay taxes due. The bond would be conditioned on compliance with the law, and the amount would be twice the retailer's average expected monthly tax liability; $1,000 minimum, $50,000 maximum. A retailer may substitute an irrevocable letter of credit for the bond.
Status: 2/2/21: (S) Passed first reading and referred to Rules and Operations of the Senate.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 88 – Roofing Contractors. Would amend the definition of "specialty contractor" to include roofing contractors, and add a roofing section to the Ohio Construction Industry Licensing Board. Would require roofing contractors to obtain a surety license bond in an amount determined by the CILB by rule.
Status: 3/16/22: (S) Referred to Government Oversight and Reform.
Related Bill: SB 64
HB 321 – Auctioneer Licenses. Would eliminate the apprentice auctioneer and special auctioneer licenses and leave intact the auctioneer and auction firm licenses and bond requirements. The bill would allow auction firms to conduct online auctions of real or personal property via a website or similar interactive communication media. The bill also would amend existing education requirements and add provisions for continuing education.
Status: 5/25/22: (H) Concurred in Senate amendments. Enrolled.
HB 397 – Soil and Water Conservation Districts - Public Officials. Would require that the Board of Supervisors of a District, for all employees and officers who are entrusted with funds, to either provide for the execution of surety bonds or by resolution, adopt a policy to allow for use of an employee dishonesty and faithful performance of duty insurance policy to cover financial or property loss caused by the fraudulent or dishonest actions of, and the failure to perform a duty prescribed by law for, an officer, employee or appointee that is otherwise required by law to give an individual surety bond before entering upon the discharge of official duties.
Status: 4/6/22: (H) Concurred in Senate amendments. Effective 7/21/22.
HB 487 – Ballot Printing and Contracts. Would amend the bid process. A contract for the printing of ballots involving a cost in excess of $25,000 shall not be awarded until after a proposal period of 15 days. Except as otherwise provided, each proposal for a contract must be accompanied by a bid bond in a sum of 10% of the amount of the proposal. The contract will be awarded to the most qualified responsible proposer, and the proposer shall post a performance bond equal to 100% of a single election's contract amount. If the contract is for multiple elections, the board [of elections] may require a bond of a sum equal to 100% of the board's estimated ballot printing costs for the largest election to be conducted during the contract period.
Status: 3/29/22: (S) Referred to Local Government and Elections.
HB 488 – Guardianships. Would make various amendments to the guardianship law.
Status: 6/1/22: (H) Informally passed.
HB 509 – Occupational Regulation. Would revise and streamline the State's occupational regulations, which may impact several bond requirements.
Status: 3/29/22: (S) Referred to Workforce and Higher Education.
HB 542 – Barber and Cosmetology Schools. Would amend, repeal and reenact sections of the law. The $10,000 school bond requirement remains intact.
Status: 5/25/22: (S) Referred to Government Oversight and Reform.
SB 64 – Roofing Contractors. Would amend the definition of "specialty contractor" to include roofing contractors, and add a roofing section to the Ohio Construction Industry Licensing Board. Would require roofing contractors to obtain a surety license bond in an amount determined by the CILB by rule.
Status: 2/24/21: (S) Referred to Government Oversight and Reform.
Related Bill: HB 88
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 1939 – Roofing Contractors. Would require roofing subcontractors to post a $5,000 surety bond conditioned on compliance with the law, rules and regulations, and performance of work. The bond would be continuous with a 30-day cancellation notice.
Status: 2/22/21: (H) Withdrawn from Rules; referred to Business and Commerce.
NEW LAW: HB 3271 – Used Motor Vehicle Dealers. Would amend the name of the Commission to the "Oklahoma Used Motor Vehicle, Dismantler, and Manufactured Housing Commission." As introduced, this is all the bill would do.
Status: 4/29/22: (H) Approved by the Governor; effective 11/1/22.
NEW LAW: HB 3419 – Motor License Agents. This 745-page bill would transfer many responsibilities from the Department of Public Safety and Tax Commission to a new agency called "Service Oklahoma," including the licensing of motor license agents which would be renamed and referred to thereafter as "licensed operator." The Service Oklahoma Operator Board would determine the minimum qualifications and requirements for locating Service Oklahoma locations and for persons applying for a license to operate a designated Service Oklahoma location. A licensed operator would furnish and file with Service Oklahoma a bond in such amount as may be fixed by Service Oklahoma. Any existing contracts by or between any motor license agent and the Oklahoma Tax Commission would be assigned to Service Oklahoma. All existing motor license agents in good standing with the Oklahoma Tax Commission would be offered a subsequent contract from Service Oklahoma to become a licensed operator to take effect on January 1, 2023. If a motor license agent declines to become a licensed operator, that agent may continue to conduct business pursuant to the existing contract through December 31, 2025, so long as the agent remains in good standing in accordance with the terms of the existing contract.
Status: 5/25/22: (S) Referred to Government Oversight and Reform.
Related Bill: SB 1605
HB 3853 – Notaries Reform. The proposed committee substitute would authorize the Secretary of State to create a digital logging system for use by notaries and to promulgate rules to administer it. The system should be created by November 1, 2022 and implemented by November 1, 2023.
Status: 3/24/22: (S) Second reading; referred to Business, Commerce and Tourism.
SB 1605 – Motor License Agents. This 745-page bill would transfer many responsibilities from the Department of Public Safety and Tax Commission to a new agency called "Service Oklahoma," including the licensing of motor license agents which would be renamed and referred to thereafter as "licensed operator." The Service Oklahoma Operator Board would determine the minimum qualifications and requirements for locating Service Oklahoma locations and for persons applying for a license to operate a designated Service Oklahoma location. A licensed operator would furnish and file with Service Oklahoma a bond in such amount as may be fixed by Service Oklahoma. Any existing contracts by or between any motor license agent and the Oklahoma Tax Commission would be assigned to Service Oklahoma. All existing motor license agents in good standing with the Oklahoma Tax Commission would be offered a subsequent contract from Service Oklahoma to become a licensed operator to take effect on January 1, 2023. If a motor license agent declines to become a licensed operator, that agent may continue to conduct business pursuant to the existing contract through December 31, 2025, so long as the agent remains in good standing in accordance with the terms of the existing contract.
Status: 5/20/22: (S) CCR read. Title restored. Enacting clause restored.
Related Bill: HB 3419
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: SB 1536 – Residential Contractors. Adds provisions for contractors who claim rebates for the purchase and installation of air-source or ground-source heat pumps for owners of a dwelling unit used as a residential tenancy and to owners of a manufactured dwelling or RV who rent a space in a manufactured dwelling or RV park. This is a new program established under the State Department of Energy to provide heating and cooling assistance to those in need and who qualify. To be eligible to claim a rebate on behalf of a customer, a contractor must hold any license, bond, insurance or permit required to sell and install heat pumps, demonstrate a history of compliance with the rules and other requirements of the CCB and other departments, and meet any other certification requirements set forth in rules adopted by the State Department of Energy.
Status: 3/24/22: (S) Signed by the Governor; effective immediately.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 378 – Occupational Licensing - Unlawful Employment Practices. Would enact the Ex-Offender Increased Access to Employment Act, which would prohibit an employer or employment agency from inquiring about or into, or consider or require disclosure of, the criminal record or criminal history of an applicant until after a conditional offer of employment is made. This requirement would not apply to positions where a standard fidelity bond or an equivalent is required and an applicant's conviction of one or more specified criminal offenses would disqualify the applicant from obtaining the bond, in which case an employer may include a question or otherwise inquire whether the applicant has ever been convicted of any of the specified criminal offenses.
Status: 2/3/21: (H) Introduced and referred to Labor and Industry.
HB 1257 – Display Fireworks. Would provide that the governing body of the municipality shall require a bond from a permittee in a sum not less than $1,000, conditioned for the payment of all damages which may be caused to a person or property by reason of the use of display fireworks and arising from an act of the permittee or an agent, an employee or a subcontractor of the permittee.
Status: 6/10/22: (S) Referred to Agriculture and Rural Affairs.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 5425 – Financial Technology Sandbox. Would establish an economic growth blockchain act, regulate virtual and digital assets and establish depository banks for such purposes. Would require a person authorized to enter into the financial technology sandbox to post a consumer protection bond with the commissioner or secretary as security for potential losses suffered by consumers. The bond amount would be determined by the commissioner or secretary in an amount not less than $10,000, and shall be commensurate with the risk profile of the innovative financial product or service. Unless the bond is enforced, the commissioner or secretary shall cancel or allow the bond to expire two years after the date of the conclusion of the sandbox period. The bill also would require a special purpose depository institution to furnish a surety bond to the commissioner to cover costs likely to be incurred by the commissioner in a liquidation or conservatorship of the institution. The amount of the bond would be determined by the commissioner in an amount sufficient to defray such costs. In lieu of a bond, an institution may irrevocably pledge specified capital equivalent to a bond. A special purpose depository institution also would have to maintain appropriate insurance or a bond covering the operational risks of the institution, which shall include coverage for directors' and officers' liability, errors and omissions liability, and information technology infrastructure and activities liability.
Status: 2/21/21: (H) In Corporations. Hearing postponed at request of sponsor.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 3055 – Public Officials. Would eliminate the requirement for the board that governs the Department of Natural Resources to require certain designated officers, agents and employees to give bond for the faithful performance of their duties.
Status: 5/12/22: (S) Conference Committee appointed--House insists on amendment.
HB 3255 – Appraisal Management Companies. Would amend the statute to reflect the $25,000 bond amount adopted by rule, and would eliminate the detailed statement of current financial condition option in lieu of a bond. Claims may be filed by the claimant in accordance with the terms of the bond on a bond claim form approved by the board, provided claims are limited to actual damages and do not include attorney's fees or punitive damages, and all liability on a bond is applicable to the bond in effect as of the date of occurrence which gave rise to the liability.
Status: 5/11/22: (H) Conference Committee report received and adopted.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 1043 – Plumber Licenses - Expiration Dates. Would amend the expiration dates of licenses for plumbing contractors or plumbers to December 31. A license for a water conditioning contractor, water conditioning installer, appliance contractor, appliance installer, sewer and water contractor, sewer and water installer, manufactured and mobile home contractor, manufactured and mobile home installer, underground irrigation contractor, underground irrigation installer, or individual and small on-site wastewater system installer would expire annually on June 30.
Status: 2/10/22: (H) Signed by the Governor; effective 7/1/22.
NEW LAW: SB 39 – Grain Buyer - Claims. Would decrease the amount of time allowed to file a claim from six months to 90 days.
Status: 2/9/22: (S) Signed by the Governor; effective 7/1/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
NEW LAW: HB 436 – Health Spa Services. Allows an applicant or registrant to exclude from the principal amount calculation for a bond a contract that meets certain requirements for exclusions.
Status: 3/24/22: (H) Signed by the Governor; Chapter 400; effective 5/4/22.
NEW LAW: SB 43 – Occupational and Professional Licensing. Modifies provisions related to licensed professionals (300-page bill).
Status: 3/24/22: (S) Signed by the Governor; Chapter 415; effective 5/4/22.
NEW LAW: SB 155 – Guardianships and Conservatorships. Amends the duties of the Office of Public Guardian; amends provisions related to the termination, removal or resignation of a guardian of an incapacitated person; and amends the duties and responsibilities of such guardian.
Status: 3/24/22: (S) Signed by the Governor; Chapter 441; effective 5/4/22.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
SB 765 – Notaries Public. Would require every applicant for a notary or electronic notary commission to take, within 90 calendar days preceding application, a course of instruction approved by the Secretary and complete a written exam, and to obtain a $25,000 bond. The surety would be required to report all claims to the Secretary. Recovery of damages against a notary, surety or employer does not require that the notary's negligence, violation of law or official misconduct be either the sole or principal proximate cause of the damages.
Status: 2/2/22: (S) Continued to 2023 in Judiciary.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 1874 – Professional Licensing - Arrests or Criminal Convictions. Would reduce barriers to professional licensure for individuals with previous arrests or criminal convictions. Current law provides that an individual who has a criminal conviction may submit to the appropriate licensing authority a preliminary application for a professional license, government certification or state recognition of the individual's personal qualifications for a determination as to whether the individual's criminal conviction would disqualify the individual from obtaining such license, certification or recognition. The bill would add factors for the licensing authority to consider, which include the nature and seriousness of the offense, the relationship of the offense to the ability, capacity and fitness required to perform the duties and discharge the responsibilities of the profession, the individual's age at the time of the offense, and the amount of time that has elapsed since the offense. When issuing a professional license, government certification or state recognition, the licensing authority may not disqualify an individual based on a conviction that has been sealed, dismissed, expunged or pardoned, or a juvenile adjudication.
Status: 1/11/22: (H) First reading, referred to Consumer Protection and Business.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
HB 4334 – Motor Vehicle License Services. Would increase the amount of the bond required of license service providers from $25,000 to $100,000.
Status: 2/15/22: (H) From Technology and Infrastructure: Do pass, but first to Finance.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
Legislative developments significant to the surety bonding industry will be posted as soon as they become available. Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
COMMERCIAL SURETY
SB 39 – Occupational Licensing. Would establish a procedure by which applicants for licenses and certifications can seek a pre-application determination.
Status: 1/19/22: (LSO) Bill number assigned.
Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.
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