NEWS

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:  4/6/22: (S) Read second time and placed on calendar. Pending third reading on Day 29; Favorable from Judiciary.

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.

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

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:  4/28/22: (H) Considered Senate amendments, concurred, repassed.

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:  5/9/22: (S) Third reading passed, no amendments.

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:  5/9/22: (S) Sent to the Governor.

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.  

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.  

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.

COMMERCIAL SURETY

HB 123 – 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:  Companion bill passed, refer to SB 546.

Related Bill:  SB 546

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:  5/10/22: Signed by Officers and presented to the Governor.

Related Bill:  SB 486

HB 529 – Yacht Brokers.  Would require an applicant for a broker license to have been licensed as a salesperson for at least 2 consecutive years and can demonstrate direct involvement in at least 4 transactions that resulted in the sale of a yacht or can certify that he/she has obtained 20 continuing education credits approved by the division.  The bond provisions would not change.

Status:  3/14/22: (H) Died in Commerce Committee.

Related Bill:  SB 820

HB 871 – 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:  Companion bill passed, refer to SB 914.

Related Bill:  SB 914

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:  3/4/22: (H) Ordered enrolled.

HB 1451 – Manufacturers of Malt Beverages.  Would amend the beverage law to eliminate the manufacturer bond requirements.  The bill also would create a new section for Contract and Alternating Proprietorship Brewing (no bond required).

Status:  1/25/22: (H) Added to Regulatory Reform Subcommittee agenda.

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:  3/8/22: (S) Passed as amended. Ordered engrossed, then enrolled.

Related Bill:  HB 123

SB 820 – Yacht Brokers.  Would require an applicant for a broker license to have been licensed as a salesperson for at least 2 consecutive years and can demonstrate direct involvement in at least 4 transactions that resulted in the sale of a yacht or can certify that he/she has obtained 20 continuing education credits approved by the division.  The bond provisions would not change.

Status:  3/14/22: (S) Died in Regulated Industries Committee.

Related Bill:  HB 529

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:  3/4/22: (S) Ordered enrolled.

Related Bill:  HB 871

SB 1928 – Household Movers or Moving Brokers.  Would amend the law relating to household moving services.  Each mover operating in the state must maintain current and valid cargo liability insurance coverage of at least $10,000 per shipment; provided, however, that a mover that operates two or fewer vehicles, in lieu of maintaining the cargo liability insurance coverage, may, and each moving broker must, maintain either a $25,000 performance bond or certificate of deposit.  The bill provides that a mover shall indemnify a shipper for the full replacement value of the household goods that are lost or damaged by the mover.  The shipper may waive or amend the indemnification by a signed or electronic acknowledgment in the contract.

Status:  3/14/22: (S) Died in Criminal Justice Committee.

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates. 

COMMERCIAL SURETY

HB 1491 – Cigarette/Tobacco Tax - Deferred Payment Purchases.  Would eliminate the option to purchase stamps by deferred payment, which would also eliminate the bond requirement.

Status:  2/15/22: (H) Passed second reading as amended and referred to Finance.

Related Bill:  SB 2376

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.

Related Bill:  SB 3076

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.

Related Bill:  SB 3079

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.

Related Bill:  SB 3083 

HB 2384 – 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:  1/28/22: (H) Referred to Higher Education & Technology; Consumer Protection and Commerce; Finance. 

Related Bill:  SB 3025

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.

Related Bill:  HB 1491

SB 3025 – 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:  3/24/22: (H) Passed second reading as amended in HD 1 and referred to Finance.

Related Bill:  HB 2384

SB 3076 – 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:  2/8/22: (S) Commerce and Consumer Protection deferred the measure, and Energy, Economic Development, and Tourism deferred the measure.

Related Bill:  HB 2108

SB 3079 – 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:  3/10/22: (H) Passed first reading; referred to Consumer Protection and Commerce.

Related Bill:  HB 2111

SB 3083 – 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:  3/10/22: (H) Passed first reading; referred to Consumer Protection and Commerce. 

Related Bill:  HB 2115 

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

HB 4554 – Income Share Agreement Providers.  Would require providers of income share agreements to be licensed and to post a bond with the director of the Division of Financial Institutions in the amount of $25,000.  The bond would run to the director for the benefit of any consumer who incurs damages as a result of a violation by the licensee.  If the director at any time finds that a bond is of insufficient size, is insecure, is exhausted or is otherwise doubtful, an additional bond in such amount as determined by the director must be filed by the licensee within 30 days of receiving notice from the director.  "Income share agreement" (ISA) means an agreement between a consumer and an ISA provider under which: (1) the ISA provider advances a sum of money to the consumer or to a third party on the consumer's behalf or, if the ISA provider is a seller of goods or services to the consumer, the ISA provider credits toward the purchase of such goods or services; (2) the consumer is obligated to make periodic payments, if any become due, to the ISA provider calculated, based upon or determined by the consumer's income; (3) the consumer's obligation to make payments, if any become due, to the ISA provider is conditional on the consumer's income exceeding the income threshold set forth in the ISA; (4) there is an ISA duration; and (5) each of these elements is available at the time of contracting of the ISA.  Each place of business requires a separate license and bond.  A web page operated by the licensee constitutes a location.  The license term is annual, running from January 1 through December 31.  ISA's may be pledged, hypothecated or sold to another licensee or a banking institution or credit union.  Review the bill for additional provisions.

Status:  2/18/22: (H) Rule 19(a) / Rereferred to Rules.

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:  5/4/22: (H) Sent to the Governor.

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:  5/6/22: (H) Sent to the Governor.

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:  5/2/22: (S) Sent to the Governor.

SB 2987 – Timber Buyers.  Would amend the Timber Buyers Licensing Act to require timber buyers to possess a liability insurance policy in an appropriate amount set by rule.  The bill also amends the bond section, providing that every applicant for a timber buyers license shall submit a surety bond or letter of credit in an amount as outlined in this Section or a letter of credit in the same amount for work performed in accordance with the Act and the rules.  The bond or letter of credit would secure payment to the timber growers and insure the timber grower against all fraudulent or negligent acts of the licensee for actions under the Act as well as for payment to the Department for any moneys due.  Unless otherwise stated, the bond would be valid for the calendar year of the buyers license plus 60 days.  The option to post a CD in lieu of the bond would be eliminated.  The bond is for the use and benefit of the people of the State, any timber grower from whom the timber buyer purchased timber and who is not paid by the buyer, or any timber grower whose timber has been cut by the timber buyer and who has not been paid; and for the use and benefit of any person aggrieved by the actions of the timber buyer, including the Department.  Except as otherwise provided, the bond amount shall be 10% of the dollar amount paid to timber growers for timber purchased during the preceding year, but shall at not time be less than $5,000 or exceed $150,000.  In the case of an applicant not previously engaged in business as a timber buyer, the amount of the bond shall be 10% of the estimated dollar amount to be paid by the buyer to growers for timber purchased during the next succeeding year, with the same minimum and maximum amounts.  For a buyer whose bond has previously been forfeited in Illinois or any other state, the Department will double the applicable minimum bond amounts.  A timber grower or owner of timber cut may commence their own action for forfeiture of the bond in the circuit court where the cutting occurred.  The Department may commence an action for forfeiture in the circuit court of Sangamon County.  If the bond is forfeited, the proceeds shall first be applied to any sums owed to the grower or owner of timber cut and then to any sums owed to the Department.  If the bond proceeds are insufficient to cover the amount owed to the Department, the Department shall immediately suspend the licensee and not issue a new license for a period of 5 years.

Status:  2/10/22: (S) Rule 3-9(a) / rereferred to Assignments. (2/10 was the deadline for substantive Senate bills to be out of committee. Bill may die here.)

SB 3619 – Tobacco Products.  Provides that the Department of Revenue shall discharge any surety and shall release and return any bond provided by a taxpayer in connection with a distributor's license 90 days after: (1) that taxpayer becomes a prior continuous compliance taxpayer, or (2) that taxpayer has ceased to collect receipts on which he is required to remit tax, has filed a final tax return, and has paid to the Department an amount sufficient to discharge his remaining tax liability.

Status:  2/10/22: (S) Rule 3-9(a) / rereferred to Assignments. (2/10 was the deadline for substantive Senate bills to be out of committee. Bill may die here.)

SB 3772 – Income Share Agreement Providers.  Would require providers of income share agreements to be licensed and to post a bond with the director of the Division of Financial Institutions in the amount of $25,000.  The bond would run to the director for the benefit of any consumer who incurs damages as a result of a violation by the licensee.  If the director at any time finds that a bond is of insufficient size, is insecure, is exhausted or is otherwise doubtful, an additional bond in such amount as determined by the director must be filed by the licensee within 30 days of receiving notice from the director.  "Income share agreement" (ISA) means an agreement between a consumer and an ISA provider under which: (1) the ISA provider advances a sum of money to the consumer or to a third party on the consumer's behalf or, if the ISA provider is a seller of goods or services to the consumer, the ISA provider credits toward the purchase of such goods or services; (2) the consumer is obligated to make periodic payments, if any become due, to the ISA provider calculated, based upon or determined by the consumer's income; (3) the consumer's obligation to make payments, if any become due, to the ISA provider is conditional on the consumer's income exceeding the income threshold set forth in the ISA; (4) there is an ISA duration; and (5) each of these elements is available at the time of contracting of the ISA.  Each place of business requires a separate license and bond.  A webpage operated by the licensee constitutes a location.  The license term is annual, running from January 1 through December 31.  ISA's may be pledged, hypothecated or sold to another licensee or a banking institution or credit union.  Review the bill for additional provisions.

Status:  1/21/22: (S) Referred to Assignments.

SB 3960 – Liquor Bonds.  Would exclude new applicants for a manufacturer license or importing distributor license from provisions that require certain licensees to file a bond with the Department of Revenue.

Status:  2/10/22: (S) Rule 3-9(a) / rereferred to Assignments. (2/10 was the deadline for substantive Senate bills to be out of committee. Bill may die here.)

SB 4023 – Title Insurance Agents.  Would require an applicant for a title insurance agent license to obtain and maintain errors and omissions insurance or its equivalent, such as malpractice insurance covering title insurance agent services, in an amount acceptable to the title insurance company authorizing the agent, but in no event less than $250,000 per claim and an aggregate limit of $500,000 with a deductible amount acceptable to the title insurance company appointing the agent.  A license shall be renewed by February 1 every 2 years by filing with the secretary or other method using a multi-state licensing system.

Status:  1/21/22: (S) Referred to Assignments.

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates. 

COMMERCIAL SURETY 

SB 393 – Insurance Pooling for Political Subdivisions.  Would enact a provision authorizing a political subdivision, in collaboration with other political subdivisions, to jointly undertake action to reduce expenditures by pooling resources for liability insurance, property and casualty insurance, worker's compensation insurance, or any other property or casualty insurance.  Political subdivisions electing to pool resources for coverage must create a trust under state law for the assets.  The trust must maintain a fidelity bond in an amount approved by the Department of Insurance, and must cover each person responsible for the trust for acts of fraud or dishonesty in servicing the trust.  See the bill for more requirements the trust must meet. 

Status:  2/8/22: (H) First reading; referred to Financial Institutions and Insurance.

SB 395 – Electrical Contractors - Statewide Licensing.  Would establish the Indiana Commission on Independent Electrical Contractors (Commission) and provide for the issuance of a statewide license for independent electrical contractors.  The new law would not prohibit a political subdivision from issuing a license to an electrical contractor that is valid for performing work in the political subdivision, issuing electrical contracting permits, inspecting the work of a licensee, or licensing electricians as long as the qualifications for the license are based upon professional experience and passing a nationally accredited electrical assessment exam.  The statewide license would be valid for three years.  If a political subdivision requires an electrical contractor to post a bond before performing work, the statewide licensee shall post the required bond.  A political subdivision would be required to recognize and honor the statewide license, and accept it in lieu of a locally issued license.

Status:  1/11/22: (S) First reading; referred to Commerce and Technology.

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates. 

COMMERCIAL SURETY

HF 2525 – Alcoholic Liquor Manufacturers - Direct Shipper Licenses.  Would enact a new law allowing a manufacturer of alcoholic liquor to ship alcoholic liquor in closed containers to individual purchasers in the state by obtaining an alcoholic liquor direct shipper license.  An application for a license must be accompanied by a bond in the amount of $5,000, conditioned on compliance with the new law.  The license may be renewed annually.

Status:  3/9/22: (H) In Ways and Means. Subcommittee recommends passage.

Status:  2/2/22: (S) Introduced and referred to Labor and Business Relations; subcommittee assignments.  

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.

COMMERCIAL SURETY

HB 2524 – Supplemental Nursing Services Agencies.  Would require the regulation of supplemental nursing services agencies under the Department for Aging and Disability Services.  The secretary would require, as a condition of registration, that an agency carry a fidelity bond or insurance in the amount of at least $10,000.  Registrations would be valid for one year from the date of issuance.

Status:  2/23/22: (H) Stricken from calendar by Rule 1507.

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.

HB 2694 – Litigation Financers.  Would enact the Third-Party Litigation Financing Consumer Protection Act.  Under this Act, a litigation financer would be required to register with the secretary of state and file a surety bond of not less than $50,000 payable to any person who may have a cause of action against the litigation financer for a violation of the Act. 

Status:  2/15/22: (H) In Judiciary; hearing held.

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates. 

COMMERCIAL SURETY

HB 246 – Public Administrators.  Would require the district court of each county to appoint a person to act as administrator of decedents' estates of which there is no personal representative, and as guardian of minors or other persons under disability who have no guardian.  The administrator would serve at the discretion of the court, and be sworn and execute a bond to the state for the faithful discharge of his/her duties, and when so sworn with bond so executed, shall be accepted by the court in every estate in which the public administrator is appointed without the necessity of additional surety.  The bill provides that if there is no public administrator and guardian, the court shall use its discretion to appoint an administrator rather than order the sheriff to administer the estate.

Status:  1/31/22: (S) Referred to Judiciary.

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.

HB 489 – Nonrecourse Consumer Legal Funding Companies.  Would create a new law for the regulation of nonrecourse consumer legal funding companies.  Such companies would need to be licensed with the commissioner and provide proof of a surety bond (or irrevocable letter of credit) in the amount of $50,000.

Status:  3/29/22: (H) Recommitted to Appropriations & Revenue.

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 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:  6/24/21: (S) Received in Senate and referred to Regulatory Reform.

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:  5/25/21: (H) Introduced, read first time and referred to Judiciary

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.

HF 3768 – Structured Settlement Purchase Companies.  Would require structured settlement purchase companies to register and provide a surety bond.

Status:  5/11/22: (S) Third reading passed.

Companion Bill:  SF 3636

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.

SF 3636 – Structured Settlement Purchase Companies.  Would require structured settlement purchase companies to register and provide a surety bond.

Status:  5/10/22: (S) Substituted HF 3768.

Companion Bill:  HF 3768  

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:  1/6/22: (H) Read second time.

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:  1/6/22: (H) Read second time.

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. 

COMMERCIAL SURETY

LB 133 – Consumption Tax.  Would impose a tax on use or consumption of taxable property or services, and allow the State Tax Commissioner to designate persons to serve as tax collectors.  Tax collectors would be required to file a surety bond for faithful performance of their duties.  Also, any seller that has collected more than $100,000 of consumption taxes in the previous 12 months would be required to provide security in an amount equal to the greater of $100,000 or one and one-half times the seller's average monthly tax liability during the previous 6 calendar months.  Security may be in the form of a cash bond, surety bond from a surety company approved by the Tax Commissioner, CD, or a state or U.S. Treasury bond.  The bond would be a continuing instrument for each calendar year or portion thereof that the bond is in effect, and must remain in effect until the surety is released and discharged.

Status:  4/20/22: Indefinitely postponed.

LB 545 – Games of Skill.  Would require a person offering an opportunity for participants to engage in a game of skill who collects an entry fee from each participant, administers the game of skill, and awards prizes to segregate participant funds from operational funds or maintain a reserve that exceeds the amount of participant funds on deposit.  The reserve may be in the form of cash or cash equivalents, payment-processor reserves or receivables, an irrevocable letter of credit, a bond, or any combination thereof, in an amount that must exceed the total balances of the accounts of all participants.

Status:  4/20/22: Indefinitely postponed. 

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:  2/7/22: (A) Introduced and referred to Consumer Affairs.

Related Bill:  SB 1890

Similar Bills:  AB 1551 and SB 2101

AB 6192 – Service Contract Providers.  Would require a service contract provider to maintain a bond in an amount of not less than 5% of the gross consideration received per annum, less claims paid, on the sale of the service contract for all service contracts issued and in force, but not less than $25,000.

Status:  12/9/21: (A) Introduced and referred to Consumer Affairs.

Related Bill:  SB 4239

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

SB 4239 – Service Contract Providers.  Would require a service contract provider to maintain a bond in an amount of not less than 5% of the gross consideration received per annum, less claims paid, on the sale of the service contract for all service contracts issued and in force, but not less than $25,000.

Status:  12/16/21: (S) Reported from Commerce with amendments, second reading.

Related Bill:  HB 6192 

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:  5/10/22: (A) Reported, referred to Codes.

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:  1/26/22: (S) Referred to Consumer Protection.

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

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:  3/16/22: (S) Reported from Agriculture and Natural Resources, Substitute.

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:  4/6/22: (H) Reported from Civil Justice - substitute.

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:  5/11/22: (H) Reported from Commerce and Labor - substitute.

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.

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:  5/10/22: (H) Referred for enrollment.

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:  5/11/22: (H) Conference granted, naming GCCA.

Related Bill:  HB 3419

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.

COMMERCIAL SURETY

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:  4/27/22: (H) First consideration; laid on the table.

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 3092 – Public Officials.  Would create the S.C. Department of Law Enforcement and Public Safety and transfer certain duties and responsibilities to it.

Status:  1/12/21: (H) Introduced, read first time and referred to Judiciary.

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.

HB 3431 – Magistrates Court.  Would increase the civil jurisdiction of the magistrate court from $7,500 to $15,000.

Status:  1/12/21: (H) Introduced, read first time and referred to Judiciary.

Related Bill:  SB 65

HB 3686 – Student Loan Servicers.  Would require a person acting as a student loan servicer to obtain a license and file a surety bond in an amount determined by the administrator, based on the total dollar amount of loans subject to regulation in a calendar year, ranging from $50,000 to $150,000.  The bond would be for the use of the State for the recovery of expenses, fines, and fees levied and for consumers who have losses or damages as a result of noncompliance with the law by the servicer.

Status:  1/14/21: (H) Introduced, read first time and referred to Education and Public Works.

Related Bill:  HB 4073

HB 4073 – Student Loan Servicers.  Would require a person acting as a student loan servicer to obtain a license and file a surety bond in an amount determined by the administrator, based on the total dollar amount of loans subject to regulation in a calendar year, ranging from $50,000 to $150,000.  The bond would be for the use of the State for the recovery of expenses, fines, and fees levied and for consumers who have losses or damages as a result of noncompliance with the law by the servicer.

Status:  3/11/21: (H) Introduced, read first time and referred to Education and Public Works.

Related Bill:  HB 3686

HB 4762 – Contractor Licensing.  Would amend construction cost threshold amounts requiring licensure as a contractor, so as to double these threshold amounts, and amend the schedule of construction cost threshold amounts for contractor licensure financial net worth requirements, so as to double these amounts.

Status:  1/12/22: (H) Introduced, read first time and referred to Labor, Commerce and Industry.

SB 65 – Magistrates Court.  Would increase the civil jurisdiction of the magistrate court from $7,500 to $15,000.

Status:  1/12/21: (S) Introduced, read first time and referred to Judiciary.
Related Bill:  HB 3431

SB 117 – Magistrates Court.  Would increase the civil jurisdiction of the magistrate court from $7,500 to $15,000.

Status:  1/12/21: (S) Introduced, read first time and referred to Judiciary.

Related Bill:  SB 199

SB 199 – Magistrates Court.  Would increase the civil jurisdiction of the magistrate court from $7,500 to $15,000.

Status:  1/12/21: (S) Introduced, read first time and referred to Judiciary.

Related Bill:  SB 117

SB 532 – Earned Income Access Service Providers.  Would amend the Consumer Protection Code by adding a chapter to provide for earned income access.  An "earned income access service provider" is defined as any entity engaged in the business of delivering earned but unpaid wages or income to a consumer in the state.  The new law would require providers to register with the Department of Consumer Affairs and file a bond or letter of credit in the amount of $50,000.  A provider must file renewal paperwork, to include a sworn affirmation as to continuation of the bond, with the Department no later than March first of each year.  The amount of the bond may only be increased by regulation.

Status:  2/9/21: (S) Introduced, read first time and referred to Banking and Insurance.

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.

Related Bills:  SB 35 and SB 38 

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. 

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

Contact CNA Surety at 800-331-6053 if you have information regarding legislative updates.