Plain Text Law

Regulation .19 Surety Bonds.

Regulation .19 Surety Bonds.Copy Citation

A.
A contractor shall furnish a surety bond:
(1)
In an amount established by the Administration;
(2)
Based on transfers or projected transfers of annual funds from electronic vehicle titling and registration transactions; and
(3)
In an amount comparable to the average weekly funds transferred.
B.
A participant shall certify, in a form acceptable by the Administration, that a surety bond in the amount required by Transportation Article, §§15-308 and 15-604, Annotated Code of Maryland, is currently, and will continue to remain, in effect.
C.
Except for §B of this regulation, all other participants shall furnish a surety bond in the amount of $25,000.
D.
A bond required under this regulation shall:
(1)
Remain in force for the term of the contractor, or participant's, agreement;
(2)
Be executed by a surety company authorized to do business in the State;
(3)
Be in a form approved by the Maryland Insurance Administration; and
(4)
Be adjusted annually as determined by the Administration pursuant to §A of this regulation.