Current through Register Vol. 54, No.43, October 26, 2024
Section 264a.155 - Special terms and conditions for surety bonds(a) The Department does not accept the bond of a surety company that failed or unduly delayed in making payment on a forfeited surety bond.(b) The Department accepts only the bond of a surety authorized to do business in this Commonwealth and which is listed in Circular 570 of the United States Department of Treasury.(c) The surety may cancel the bond by sending written notice of cancellation by certified mail to the owner or operator and the Department. Cancellation may not take effect until 120 days after receipt of the notice of cancellation by the principal and the Department, as evidenced by the return receipts. Within 60 days of receipt of the notice of cancellation, the owner or operator shall provide the Department with a replacement bond under § 264a.158 (relating to replacement of bond). Failure of the owner or operator to provide a replacement bond within the 60-day period constitutes grounds for forfeiture of the existing bond under § 264a.168 (relating to bond forfeiture).(d) The Department does not accept surety bonds from a surety company for a owner or operator, on all facilities owned or operated by the owner or operator, in excess of the company's single risk limit as provided by The Insurance Company Law of 1921 (40 P. S. §§ 341-991), unless the surety has complied with the provisions of The Insurance Company Act of 1921 (40 P. S. §§ 1-297.4) for accepting risk above its single risk limit.(e) The bond shall provide that full payment will be made on the bond within 30 days of receipt of a notice of forfeiture by the surety, notwithstanding judicial or administrative appeal of the forfeiture, and that the amount is confessed to judgment upon forfeiture.(f) The bond shall provide that the surety and the owner or operator are joint and severally liable for payment of the bond amount.