Senate Bill sb2868

    Florida Senate - 2004                                  SB 2868

    By Senator Siplin





    19-1702-04

  1                      A bill to be entitled

  2         An act relating to professional bail bond

  3         agents; creating s. 648.341, F.S.; establishing

  4         security requirements for such agents;

  5         requiring the deposit of securities with the

  6         Department of Financial Services; providing for

  7         the return of such securities; providing

  8         penalties; providing for the adoption of rules;

  9         providing an effective date.

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11  Be It Enacted by the Legislature of the State of Florida:

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13         Section 1.  Section 648.341, Florida Statutes, is

14  created to read:

15         648.341  Professional bail bond agents; financial

16  responsibilty requirements.--

17         (1)  By the 15th day of each month a professional bail

18  bond agent acting as surety on bail bonds in this state must

19  file a report with the department and maintain a deposit of

20  securities with and satisfactory to the department. The

21  securities must have a fair market value of $15,000 or at

22  least 12.5 percent of the amount of all bonds written in this

23  state on which the agent is absolutely or conditionally

24  liable, whichever is greater, as of the first day of that

25  month.

26         (2)  The securities shall be held in trust by the

27  department for the benefit of the holders of bail bonds

28  executed in this state by or on behalf of the agent. The

29  department may sell or transfer any securities on deposit and

30  use the proceeds to satisfy the liabilities of the agent on

31  bail bonds for which the agent is liable.

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    Florida Senate - 2004                                  SB 2868
    19-1702-04




 1         (a)  Any securities in excess of the amount required to

 2  be maintained may be returned to the agent if the department

 3  is satisfied that the amount on deposit exceeds the amount

 4  necessary to protect the public.

 5         (b)  All of the securities may be returned to the agent

 6  if the department is satisfied that the agent has satisfied,

 7  or has made satisfactory arrangements to satisfy, all

 8  obligations on bail bonds that the agent has written in this

 9  state.

10         (3)  At the time the securities are deposited with the

11  department, the agent shall execute and deliver a power of

12  attorney, on a form supplied by the department. The power of

13  attorney shall authorize the department to sell or transfer

14  any securities deposited by the agent if the sale or transfer

15  is deemed necessary by the department to pay any liability

16  arising under a bond given by the agent in this state, if

17  execution has been issued against the agent pursuant to a

18  judgment on the bond and the judgment has not been satisfied.

19         (4)  An agent whose securities on deposit decrease in

20  value below the requirements of this section must immediately,

21  upon receiving a written deficiency notice from the

22  department, deposit such additional securities as are

23  necessary to comply with this section.

24         (a)  An agent who has received a deficiency notice may

25  not sign, endorse, execute, or become surety on any additional

26  bail bond, or pledge or deposit any cash, check, or other

27  security in lieu of a bail bond, until the agent has deposited

28  the additional securities required by the notice.

29         (b)  The department may not issue an initial or renewal

30  license if, at the time of the application, the agent has not

31  complied with a deficiency notice. The department may

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    Florida Senate - 2004                                  SB 2868
    19-1702-04




 1  subsequently issue the license after the agent complies with

 2  the notice.

 3         (5)  The department shall adopt rules to administer

 4  this section.

 5         Section 2.  This act shall take effect July 1, 2004.

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 7            *****************************************

 8                          SENATE SUMMARY

 9    Requires professional bail bond agents to post securities
      within the Department of Financial Services. Provides for
10    increasing or reducing such deposits. Provides penalties
      if such security requirements are not met. Provides for
11    the adoption of rules.

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CODING: Words stricken are deletions; words underlined are additions.