PA 09-122—HB 6501

General Law Committee

Environment Committee

Energy and Technology Committee

AN ACT ELIMINATING SURETY BOND REQUIREMENTS FOR RESIDENTIAL UNDERGROUND HEATING OIL TANK REMOVAL OR REPLACEMENT CONTRACTORS

SUMMARY: This act eliminates the requirement that a contractor who intends to remove or replace residential underground heating oil tanks provide evidence of a $250,000 surety bond to the Department of Consumer Protection (DCP) when applying for a home improvement contractor registration certificate. It does not change the requirements that the applicant show that he or she has (1) completed the hazardous material training program approved by the Department of Environmental Protection (DEP) and (2) liability insurance coverage of $1 million. For contractors who wish to register for payment from DEP's residential underground heating oil storage tank clean-up subaccount, it eliminates a surety bond as a way to prove financial responsibility and raises the minimum amount of liability insurance coverage or liquid company assets that contractors must have from $250,000 to $1 million. It does not change the requirement that contractors provide DEP with evidence of training and experience to register.

EFFECTIVE DATE: Upon passage

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