New Jersey Administrative Code › Title 5 - COMMUNITY AFFAIRS › Chapter 30 - LOCAL FINANCE BOARD › Subchapter 8 - FINANCIAL ADMINISTRATION › Section 5:30-8.4 - Minimum surety bond requirements for municipal courts

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Every municipal
				court judge and municipal court administrator shall be bonded with a surety bond in
				a minimum amount in accordance with the following schedule:
Total Annual Receipts
Minimum Bond Required
$ 1 to $ 5,000
$ 2,000
$ 5,000 to $ 10,000
$ 2,000 + 30% of all over $
						  5,000
$ 10,000 to $ 20,000
$ 3,500 + 25% of all over $
						  10,000
$ 20,000 to $ 50,000
$ 6,000 + 15% of all over $
						  20,000
$ 50,000 to $ 100,000
$ 10,500 + 12% of all over $
						  50,000
$ 100,000 to $ 200,000
$ 16,500 + 8% of all over $
						  100,000
$ 200,000 to $ 500,000
$ 24,500 + 5% of all over $
						  200,000
$ 500,000 to $ 1,000,000
$ 39,500 + 2% of all over $
						  500,000
$ 1,000,000 and up
$ 49,500 + 1% of all over $
						  1,000,000
(b) Local
				units are encouraged to utilize the following recommended amounts in lieu of the
				minimum amount in order to provide a higher level of security of public funds.
$ 1 to $ 10,000
$ 2,500
$ 10,000 to $ 25,000
$ 2,500 + 30% of all over $
						  10,000
$ 25,000 to $ 50,000
$ 5,500 + 25% of all over $
						  25,000
$ 50,000 to $ 100,000
$ 11,750 + 15% of all over $
						  50,000
$ 100,000 to $ 200,000
$ 19,250 + 12% of all over $
						  100,000
$ 200,000 to $ 500,000
$ 31,250 + 8% of all over $
						  200,000
$ 500,000 to $ 1,000,000
$ 47,250 + 5% of all over $
						  500,000
$ 1,000,000 and up
$ 72,250 + 2% of all over $
						  1,000,000
(c) The
				municipal judge and the municipal court administrator shall be bonded in such amount
				as may be deemed appropriate and adequate pursuant to the circumstances, the amount,
				including all assistants, to be not less than the minimum referred to at (a) above,
				and in every case where the minimum requirement applies, based on the volume of
				annual transactions, the municipal judge and the municipal court administrator shall
				be bonded in the amount of not less than $ 1,000 each. If coverage is being provided
				pursuant to the local unit's blanket fidelity bond, coverage pursuant to the blanket
				bond for the municipal judge and the municipal court administrator shall be subject
				to the application of individual rating criteria and underwriting standards that
				consider the risk and potential liability presented by the individuals covered by
				the blanket bond as if the individuals were covered by an individual bond.
(d) In those cases where the minimum requirement,
				based on the volume of business of the Court, calls for an amount in excess of $
				2,000, it may be appropriate to bond the municipal court judge and municipal court
				administrator, as the case may be, in an amount which shall be above the $ 1,000
				minimum required by statute to the nearest $ 500.00 above said minimum.
(e) The municipal governing body may allocate the
				amount of the coverage as between the municipal judge, municipal court
				administrator, and other employees, in accordance with the financial responsibility
				of each officer with due regard to the $ 1,000 minimum for each
				individual.
(f) There shall be a
				recomputation as to the minimum bond requirement annually and if the bond presently
				in force is less than the minimum required by the above schedule, the bond shall be
				increased.
(g) In all cases, however, a
				new bond shall be obtained at least every three years, coinciding with the term of
				office of the municipal court judge.